As you look around your home, you may spot a few things you would like to change or update. But how do you know it’s the right time for you to renovate? Here are some guidelines when coming to a decision.
Why renovate?
Every homeowner has a list of priorities, and understanding the goals and benefits of your renovation can help you weigh whether or not the investment is worth it. For example, is your motivation to boost resale value? Start by asking a real-estate agent with local expertise if renovating your particular space will pay off.
Do you really know what you need?
If you’ve just moved into a new home, it’s a good idea to live in your property for a long enough time to find out how it functions before planning any renovation. Figure out where you load in groceries, what you need in living space and flow, and other daily needs.
When do you want to renovate?
Save a kitchen renovation for the spring or summer. Being without a kitchen — and barbecuing every meal — isn’t ideal when it’s freezing outside. Professional contractors can be busy year-round, so booking a warm-weather renovation several months in advance not only gets you the ideal seasonal timing, but gives you time to prepare.
Do you have a trusted contractor?
Collect quotes from a number of contractors. We recommend choosing one that is certified and a member of the Manitoba Home Builders’ Association (MHBA), and subject to a code of ethics, a code of disciplinary action, and membership to a third-party home warranty program. Check their references and spend time getting to know them in a consultation before signing on. Make sure signed contracts are in place detailing every stage of the renovation, your contractor is getting all the permits (this is not your responsibility as a homeowner), and contingencies are documented in writing and signed by both you and contractor before work begins. Also, look for a good connection: Great reviews are one thing, but a personality fit with your contractor is just as important.
Are you prepared financially?
Renovations take longer and cost more than most homebuyers anticipate. Using your disposable income for a renovation may not make the most sense, particularly if construction runs over-budget.
What are your financing options?
There are a lot of options that you can consider for financing your renovation. If you buy a home knowing you'll be doing a renovation, you can consider including your renovation cost in your mortgage or receiving a mortgage-secured line of credit that taps into lower interest rates while offering greater flexibility in payments. Then, once you've lived in your space for some time, your options for financing include a loan, line of credit, or our renovation mortgage that allows you to tap into your home’s existing equity, or the “as completed” value of your home.
Working with a lending expert means you’ll have peace of mind knowing you can choose the financing option that works best for your situation. Regardless of what you choose, you’ll enjoy great rates and flexible payment options, allowing you to realize your dreams within lending levels that are manageable and affordable.
Learn more about SCU's renovation mortgages, and discover which financing option best fits your needs and lifestyle. Take the next step.
To speak with a lending specialist, book an appointment or complete a contact form.
