Borrowing for Home Repairs
Have you ever decided to fix something at your house and then end up making 6 trips to Home Depot or Lowes to complete the job?
Thanks to Fixer Upper and HGTV, a lot of people are renovating their homes. Some are making updates to their own homes, while others are trying to flip an investment property with hopes of making a profit.
A study this year revealed that 29% of them plan to pay for those renovations with a credit card.
But when using this method of payment, you need to make sure you have the cash to pay the bill when it’s due. The interest charged on an outstanding credit card balance is far greater than a traditional loan.
Also, seek the opinion of a trusted appraiser or realtor who’ll offer unbiased advice on adding true value to your property.
Then prepare a realistic budget and develop a plan. Prioritize each item and figure the total expense.
Like it says in Luke 14, For which of you, desiring to build a tower, does not first sit down and count the cost, whether he has enough to complete it?”
Calculate a realistic timeframe to complete each project without overloading your family.
Multiple websites reveal the best months to find deals on particular items. And be sure to check out ‘scratch and dent’ discounts on appliances.
Avoid unnecessary spending during this time so you can pay off the balance when due.
And remember, credit cards have significantly higher interest rates than other loan options. So, only use them if you have the ability to pay them on time and the willpower not to overspend.
That will not only save you money, but should reduce the number of trips to Home Depot as well!
And if you need to pay off credit card debt, get in touch with Christian Credit Counselors. They’re trusted friends who’ll help you get out of credit card debt the right way. Learn more at crown.org/ccc