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Upgrading

Crucial Considerations When Taking a Home Upgrading Loan

Hats off to you! You are taking steps up the property ladder. Whether you are moving because the family has grown, or you would like a place that’s closer to your office, a key factor in this move is that you are looking for better location, enhanced space or superior features in your home. A home upgrading loan shouldn’t be too far from your thoughts. But before you plunge in, here are four crucial aspects you need to consider.

No matter what the reason for upgrading may be, financing the home improvement project is a crucial aspect that you cannot afford to lay on the side.

It is likely that you have already garnered sufficient equity in your current home. Also, you have already been through the ropes of how to finance a home purchase.

What Will You Do With Your Current Home

Before you take a home upgrading loan, take time to think about what you will do with your current home.

Would you like to use your current home as an investment property or sell it and use the proceeds as the deposit before the home upgrading loan? Alternatively, you could consider taking up the facility and settling in before selling your present home.

Whatever your choice may be, we have the expertise and will give you a helping hand in making the right decision.

 

How Much Can You Borrow

After you’ve resolved what to do with your current home, it’s time to consider how much you can borrow carefully. You can quickly approximate how much you can borrow by using our loan calculator. It’s easy, just key in the variables such as your net income, financial obligations and the term of the home upgrading loan.

With a good estimate of the loan amount, you can then calculate how much you’ll part with on each repayment and fit in each installment in your budget.

Find Your Next Home

A good estimate of how much you can get a home upgrading loan is crucial in guiding you as you start to look around. It’s time to turn your dreams into reality and take practical steps to find your next home.

Visit property consultants, browse the web and check out any recommendations from your networks for suitable properties in preferred areas. Make sure you look out for valuable information such as price ranges and alternative properties or neighborhoods that would serve just as well.

When you find properties that fit your liking and are within an affordable price range, make a note of the price and contact the consultant.

Decide on a Suitable Home Upgrading Loan

You’ve been here before, only that now, it’s a better home with a higher price tag. Therefore it is worthwhile to consider a home upgrading loan that is more flexible and suits your needs, and lifestyle. Look out for features such as the interest rate, flexibility of payments, additional payments, and whether you can set up an offset account or get access to a redraw facility.

Here is the bottom line

Taking a home upgrading loan is not just about moving a notch higher on the property ladder, it also shows that you prudently manage your finances. Our experts will help you as you consider these crucial elements and guide you to make the right choice.