An exterior renovation for your Willmar-area home can improve your home’s livability and resale value. Depending on the scope of your project, you may need to finance your exterior renovation in Willmar and the surrounding area. Lake Region Bank has some potential financing options for you.
Tip #1: Get Clear on What You Need to Update or Upgrade
Exterior renovations encompass a lot of different types of projects. What updates does your home need? Roof replacement and siding replacement are common in Minnesota due to our severe summer weather that can bring hail and branches down on our homes. Exterior renovations may also include adding a porch or a deck to your home, updating your windows or exterior doors, or upgrading your gutters. Detached garages may also require exterior updates.
Tip #2: Set Your Exterior Renovation Budget
Your budget will likely play a role in developing your list of needs and wants for your exterior renovation project. Depending on how much work you need to do, you may feel you can cover the entire project with cash. But for larger projects, such as a roof replacement or siding update, you will likely need to finance your exterior renovation project. Whatever final budget you arrive at, add an extra 10 percent to your expectations. Inflation and unforeseen costs and delays can add up quickly during renovation projects.
Tip #3: Understand Your External Renovation Financing Options
If your project does require financing, the Lake Region Bank home loan team can help. You may qualify for a statewide home renovation loan program called the Minnesota Housing Fix Up Fund. Eligible homeowners may be eligible for up to $75,000 for an exterior renovation in Willmar or other remodeling project. If you are making the exterior of your home more accessible for a family member, the Fix Up Fund has a special program just for these types of renovations.
Otherwise, a cash-out refinance, home equity line of credit, or home improvement loan may be good options for you. A refinance would supply cash in a lump sum based on the equity you have in your home. A refi will change the payment amount and interest rate of your current mortgage. A home equity line of credit (HELOC) or home improvement loan would add a second monthly payment to your household debt, but would also provide a lump sum of cash for you to use on your exterior renovation project.
Funding an exterior renovation in Willmar and the surrounding area is easy with the expert help of the Lake Region Bank home loan team. For more information about your options or to start the application process, you can get in touch with our lending team at (320) 235-5900 or fill out our interest form.