Want to carry out some home improvements, but can’t scrape together the cash? Let us help! If approved, we’ll send you a Cashfloat home improvements loan today!
Fed up of your battered furniture? Need a kitchen that will make cooking easier? Desperate for another bedroom? Whatever the reason, home improvements can be expensive. It’s always better to save up and wait until you have enough money to cover all of the costs. But what if this isn’t an option? Are home improvement loans the way to go?
Why do people do home improvements?
There are two main reasons for doing home improvements:
- To upgrade your style of living
- To sell/let your house for a higher price
Depending on the reason, you’ll be looking for something different. If you want to continue living in that house, you will want to carefully plan out the work to be carried out, choosing layout and colour scheme, etc. based on what you like and want. You will want to buy good quality so that it lasts, but you also need to watch your budget.
If you’re trying to get a better price for your house, you’ll want to focus on the surface appearances only. Fix your appliances, slap on a new coat of paint, make the outside of the house look good – don’t invest a lot of money, as you can’t be sure you’ll get it all back.Paying a fortune on new carpets to sell a house and the buyer rips them out. Life sometimes! Click To Tweet
Home Improvement Loans Rates
Before you even start thinking about whether or not to take out a loan, there is one thing to consider: can you afford the rates? Remember, credit isn’t free. The more you borrow, the more interest you’ll pay; the longer you borrow for, the more interest you pay.
If you are living from pay check to pay check with no spare cash at the end of the month, then a home improvement loan may not be the right option for you. You must know in advance that you will be able to afford the repayments.
How can you work it out? There are two steps:
- Calculate how much you will need, and how long you want to borrow it for
- Look at the different home improvement loans’ rates for the loan you want.
Let’s look at each step in more detail.
How much will you need?
Before taking out a loan, you should calculate how much you are going to need. Get at least 2 or 3 quotes from different contractors, and don’t be scared to ask for a lower price! Tell them that you got a lower quote from somewhere else, they will often try to match it.
Remember that new expenses often crop up in the middle. It could be that some damage will be discovered that must be fixed, the work will take longer than expected, or more paint/tiles/floorboards are needed than originally calculated. What will you do if that happens? Make sure you have a contingency plan set in place.
Is there any way you can stagger the costs? Consider doing one room at a time. However, it might work out cheaper to do all the work at the same time. Another option would be to get the building work done now and wait a little before buying the new, non-essential, furniture.
If you’re looking to repair or replace home appliances, we have a guide explaining how you may be able to fix them yourself. There are articles on almost every household appliance, describing ways in which you can save money by doing simple repairs yourself. Click on the button below to go to the guide.
Something else to consider is the quality of what you’ll be buying. You may think it’s worth it to invest in the best quality available – but do you want to cry every time the kids scratch the antique coffee table, or something spills all over the expensive carpet? As well, buying furniture or appliances with high maintenance costs is not always the best idea.
Home Improvement Loans Calculator
Now, you know exactly how much you need. The question is, how much will you have to pay for it?
There is a very handy tool that most lenders will have available for you: a home improvement loans calculator. You type in how much money you need and how long you want it for, and the calculator shows you the total repayment cost.
A good calculator should display how much interest you’ll be repaying, how many repayments there will be, and how much you’ll pay each time. If all of these details are not made clear, you should try to find another lender.
Here is an example of a home improvement loans calculator:
When you apply for a Cashfloat home improvement loan, we want you to know exactly what the repayment process will be like right from the beginning. We want you to be in full control of your loan.
Home Improvement Loans with Bad Credit
We believe that bad credit shouldn’t stop you from enjoying life. If you want to carry out some home improvements, and have determined that a home improvement loan is the best option for you, Cashfloat want to be here for you. We don’t base our decision on your credit history but on your affordability.
Everyone makes mistakes. If you’re working to improve your credit record, we won’t judge you by your previous decisions. Apply today!
Home Improvement Loans UK
If you’re looking for a home improvement loan in the UK, you have many options. Some choices are:
- Tesco home improvement loan
- Halifax home improvement loan
- Natwest home improvement loan
The main difference between any of these and a Cashfloat home improvement loan is the scale of the loan. All of these loans are for a minimum of £1,000 and loan terms start at one year. If you’re looking for a smaller amount, and you don’t need it for quite so long, then a Cashfloat loan could be perfect for you.
All in all, make sure you are looking for the best home improvement loans for you and not just the first one you see. Using the home improvement loan calculator on the lenders’ websites is a good way of comparing the costs. Want more information on comparing lenders? Check out our Dare to Compare guide!
Is a Home Improvement Loan Right for You?
You want to do your home improvements, and you want to do them now. But is borrowing always the right decision?
If you can, it’s better to save up the money first. For the next few months, send off a sum of money to a new account called ‘my new kitchen’, or stuff the cash into a piggy bank with ‘loft extension’ written on it. Before you know it, you’ll have enough money to carry out the works without going into debt at all!
But what if it can’t wait? Well, if you know that you’ll have the money soon, a loan may just be the right option. Look around, examine your options, and go with a safe, reliable lender that you feel you can trust. Cashfloat is a fully FCA-authorised lender who cares about you as a person, not just your money.
Let’s take a look at a case study of where a Cashfloat home improvements loan was the right choice.
Lee, from Sheffield, was saving up for a particular furniture package he really liked. He was putting aside a set sum every month and would have enough in seven months’ time. At one point, however, the furniture went on sale.
“It was so much cheaper than the usual price, but I was still about £400 short. I didn’t want to borrow, but if I missed this opportunity, I’d have to pay the full price – another £600.”
Lee took out a £400 Cashfloat home improvements loan, bought his furniture package, and repaid the loan in a month and a half. He paid a total of £110 interest, but saved himself £600 by buying it in the sale.
And of course, he got to enjoy the new furniture seven months early.
Getting a home improvements loan?
You’ve decided that you need to do home improvements now, so you’ll take out a loan – but do you know exactly how the loan works?
Before you take out any loan – whether it’s a 30-day payday loan or a 30-year mortgage – there are certain key facts you have to know. Never agree to a loan before knowing the answers to each one of the following questions:
- Is the lender registered with the FCA?
- How much will I have to repay in total (capital + interest)?
- When will each repayment be?
- How much is each repayment?
- What will happen if I can’t afford a repayment?
- If I lose my job, what will happen?
- Can I repay early – is there a charge for this? Will I save on interest?
- Are other people happy with this lender? (Look for reviews)
Look around, make sure you have the option that’s the best for you and your circumstances.
Cashfloat Home Improvement Loans
If you’re looking for a bit more cash to cover your home improvement costs, a Cashfloat Home Improvement Loan may be the perfect choice. We offer loans from £200 to £1,100 (maximum £500 for new customers) over 1-4 months, with same day payout. You can repay your loan early and save on interest, and if you have any queries along the way our friendly customer support team and happy to help. Apply now, or for more information, you can look at our About Us page or contact us.