There’s no question that the real estate market is a little crazy right now. Home values are increasing rapidly, money is cheap, and inventory is tight. This is great news for homeowners who have been considering remodeling.
The longer you wait, the more expensive remodeling will be, so if you’ve been on the fence, now may be the time to do it. Here’s why.
- You likely have more cash – Underemployment is low, incomes are growing, and the economy is good, so you likely have some money in your pocket.
- Interest rates for building homes are low – Interest rates for home equity lines of credit are still historically low, but will likely go up, so it’s better to take advantage now.
- It could be cheaper than buying a new home – In many cases, the current market makes remodeling a better option than selling, especially when you live in a high cost area.
- Costs will go up the longer you wait – In addition to rising interest rates, construction costs are likely to go up because of a shortage of laborers and rising material costs. It’s better to renovate now before costs rise too high.