Home Improvement Loans–What Can You Afford?

13 September 2006

These days, even simple home improvements are likely to cost you tens of thousands of dollars. Since this is more free cash than most people have on hand, taking out a home equity loan of credit (or a HELOC) is a popular way to finance remodeling projects. But how much can you afford to borrow? To determine the most you should consider borrowing, you need to figure out the current value of your home as well as the total amount still owed on your mortgage. Rather than getting into math stuff, I’ll just point you to the online HELOC calculator from SageTips, a HELOC loan information site. The calculator does the number crunching for you.