It’s generally depressing to live in a house that is worn out. It’s even more depressing when you cannot afford the repair costs. Frankly, the costs are often heavy. You have to buy expensive materials and hire renovation experts if you can’t do it yourself. Popular issues to fix include a leaky roof, holes on the walls and the foundation, and faulty pipes. These are problems that may be financially overwhelming. So, you need an alternative when you cannot meet the heavy costs. Here are four options you should consider:
1.Sell it for Cash
This is the most logical thing to do when you cannot afford the repair costs. You just need to identify a home buyer (preferably a property company) that is willing to pay you cash for the property. Then, you can use the money to look for a cheaper and easy-to-maintain option. In Texas, a majority of homeowners are considering selling their homes for cash to home buyer Houston. They then use the money for affordable and simple properties. You can also copy them and look for a trusted realtor to help you find a buyer.
2.Try a Refinance
If you’ve been wondering what to do with a home when you can’t afford repairs and your mortgage is outstanding, you should consider a refinance. This is a loan that allows you to consolidate your existing mortgage with the repair costs. Provided that the costs are regarded as necessary and they are aimed at improving the value of the property, you stand a chance to get the refinance from your lender.
3.Home Renovation Grant
There are a number of improvement grants that are offered to homeowners by the state and the local governments. Examples include the Weatherization Assistance, Section 504 Home Repair program, and the US Department of Agriculture’s Very Low-Income Housing Repair program among others. The renovation grants are for:
- The disabled
- The elderly
- Low-income homeowners
If you fit the criteria, you can go ahead and apply for the grant. You can use it to repair and modernize your old-looking home. Since government grants are often given at low-interest rates, it means that the amount of money that you will spend overall is greatly minimized.
4.Home Improvement Financing
There are several home financing options that you can consider. They include personal loans and Home Equity Line of Credit (or HELOC). The former is suited for minor but expensive home repairs such as faulty pipes and gutters while the latter is suited for extensive repairs such as leaky roofs and damaged basements. The problem is that the interests charged are often high, so this should be your last resort after you’ve considered the other three.
Another option you may consider is putting your home under a living trust but it’s a good option because the other part will hold the assets and you don’t need to worry anymore about it. A good thing about living trusts is that you can change the terms anytime. You can click here if you want to learn more about living trusts and how you can benefit from it.
You no longer have to worry about what to do with a home when you can’t afford repairs. Just pick any of the above four options. You know what you exactly need and what can work for you and thus your decision should be based on urgency and preference.