If You Can’t Move, Consider Remodeling
July 23rd, 2008 categories: Around the House
An article from CNN reports that, with credit markets tight, many families are deciding against shopping for new houses and, instead, are remodeling their current homes. But there can be financial pitfalls in remodeling, especially for those taking on major tasks such as room additions or full kitchen makeovers.
For one thing, some families may have as much trouble getting a loan or a line of credit to upgrade a home as they would getting a new mortgage. And as home prices have dropped in many regions, it can be harder for a family to recoup the money it puts into a remodeling project.
As a result, the Joint Center for Housing Studies at Harvard University expects home improvement activity to slow this year, possibly by as much as 5 percent, before picking up again in 2009.
Still, for some families, remodeling can be a good strategy. To learn more, read the entire CNN article.
