If you own a home, chances are that you've had several home improvement ideas in mind for some time. We want your dream renovation to become a reality, and now they can, by applying for a Nationwide home equity line of credit (HELOC) or home equity loan.
Using a HELOC for your home renovation
You can easily use a home equity line of credit (HELOC) to pay for your home improvement projects. As a type of home improvement loan, a HELOC is a line of credit extended to you based, in part, on the value of your home. With it, you're approved for a total loan amount, but like a credit card you are only required to pay back the amount that you have used. You can use special checks or a Visa® card connected to your line of credit to pay for what you need, when you need it.
There are flexible repayment options when you reach end of draw, and often times the interest accrued can be tax deductible. Please consult your tax advisor regarding the deductibility of interest of your home equity line of credit. A HELOC from Nationwide Bank offers low variable interest rates, which means you'll have more money, as compared to other financing options, for your planned projects.
Home equity loans can also be used for home renovation costs
If you need a specific amount of money for a larger, one time home renovation, a home equity loan is a great solution for you. You will get a lump-sum payment with a fixed interest rate, so your monthly payments stay consistent.
Whether you opt for a HELOC or a home equity loan depends largely on the scope of the projects you have in mind for your home. Ultimately, both home improvement loans feature attractive interest rates that consistently beat credit cards, as well as potential tax benefits on the interest that you pay. Sit down with your tax advisor to discuss these potential benefits in greater detail.