Questions, answered
6 real questions people ask, each with a direct answer up front and the details underneath.
Is it worth remortgaging for home improvements?
Remortgaging for home improvements can be a good option if you can secure a lower interest rate, add significant value to your property, and have enough equity. You'll need to weigh the new loan's interest against other financing options, like a home equity loan, and account for fees, which often total 3% to 5% of the loan amount. Don't forget potential early repayment charges on your current mortgage, sometimes 2% or more.
Can you include home improvements in mortgage?
Yes, you can include home improvements in a mortgage, usually by refinancing your current mortgage or taking out a new one. Options like FHA 203(k) loans, cash-out refinances, or home equity loans let you borrow against your home's value to fund renovations. You can finance projects ranging from $5,000 to hundreds of thousands of dollars, depending on your equity and credit. This approach often provides lower interest rates than personal loans or credit cards.
Can You Do Home Improvements on a Sunday?
Yes, you can do home improvements on a Sunday, but you must respect local noise ordinances. Most municipalities restrict loud activities like sawing or hammering to specific hours, often from 9 AM to 5 PM. Check your city or county's regulations to avoid fines, which can be $100 to $500. Quieter tasks, like painting or gardening, are usually fine at any time.
Can you deduct home improvements from capital gains?
You cannot directly deduct home improvements from capital gains. Instead, these improvements increase your home's cost basis. A higher cost basis reduces the profit, or capital gain, you realize when you sell your home. This reduction lowers your taxable gain and the amount of capital gains tax you owe. Keep detailed records of all improvement expenses, as this strategy can significantly reduce your tax liability.
Can you deduct home improvements on taxes?
You can't deduct most home improvement costs on your taxes, but some exceptions apply. Energy-efficient upgrades may qualify for up to 30% in tax credits.
Why did home improvement hide Wilson's face?
Wilson's face was hidden in all 204 episodes of 'Home Improvement' as a creative choice, inspired by a childhood memory of the show's co-creator, David McFadzean.