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We can design your project. The normal phases of design include an initial meeting at your home with you. At which time you give us an idea of what you would like to have done. A lot of the time we will give you a rough idea of what it will cost to do it
and see if it is within your budget. If so, we will then schedule a second meeting.
We will
return for the second meeting with a floor plan (if it is needed), a detailed
job description that will tell you what we are going to do as well as what we
are not and what you will be responsible for.
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The "are not" in that
last sentence is pretty important. One of the most common practices in the
remodeling industry is to be vague on what they are not going to do.
When it comes up in the course of a job the contractor can say it wasn't
included in their estimate and charge you the customer extra for it. We will
have an accurate estimate with a fixed price on your project. There will
be no hidden cost or surprises.
The only extras
you will be charged for are those that you ask for.
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Home equity loans
although easily obtainable have their limitations. They are limited by law to a
borrowing value of only 80% of the value of your home in its current
configuration minus of course the balance that is owed on it. For instance if
your home has an appraised value of $100,000.00 and you still owe $60,000.00 on
the principal. The finance company will figure it this way. The appraised value
of your home is $100,000.00 and they can use 80% of that as a loan value
($80,000.00) minus the $60,000.00 you still owe on it so what you can actually
borrow is $20,000.00.
If you do a home
improvement loan the financing company can have your home appraised with the
improvements you want done and loan you 90% of that. In this instance say your
current home is appraised at $100,000.00. Then lets say you want to an addition
to your home that the appraiser has valued at $30,000.00. You now have a home
that is valued at $130,000.00. You can get a loan for 90% of the value
($117,000.00) less the $60,000.00 you still owe on the principal so you could
borrow as much as $57,000.00 against your home with the improvements compared to
the $20,000.00 you would have gotten with a home equity loan. These are both
hypothetical situations.
What it shows is
that BEFORE you borrow money against your home for an improvement on it
you NEED to talk with someone who is a professional in financing and
knows what options are available to you. Dream Builders of Austin can put you in
contact with these professionals and we do it as a service to our customers. We
receive no monetary compensation for it. |
