3 Kids and Us

Serious Home Upgrades: How to Finance Them

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As homeowners, we always look for ways to improve our homes in order to secure better living conditions for our families and to add more value to our assets. Unfortunately, this doesn’t always go smoothly, as money is often the biggest issue. Also, it’s not uncommon to have the home improvement project turn into a never-ending process that devours your precious budget in the blink of an eye!

For that reason, it’s imperative you take time and make careful financial plans and research all available financing options and possible downfalls. You may also be able to save some money on home upgrades by doing them yourself. For example, there are plenty of assemble yourself cabinets available online that are easy to install. Here are a few other suggestions on how you can deal with this sensitive matter.

Use cash if you can

If you’re undertaking a large-scale home renovation project and it’s possible to divide it into smaller stages, using cash is probably the best option. In that way, the risk of piling up debt decreases significantly.

The average cost of serious home improvements and upgrades is usually around $20,000 and for most people, finding that sum of money in a short period of time is often impossible. So, dividing your project into smaller and more feasible phases is your best chance.

Take a loan

Even the big renovation projects can be scaled down to medium ones as far as the costs go. That means somewhere between $15,000 and $50,000, which will make you eligible for unsecured or personal loans. They’re easy to apply for and you don’t need any collateral.

There’s also the option of longer periods for payback without putting your home as a collateral, but interest rates are much higher and there are no tax benefits to boot. So in the end, you’ll pay more than you initially planned, but most clients claim it’s worth the price.

Combo options

Going with cash or loans only is not your only option. Another feasible option is combining these two and in many cases, experts recommend it. The main advantage is that you’ll be able to reduce the amount you pay in interest. Just bear in mind that the longer you stretch your financial plan, the bigger the odds are that you’ll end up in a tight spot.

Financing program

When thinking of improving and upgrading your home, you need to consider the time we live in now and the future as well. We are already experiencing climatic changes, extreme temperatures, and induced storms, so investing your money into insulation, door, window and roof reinforcement is something to be seriously considered.

Such investment is quite substantial and, for most people, unattainable. However, with financing programs such as PACE (Property Assessed Clean Energy), serious improvements and energy-efficient upgrades are now easily done. This is a new concept in financing property improvements that help save energy, harness renewable energy, conserve water and offer protection against natural disasters.

The obvious question here is: how does Pace work? In general, with the help of PACE, homeowners can get full financing for their renovation project, based on the available equity in their property and payment ability. The entire amount, including interest and any applicable fees, is added to your property taxes which you then pay over a period of time. It can be done via your annual or semi-annual property tax bill or as a part of your monthly mortgage installment.

0% credit cards

It’s almost hard to believe, but there are some surprisingly good options here, too, provided you have a decent credit. If that is the case, your bank might offer you a zero-rate credit card that will probably sound like science fiction to you. But, it’s quite a realistic probability and it can finance your project without a cent paid in interest.

Unfortunately, it doesn’t come without potential traps that can easily swallow you, if you’re not careful enough. These are usually sky-high interest rates after the expiration date, the lack of tax benefits, the balance transfer fee, penalties for missing a payment or being late and a short period of time for the payback.

When you’re thinking about the ways to finance your home improvement project, your main consideration is being prudent and thinking about contingency. However enticing and appealing some financial loans or programs may seem initially, you should look beyond the instantly available sum of money. In order to avoid creating more serious problems long term, pick your projects carefully and invest only in those that will add value to your home and improve the quality of your living standard.

How to reduce your household expenses

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If you are concerned about your finances, it is important that you act fast to resolve the situation. After all, it’s your best chance of getting matters under control before you are landed in an enormous amount of debt and forced to change your lifestyle drastically. Although it is important to keep living in the way you desire, there should be some areas that you can subtly adjust. Doing so will help you to free up some funds and to pay off any debts. Why not begin with your household expenses? There are so many ways that you can reduce them to secure impressive savings. Below are six suggestions to get you started.

Taking care of your animals

Owning a pet can be expensive. That is why you need to keep your eyes peeled for money saving opportunities. Make sure that you do your research before going ahead with any purchases. For instance, if you are a dog owner, you should think about the meals that you are providing for your pampered pooch. It will give you a chance to compare your prices and to make sure that you are getting the best dog food for the money you are handing over. Once you have made this purchase, you will need to weigh each meal to make sure that you are not overfeeding your pet and wasting precious resources. Another step is to try grooming your animal at home. You could set up a washroom and invest in high-quality products. Although this will be expensive at first, in the long run, it will save you from paying someone else to do this for you.

Completing your weekly grocery shop

Next, you should think about saving money on your weekly grocery shop. If you are going to reduce your household expenses, you can’t afford to be throwing money away. That is why you should never buy a product unless you absolutely need it. You can ensure this by creating a meal plan for each week. Then, you can write out a grocery list that will help you to budget your purchases and to stick to your plan. Instead of relying on a scrap of paper that could easily be lost or torn, you should download a useful app. That way, you have no excuse for wandering off course. You could even download an app that allows your family to add to your list remotely. Creating a list will save you from forgetting any essentials and wasting precious time on a second trip to the store. Although you should be sticking to your list, you should also be on the lookout for any chances to buy items in bulk and to secure a one-off deal. Why not set yourself a financial goal for each week?

Paying your monthly bills

It is likely that a lot of your outgoing expenses involve paying your monthly bills. Whether this is your electric bill or your heating bill, it is vital that you are cutting costs wherever possible. You can do this by getting off the grid and creating your own energy. Not only will this help you to save money, but it could also help to save the environment and to boost the value of your property. If you don’t already have solar panels, now is the time to invest. You could even end up generating enough energy to sell back to the government. You should also invest in comprehensive insulation solutions, as this will prevent valuable heat from escaping your property. Additionally, you should switch your regular light bulbs to LED alternatives and encourage your loved ones to turn off their devices once they have finished with them.

Managing your technology

When it comes to your technology, you should also be evaluating your television subscriptions. If your family likes to explore a wide range of channels, you may be facing a large monthly bill. It is one area where you could be making a huge saving. Firstly, you will need to make sure that you aren’t paying for channels that you don’t watch. You will also need to compare the prices that you could be getting with other providers. Understanding your options could help you to negotiate a better deal, as the company that you are currently with will have to compete for your loyalty. Another thrifty tip is to ask your loved ones to charge their devices in public places. You should also be leading by example and do the same. It will save the sockets in your home from being switched on all the time. Perhaps you could charge your smartphone at your favorite coffee shop or take your power pack along to the local library.

Cleaning your property

Cutting down on your expenses shouldn’t stand in the way of you being house proud. Instead, it should simply evolve your attitude towards cleaning. Instead of hiring outside help, you should establish a chore chart for the whole family to follow. You could also save money by creating your own cleaning products as an alternative to store-bought solutions. Finally, you should endeavor to clean your own car, as this is another brilliant way for you to claw back some extra funds.

Keeping your family entertained

If you spend a lot of money on keeping your family entertained, you should write a list of fun and free activities that everyone will enjoy. Embracing a thrifty lifestyle will help your loved ones to respect their money and to create their own entertainment. Why not hold a weekly family meeting and encourage everyone to bring along at least one suggestion? You could spend time outdoors hiking or walking along the beach. You could attend a cultural event such as an open gallery or a community theatre performance. Or, you could strengthen your family bond by taking part in a charity run or an outdoor team sport. The most important thing is that you aren’t relying on your wallet to have a good time. It may take a little while for you to get used to this change, but it won’t be long until you’re all having fun.

Christmas on a Budget – Here’s What You Can Do to Save Money

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Christmas is the most expensive time of year. The average family spends around $950 on Christmas, which is a significant chunk of money if you don’t have a lot of spare cash. The good news is that you can do Christmas on a budget. Here’s how!

Royalty Free Photo

Start Saving Early

Start saving as early as possible. If you can afford to, put a little bit of money aside each month to pay for any big-ticket Christmas purchases. Kids these days are usually desperate for expensive electronic gadgets at Christmas, which can be a huge drain on a family budget. You could buy these items on a credit card, but that will cost you more in interest and going into the New Year with a debt burden is not advisable.

Some stores do savings schemes for their customers. You can put aside a small amount each month and when Christmas arrives, you have your nest egg to spend. It is especially useful for grocery shopping, as buying extra food and alcohol at Christmas is expensive.

Save Money on Decorations

Christmas decorations need not cost the earth. While real Christmas trees are lovely and smell divine, they can be pricey, and you are then stuck with a dead or dying tree in January. One way to circumvent this issue is with an artificial tree. Artificial Christmas trees often look just as nice as a real tree, but their biggest advantage is that they can be reused year after year. So aside from your initial investment, it won’t cost you anything extra. Look for a tree that fits your budget. Balsam Hill Christmas trees are a popular brand that offers great value for money.

Don’t spend money you can’t afford on expensive baubles and garlands. Make your own! Kids love to be creative at Christmas. Let them play with paper and glitter. They will probably bring home some pretty decorations from school. Use this as a starting point and then look online for more ideas. It’s amazing what you can do when you have some paper, glitter, and imagination.

Create festive garlands using holly, ivy, and greenery from your garden. String evergreen garlands together using florist wire and hang them over your fireplace and above pictures. A little bit of greenery will transform your home into a festive grotto.

Start Buying Early

Don’t leave it until the last minute to do your Christmas shopping. Prices inevitably go up nearer the holidays, so you will end up paying more than you need to. Have a list and keep an eye out for bargains in the months prior to Christmas. If you have young children, pick up small toys in the sales and watch out for second-hand jigsaws and books in thrift stores.

Do the same with your grocery shopping. Many food items can be frozen in advance, so if you see a great BOGOF deal, freeze the extra so you can use it over the holidays.

Don’t panic about Christmas. Have a budget and stick to it. That way, you won’t be caught out.

How to Make Your House Healthier with Less Noise Pollution

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Soundproofing your house aims to reduce noise levels which results in better rest, better sleep and better mental health. In this article I will talk about different aspects of soundproofing and how it will make your home healthier for you and your children.

The need for soundproofing

Noise is an unwanted or unpleasant sound that can be described being loud, harsh and confusing to the ears. As NIDCD puts it, a prolonged exposure of any noise above 85dB causes gradual hearing loss while the exposure of more than one minute of 110dB or more of noise increases the risk of permanent hearing loss.

These values don’t make sense if you don’t understand how they correspond to the sound level that you may be exposed to. Unless you live in a quiet rural area (40dB) or a quiet suburban (50dB), majority of urban neighborhoods are characterized by loud busy streets, noisy offices, loud heavy traffic, passing subway trains and loud car horns which correspond to between 70dB and 100dB.

Property developers and home builders alike do not take noise seriously as they ought to. This applies to residents as well who only come to think about the sound of their dwellings when health problems like hearing impairment, cardiovascular diseases, sleep disturbances, diabetes and high levels of stress hormones, impaired brain function and hypertension among many others arise.

How to make your home soundproof

Living in a quite environment is possible for you and your children even if you live in a noisy street or next to a highway. All you need to do is improve your home  with noise considerations in mind. Sound can be transmitted, absorbed, reflected or diffused and this means that you can create a relatively quiet and pleasant home by balancing all these aspects of sound as follows:

Windows

Windows are major transmitters of noise from outside and this can be minimized by reducing the number of windows or upgrading to sound-proof windows that are designed to stop noise by breaking up the exterior sound waves.

Interior materials

Interior materials that are usually considered luxurious and used on doors and floors can contribute immensely to high sound levels.  Such materials include glass and French sliding barn doors, wood and tile floors as well as hardwood staircases.

Avoid this by using soft materials that are known to attenuate sound like fiberglass, acoustic foam, hanging baffles, acoustic partitions and quiet boards among others.

Interior space

One property of sound waves is that they become quieter as they travel further or when an intervening object is placed in their path. An open concept is very convenient when it comes to home entertainment and ease of movement but you will need to consider using large floor rugs and heavy curtains that will help in absorbing sound.

The entertainment system

 

The entertainment system is usually the source of interior noise in any home. This is especially when you use subwoofers, mount them on walls or place them near sleeping rooms. In such cases, it is mostly children who suffer because they will be deprived of sleep as well as suffer from other health effects that are associated with noise pollution.

Sound pollution is bad for the health of your family especially children and it is important to soundproof your home as a prevention measure to avoid future complications.

Ways to Budget For Home Improvement and Maintenance Costs

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When you buy a property, there are a host of costs to think about after you get settled in. If you have a newer home, then these might not come until later on, but if you have an older property, maintenance and improvements may come into play a lot sooner than you think. Although you may have had surveys to check the house before moving in, there may still be things that require a little TLC later down the line. These issues can turn into more significant problems if not sorted in good time, so budgeting for them will help to prevent any surprise costs.

It can be challenging to know precisely how much to put aside each month or year especially if budgets are already stretched so starting with the basics can help get you off on the right foot. Take a look at some of the ways you can start saving more to lessen the maintenance burden down the line.

Plan ahead

No one can predict what will happen today or tomorrow, but you may have some idea of the type of work that might need completing in the near or distant future. Some aspects may be more obvious than others such as knowing your boiler needs repairing regularly or those draughty windows that are letting too much cold air in. There are some that can be planned for in advance and others that might require immediate attention. Determining each can help you plan costs and disruption ahead of urgent action. However, you should always compare prices, especially if you need a big job doing. For instance, replacing your home’s roof can be expensive and a lengthy experience, so make sure to head to a comparison site for conservatory roof replacement quotes or if you need the roof of your main home fixed.

Start building some reserves

It is essential to start building a pot to put money aside for these improvements or general maintenance costs. If you know what type of work might need completing in the future, you will have a goal to work towards. For instance, if you know you’ll need to repaint the outside of your home, which is a large building, or you may need to replace your windows in a couple of years, put a monthly sum of money away. Do this by calculating your expenses, such as rent, utility bills, car payments, cost of living, etc. Calculate a percentage, and then make sure you put this money away in a separate savings account. A separate account will ensure you keep from spending it.

Use credit sensibly

When something goes wrong, you might not have enough to cover the cost of replacement or repair. In these cases, turning to credit cards or loans may be your only step if a family member cannot help out in the interim. If you have credit available, take a look at the deals you have on these resources, as you may be able to take advantage of low rates to provide a buffer. If you want to remodel your home on purely cosmetic reasons, then saving money for this rather than taking out new credit or loans will ensure you can manage your budget effectively and not end up paying over the odds for home improvements.

Budgeting for essential repair and improvement works can help to keep your home in the best condition for your family. It’s good sense to keep an emergency fund in a separate account for such unforeseen reasons. The last thing you want to happen is to live in a home with a broken window or a roof that need urgent tending to.

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We left our home in Sydney, Australia many moons ago in May 2012 and, other than a brief stint back in Perth for Christmas and a wedding in early 2014, we have been travelling the world nomadically ever since, running a business from our laptops and we’re here to show you how to do it!