Aaron explains how to approach renovation loans. Use a mortgage broker to explore products and get an upfront property valuation. Structural work like additions may trigger a construction loan with bank-controlled funds, while cosmetic work like landscaping won't. Check your income and payslips before applying.
Renovation loans. How do we go about it and how can I screen this for my circumstances? Hey, it's Aaron from Diagnostics and Finance. Just wanted to give you a little video around renovations. The biggest tip around renovations is that you should use a broker. Using a broker will allow you to look at your situation, whether there's other products on the market, whether the bank allows an upfront valuation to happen. And if you can get an upfront valuation, you know exactly what money you're dealing with, then you need to screen out what you're doing. Is it just landscaping, driveway things that are non structurally renovate, maybe change a window? But if it's the structure that you're going to change, then the bank potentially is going to take control of the money and put you into a construction loan. Not necessarily a bad thing. If you're putting another level on the house. It's really good to be able to make sure that you keep an eye on the builder. The bank has its interest in its property as well and we go from there. So screening it out, get evaluation done, get your income sorted out, check the dangers of your pay slip if you've got overtime and things like that. Get it all screened off before you put the loan in. Let's do it the right way. Let's check out what the value is and go from there. It's really good to be able to do renos. It could increase the value of property and it makes your headspace clearer, getting things done around the home where you can. All right, it's Aaron Diagnostic Finance. Comment below. We'll talk soon. Bye.
