Refinancing a Home
Improvement Projects with the Biggest Payoff
New cars are typically more expensive to insure than older cars. Where homes are concerned, though, that often is not the case. Homes that have been recently renovated tend to have fewer problems: New pipes are less likely to leak, new furnaces are more likely to function properly, new wiring is less likely to start fires, etc. Many insurance companies offer discounts to homeowners who have recently renovated their homes, especially because a professional has fixed problems that may exist.
If you plan to refinance your mortgage in order to renovate or add on to your home, check with your insurance agent to see if you should modify your project to qualify for any home insurance savings. While it doesn’t make sense to tackle a project simply to get a discount on insurance, why enjoy savings if you can?