Today, people no longer wait for a few years or decades to renovate their homes. Since the arrival of the coronavirus pandemic, as people have been spending much more time in their homes, they’ve been hearing their kitchens screaming for quartz countertops and their bedrooms shouting for a fresh coat of paint.

However, when you are entangled in a home improvement project – small renovation or major overhaul – it’s easy to get caught up in the excitement of choosing furniture and finishes or get blindsided by the unanticipated glitch of wanting a Pinterest-like landscape, a 2.5 spacious bathroom or shiny wooden floors – even if you can’t afford to pay for these luxuries.

The reality is that every home remodeling project always costs way more than you’ve thought or planned. This is why you should never go too far with renovations unless you want to eat out a can of baked beans on a $7, 000 Swedish-designed sofa for seven nights in a row.

Speaking about being realistic, here are some solid ways how to finance your home’s transformation.

#1. Take Up a Second Job or Work Overtime

At one point, moonlighting – the practice of having a second job in addition to your regular employment – was only for severely cash-strapped and underemployed people. However, today, even professionals in main income groups can be strapped for cash and opt for an extra, part-time job. If your regular work schedule allows, take on an additional job to finance the home renovation project you’ve been yearning for.

Working overtime is also compensated and that compensation can be used to pay for that new roof or install an HVAC system.

#2. Rent a Room in Your House

Many homeowners have a spare room sitting empty – be it a storeroom where nothing’s no longer stored or a childhood room your kids left. So, how about using it and building a pile of cash by bringing a lodger?

Post a simple note on any social media platform or go public by putting it up in a local newspaper and I promise you’ll get more calls than you can handle.

You’ll be renting a room in your house doesn’t mean you’ll become housemates with the lodger. Remember you’ll become a landlord just like a person who rents a building. So, there’ll have to be rules and regulations.

#3. Rent Your Home While You Are Out of Town

When you are heading out of town for business or vacation, you can earn some extra cash by renting your home. In this case, you’ll have to rent it to someone you know personally – a friend, a cousin from the family, a colleague or an old neighbor.

See with a local insurance agent if your homeowners’ insurance policy covers you when you are renting your home for just a few days or a week or two.

#4. From Home to a Billboard 

The quirky geniuses at Brainiacs From Mars are looking for houses to turn into billboards. Sounds weird, but if your local zoning laws allow, they’ll splash your home’s exterior with some bold, crazy colors and stick an advertising message. In return, the Brainiacs will make your mortgage payments for one year. Doesn’t that cover the cost of your new master bedroom?

#5. Get a Home Equity Loan

This is not the same as a HELOC, which allows you to take as much money as you need when you need it. A Home Equity Loan, also known as a Second Mortgage, is a loan that uses your home as collateral. You will receive the entire amount as a lump sum and will repay it in monthly installments over a period of many years.

The benefit of this type of loan is similar to that of a mortgage. Once you’ve locked in the interest rate, it won’t change over the life of the loan. The disadvantage is that you don’t have the flexibility to pay it off whenever you want, as you would with a HELOC.

So, are you ready for your new dream house?