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Episode 25: HELOC for Home Renovation. When It Builds Value and When It Wastes Equity?

Episode 25: HELOC for Home Renovation. When It Builds Value and When It Wastes Equity?

Truss Talk
• 9 min
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Episode 25: HELOC for Home Renovation: When It Builds Value and When It Wastes Equity? Home renovation is one of the most popular reasons homeowners tap into their home equity, but swinging a hammer without a strategy can quietly erase years of wealth. Spending $80,000 on a swimming pool might sound like a dream upgrade, but if it only adds $15,000 to your home's resale value, you've effectively destroyed equity. In this episode of The Truss Financial Podcast, Jeff and Jason break down when using a HELOC for renovations builds genuine property value—and when it turns into a money pit. They explore why a HELOC's flexible draw structure beats high-interest credit cards or contractor financing, how to identify high-ROI projects (like mid-range kitchen updates and bathroom additions), and why over-improving for your specific neighborhood caps your return on investment. Before you start knocking down walls, tune in to learn how to evaluate your project, protect your equity, and fund your renovation with a clear financial plan. In this episode, you’ll discover: Value Builders vs. Equity Wasters: Why mid-range kitchen updates deliver 70%–80% ROI while swimming pools and hyper-custom design choices waste equity. The Neighborhood Ceiling: Why over-improving a home beyond what local buyers are willing to pay caps your overall property value. The HELOC Advantage: How revolving draw structures allow you to borrow only what you need as contractor expenses and unexpected repair bills pop up. Cheaper Capital: Why an 8%–9% HELOC is a far better choice than 15% contractor financing or 22% credit cards. The Smart Evaluation Process: How to determine whether a renovation is for personal enjoyment or resale value before spending a single dollar. Get in Touch with Truss Financial Group: Planning a home renovation and want to know how much equity you can unlock? Connect with our team to explore our fast, no-appraisal HELOC options without affecting your credit score: Toll-Free Phone: +1 888-878-7715 Website: trussfinancialgroup.com Fill out the form to contact us: trussfinancialgroup.com/contact