February 28, 2011
Does your ever-growing bucket list include things like trekking the Himalayas or renovating the kitchen, but gets pushed into the too-hard basket from lack of spare cash? Well, you might be surprised to learn luxuries like these can actually bring you wealth, all with a little help from a personal loan.
Take home renovations, for example. According to ServiceSeeking.com.au, a kitchen overhaul can cost around $6000 while the average bathroom renovation clocks in at more than $8000. "You can spend a minimum amount on a kitchen and bathroom for a maximum return. Over time, a well-planned renovation could actually double your money," ServiceSeeking.com.au CEO Oliver Pennington says.
Or before you rent your place out, why not get a small personal loan to spruce it up with new floorboards, a splash of paint, or even a cost-effective garden? Making your home more presentable for prospective tenants could increase the rent, without breaking the bank.
Like Linda, who got a personal loan to give her run-down Queenscliff, Sydney, apartment a revamp. "I got a low-rate loan of 10.99 percent [from the Commonwealth Bank] - cheaper than my credit card - to lay new floorboards down, install an air-conditioner, and add a fresh coat of paint to inject life into the place," Linda says. "By spending around $11,000, including interest, the rent increased by 30 percent while the property increased from $400,000 to about $460,000."
How about a loan for a car to travel to a better-paying job? Residents of Sydney's western suburbs reportedly earn less than those living on the north shore. Australian Bureau of Statistics data indicates East Fairfield workers earned 2.5 times less than Mosman employees during 2003-04, the Sydney Morning Herald reported.
By 2007-08, these figures had risen to 2.9 times. And as it takes 97 minutes to get from East Fairfield to Mosman by public transport, catching two trains and a ferry, compared to a 49-minute car-trip, driving is the most convenient choice.
And an increased income means tolls, petrol and loan repayments are more affordable, while your savings account can be given a boost.
Stressful jobs make it hard to head off on a tropical getaway, but consider this: A well-earned break may give you a fresh outlook, keeping you in your job longer. And there are benefits too - some personal loans offer lower interest rates than credit cards, without the temptation to exceed your travel budget!
And why wait? A search on RateCity reveals loans like Commonwealth Bank's fixed-rate offers instant approval with same-day funding! Get onto your bucket list while getting ahead financially.
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