<h2 style="margin: 10pt 0in 0pt"><font size="3" color="#990000">Need More Room? Don’t Move – Improve</font></h2><p><span style="font-size: 10pt; line-height: 200%; font-family: ‘Verdana’,’sans-serif’; letter-spacing: 1pt">(ARA) – According to the National Association of Realtors, the continuation of a soft market is predicted for existing home sales in the coming months. This comes as bad news for people who are considering selling their homes in the near future.</span></p><span style="font-size: 10pt; line-height: 200%; font-family: ‘Verdana’,’sans-serif’; letter-spacing: 1pt"><p style="margin: 0in 0in 0pt" class="MsoNormal">Gone are the days when potential buyers would fight over every listing that comes on the market, driving up prices in the process. Now homes may linger on the market for months, fetching far lower prices. The national median home price for existing single-family homes was $206,200 in the fourth quarter of 2007, down 5.8 percent from just a year prior. Because buying a new home typically requires first selling your current home, many people who want to "move up" to a bigger or nicer home are choosing to stay in their current homes and upgrade them rather than put them on the market. </p><p style="margin: 0in 0in 0pt" class="MsoNormal"> </p><div style="text-align: center"><object classid="clsid:D27CDB6E-AE6D-11cf-96B8-444553540000" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,29,0" width="425" height="282"><param name="movie" value="../images/banners/1a.swf" /><param name="quality" value="high" /><param name="menu" value="false" /><param name="wmode" value="" /><embed src="../images/banners/1a.swf" wmode="" quality="high" menu="false" pluginspage="http://www.macromedia.com/go/getflashplayer" type="application/x-shockwave-flash" width="425" height="282"></embed></object></div>  <p style="margin: 0in 0in 0pt" class="MsoNormal">Home improvements offer many benefits: they not only make your home more comfortable, but can also be a prudent investment. Popular projects include: kitchen remodels, bathroom additions, deck additions, siding and window replacement – all improvements that, in addition to making a home more livable, may actually increase the value of a home.</p>  <p style="margin: 0in 0in 0pt" class="MsoNormal">But with the economy being as tough as it is lately, where will people find the money to pay for their improvements? A popular option is to tap into the equity in the very house you’re planning to fix up. "When it comes to funding home improvement projects, consumers with equity in their homes have multiple options, such as taking out a home-equity loan, setting up a home-equity line of credit or refinancing an existing mortgage," says Stephen Semprevivo, president of LowerMyBills.com, a free online service that can help consumers compare low rates on monthly bills and reduce the cost of living.</p>  <p style="margin: 0in 0in 0pt" class="MsoNormal">Here is a quick guide to financing choices:</p><p style="margin: 0in 0in 0pt" class="MsoNormal">Home-equity loan: With a home-equity loan you take out one lump some of money based on the equity you already have in your home. The amount you borrow and the interest rate are fixed at the start of the loan. These loans typically last from 5 to 15 years. </p>  <p style="margin: 0in 0in 0pt" class="MsoNormal">Home-equity line of credit (HELOC): Like a credit card, a home-equity line of credit functions as an open line of credit, only it is borrowed against your house like a second mortgage. The benefits of using a home-equity line of credit instead of a credit card are that the interest rate for a home-equity line of credit is almost always lower than that of a credit card and the interest you pay is usually tax deductible.</p>  <p style="margin: 0in 0in 0pt" class="MsoNormal">Cash-out refinance: A cash-out refinance allows you to refinance your mortgage for more than you currently owe, leaving cash on the table that you can put toward your home improvements. Unlike a home-equity line of credit or home-equity loan, a cash-out refinance does not require taking on the additional burden of a second loan.</p>  <p style="margin: 0in 0in 0pt" class="MsoNormal">Don’t want to take the gamble of borrowing against your house? Don’t despair. "Homeowners that don’t have a lot of equity in their homes, or don’t want to tap into that equity, may find that simply refinancing their homes can help offset home improvement costs," says Semprevivo. </p>  <p style="margin: 0in 0in 0pt" class="MsoNormal">Interest rates are near record lows. If you bought your home a few years ago you may well be able to refinance at a lower rate. That lower rate can yield substantial savings that can go a long way in paying off your home improvement bills.</p>  <p style="margin: 0in 0in 0pt" class="MsoNormal">Want to find out which option offers the best scenario for you? There are benefits and drawbacks to any home loan so it’s a good idea to discuss your options with a trusted financial professional. Once you’ve decided on the right move for you, Web sites like www.LowerMyBills.com can connect you with lenders who will compete for your business by offering competitive rates and terms. </p><p style="margin: 0in 0in 0pt" class="MsoNormal"> </p><div style="text-align: center"><object classid="clsid:D27CDB6E-AE6D-11cf-96B8-444553540000" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,29,0" width="425" height="282"><param name="movie" value="../images/banners/3c.swf" /><param name="quality" value="high" /><param name="menu" value="false" /><param name="wmode" value="" /><embed src="../images/banners/3c.swf" wmode="" quality="high" menu="false" pluginspage="http://www.macromedia.com/go/getflashplayer" type="application/x-shockwave-flash" width="425" height="282"></embed></object></div>  <p style="margin: 0in 0in 0pt" class="MsoNormal">Whether you go with a home-equity loan, a home-equity line of credit or a refinance, your interest payments will likely be tax deductible, and no matter which financing option you choose, upgrading your home can add value and comfort. Better get started right away though so you can enjoy those improvements in time for summer.</p>  <p style="margin: 0in 0in 0pt" class="MsoNormal">To shop for competitive home loan quotes visit www.LowerMyBills.com. </p>  <p><span style="font-size: 10pt; line-height: 200%; font-family: ‘Verdana’,’sans-serif’; letter-spacing: 1pt">Courtesy of ARAcontent</span></p></span>