In this video, you will learn about HVAC Financing. It is a talk show, and someone called in to say the HVAC system is $20,000. Her house is worth $100,000. She has paid off $80,000. He advised her to finish paying off her debt on her mortgage.
He said once she is debt-free, she can start thinking about home improvements. Return on investment is the best way to look at this. You want to break down all the improvements you need into categories. If the improvements don’t increase your return on investment, then you have to ask yourself if it is worth it. If it is saving you money, you can see if it will make you eventually break even. In this example, will invest in a new HVAC system save you money on your energy bill each month? If it does, you have to see how much time it will take you to break even. How do you break even on these purchases? That is how you have to look at it. You want to be frugal with it. Oftentimes, you don’t get your money back. The key here is that you should make sure you are out of debt first before you start looking at other home improvement investments.