Financing a garage

[ffjosh]

Like most people I do not have $10k laying around to build a garage. In the last few years I have gotten $3k

Im thinking about financing. Im going to try to pay for dirt work and concrete out of pocket but the building I need help with.

Any ideas of who to use that dosen't charge 25% intrest?

 

[regguy1]

A HELOC is best if you're a homeowner

 

[ffjosh]

A HELOC is best if you're a homeowner

I will look into that but I do not have 20% of my house paid off so I can't get most home loans.

From my math skillz (not good) im about $4k away.

 

[nirion]

If you are in a rural area, try farm credit (they have different sites for different areas).

Or you could use the 3k you have to pay towards home loan, then wait to get $1k more in equity to be at the 20% and get a line of credit on that.

 

[ffjosh]

If you are in a rural area, try farm credit (they have different sites for different areas).

Or you could use the 3k you have to pay towards home loan, then wait to get $1k more in equity to be at the 20% and get a line of credit on that.

That is true. I was really trying to not put anymore onto my home loan. I hate forking out the money how it is. Im trying to pay extra every month so in 15 years its paid off.

Ill check out farm credit.

I noticed some steel building places offer financing but there buildings are twice as much.

 

[haugy]

No offense, but if it took you a few years to get $3k, maybe adding on to your financing isn't the best idea.

Is this for business or pleasure?

 

[rwhite692]

Well, if you have $3K thusfar, look at the bright side, if your project budget is $10K, you are 30% of the way there!

Find a way to increase your income and/or decrease your expenses, and put that extra money away for the garage. No one is saying it will be easy.

It took around 10 years of saving for me to afford mine, and there were setbacks along the way (where I had to tap into the saved money, for other more important things).

Be patient and you will get there.

If you don't have much equity in the home, it makes no sense to borrow more money (at what will be a much higher interest rate than your mortgage) just to build a garage.

If you do, you will have the garage built and then will be too strapped financially, to be able to pay for any projects, etc that you might want to take on.

 

[ed_v]

I agree with others. If money is tight, wait until it's not.

You could build something like this:

http://www.garagejournal.com/forum/showthread.php?t=36321

At $3k, you'd be almost at what this ran I bet. You could also build a small pole building by sourcing the material yourself and gathering some buddies and build it yourself over a few weekends. You could pour the floor when funds are available.

Ed

 

[Daniel Dudley]

3 K will put up the poles and roof on a pole barn. Probably about 20 X 30. I built one this way, brought in gravel and let it sit a few years as an open shelter. Then I did the slab (1,000.00 in materials), and did the walls.

Paid it all in cash.

 

[SiGmA_X]

Paid in cash is the only (smart) way to build a garage. I honestly would save more money. Do side work. Something to get more income in the door. Be diligent about cutting your budget so you can save - Not an easy thing, and not a current American goal. You'll be VERY proud of what YOU BOUGHT vs what the BANK OWNS if you pay cash. Best of luck sir!

 

[tlowery04]

This may be out of left field, but considering this is a garage/diy minded people forum, maybe not, I don't know where you live, but utilizing alternative building methods you may be able to cut a substantial amount off your bill. When I build my shop I think I want to use some of the following: used oilfield pipe, recycled brick, rammed earth, pallet wood (oak), maybe a bottle wall, I could use my band saw that I will have by then to make rough cut lumber, and I could use free tin sheds for roofing material backed with roll on insulation and tar paper with caulking on the seams I think it would be fairly water proof.


Or,


I could just buy the materials and hire a crew I know to put it up in a third of the time it would take me. However like you, I would need about 4 times as much cash.

 

[ffjosh]

I did a budget last night and I am just going to save the cash. I should by next year have the money for it.

At the moment my dad has a older Morton poll building. It has a 24x24 (give or take) concrete pad. Im going to inclose this pad, put in a couple roll up doors and make a small little shop.

Should get me by for a while and he only lives 6 miles away

 

[bdog]

Don't borrow money for it. Pay as you go. I used to borrow money for all kinds of things but stopped and it has been the best decision I have ever made. If you have 3k get started on your project and then that will motivate you to save more and work extra to finish it.

 

[mmb617]

3 K will put up the poles and roof on a pole barn. Probably about 20 X 30. I built one this way, brought in gravel and let it sit a few years as an open shelter. Then I did the slab (1,000.00 in materials), and did the walls.

Paid it all in cash.

This is the way to go! It's exactly how I did my garage. It took a couple years to finish as I bought materials as I could afford them, but when it was done I owned it. Getting the poles and roof up is a real good start and will give you incentive to keep moving the project forward.

 

[Steves32]

Don't finance, pay cash for it. That's what I did.
Have a budget but be prepared to go over budget unless you really do your homework.

 

[ddawg16]

I'm going to echo the above as well....

More importantly....no matter how carefully you budget how much it will cost....it will end up costing more than you think. My garage ended up costing me about $10K more than I initially thought....it's the little things....they add up....

If all you have right now is $3k.....pay off some debt...start saving the money that you are paying in interest.

 

[ffjosh]

I don't have any debt but a house and my SUV. (which I hate)

I hate debt and its the reason I don't want to take out a loan.

I was scared to have it open for a long period of time. I was afraid of the wood rotting.