Upgrading your home is one of the most profitable decisions you can make. Not only does this provide a sense of accomplishment, home upgrades influence the aesthetic appeal of your home, which will pay off when it comes time to sell your property.

In many instances people realise that the upgrade cost to purchase a dream home is too expensive and not affordable, the next-best thing is improving the value of your current home.

Daniel Pym of Loan Market advises "If you have owned the home for 5 years or more, chances are, you have made some money in capital growth and that interest rates have decreased enough that borrowing to renovate, will not significantly increase the loan repayment."

For example previously if you borrowed $500,000 the repayment at its highest point was $4,000 per month, now if you owed $500,000 and borrowed another $100,000 to renovate, the monthly repayment would be about $3,000 per month!

So it makes perfect sense if you want your dream home look no further than your current back yard...