Buying guide
Home renovation loans: How to get one + how they work
Let’s finance those renos
AI summary
Financing a renovation? A mortgage top-up is often the best choice, adding to your existing home loan at lower interest rates. This usually requires a fixed-price contract and limits borrowing to 80% of your home's 'as complete' value.
Alternatively, a personal renovation loan is an option if you lack equity. However, these come with significant drawbacks:
- Much higher interest rates
- Shorter loan terms
- Lower borrowing limits
Always explore all funding options before committing to high-interest debt.
For many people a mortgage top up is the best option
Can’t borrow against your home? Consider a renovation loan
Before you start knocking down walls make sure your finance is sorted.
Drawbacks of renovation loans (there are a few)
ALWAYS APPROACH WITH CAUTION
How to keep your renovation budget down
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