Finty

Compare renovation loans

Set your amount and term to see the repayment and total cost of 155 renovation loans side by side, so you know what you'd pay before you apply.

Personal loans for a new kitchen, bathroom, deck or other home improvements, with no change to your home loan. Compare rates, fees and repayments on general-purpose loans you can use for a renovation.

Written byDavid Boyd

What will it cost you?

Enter how much you want to borrow and for how long, and we'll show your monthly repayment and total cost on every loan below, at each one's lowest published rate.

60 loans

Showing 20 of 60

Repayments use each loan's lowest published rate and include any monthly fee. The total adds the establishment fee. The rate you are offered depends on your circumstances. Comparison rates are for the lender's own example loan, usually $30,000 over 5 years.

WARNING: A comparison rate is true only for the example given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate.

Renovation loans at a glance

Worked out from the 155 loans from 87 lenders we compare on this page.

Typical comparison rate

10.71%

Half the loans start between 8.41% and 12.63%.

Typical setup fee

$195

6 of 122 loans charge no setup fee.

No monthly fee

11 of 55

loans that state a monthly fee set it at $0.

Fixed or variable

58 fixed84 variable
How starting comparison rates are spreadNumber of loans in each band. The most common is 7–9%.

The short version

  • A personal loan suits smaller renovations, usually up to $50,000 to $100,000.
  • For bigger jobs, adding to your home loan is usually cheaper, though it's paid off over longer.
  • Get quotes first, and add 10% to 20% for the costs that always come up.

Paying for a renovation with a personal loan

A personal loan suits smaller renovations, such as a new kitchen, bathroom or deck, usually up to about $50,000. Approval is quick and there's no need to change your home loan.

For bigger projects, topping up your home loan or a construction loan usually has a lower rate, though spreading the cost over the life of a mortgage can mean more interest in total.

Comparing renovation loans

Look at the comparison rate as well as the interest rate. The comparison rate adds the lender's standard fees to the interest rate for an example loan, so it shows the cost of two loans on the same footing.

If your project includes solar panels, a battery or other energy upgrades, a green loan may have a lower rate.

Pros

  • No need to touch your home loan, so there's no valuation or refinance.
  • Paid off in a few years, not over the rest of your mortgage.
  • Quick to arrange, often within a few days.

Cons

  • Higher rates than a home loan.
  • Lower limits than a top up or construction loan.
  • Repayments are higher than on a home loan, as the term is shorter.

Alternatives

  • A home loan top up or redraw. Usually a lower rate, though interest adds up over a long term.
  • A construction loan, for major work paid in stages.
  • A green loan, for solar, batteries and other energy upgrades, often at a lower rate.

What you'll need to apply

Most lenders ask for the same things, and having them ready speeds up approval.

  • Proof of identity, such as a driver's licence, passport or Medicare card.
  • Proof of income, usually your last two payslips, or tax returns and financial statements if you're self-employed.
  • Details of what you spend each month and what you already owe, including credit card limits.
  • Your address history and, for a secured loan, details of the asset you're offering as security.

Questions people ask

What rate will I get?

Most lenders set your rate from your credit history, income and the loan itself, so the advertised rate is the lowest you could get, not the rate everyone gets. A rate quote with a soft check shows your own rate before you apply.

Can I pay it off early?

Usually, yes. Variable rate loans rarely charge for it. Fixed rate loans may charge an early repayment or break fee, so check the contract if you might pay it off sooner.

How much can I borrow?

It depends on the lender's limits and what you can afford. Lenders look at your income, your living costs and your other debts, and only lend what they think you can repay without hardship.