Learn 9 Easiest Ways to Finance Your Bathroom Remodel

2) Home Equity Credit Lines (HELOC)

HELOCs, or home equity lines of credit, allow homeowners to borrow money against the equity in their homes. If you know you’ll need extra finances for your bathroom to remodel but don’t want to commit to a certain loan amount, this is a wonderful choice.

The disadvantage of HELOCs is that their interest rates are changeable, which means they might rise or fall over time. You also have a limited period of time to borrow money, and if you don’t use all of the funds available to you within that timeframe, you’ll most likely have to restart the process.

3) Personal Loans

Consider a personal loan if you don’t have enough equity in your house to qualify for a home equity loan or line of credit. Personal loans can be secured or unsecured, which means that the lender cannot take any assets from you that you did not put on the loan if you are unable to repay it.

Personal loans can have automobiles and other valuables attached to them as collateral, which will result in a better loan. If you do not put up collateral, your loan will be less expensive and have a higher interest rate.

4) Construction Loans

If you’re doing a larger makeover and want to go a different route with financing. Construction loans are secured by the home itself, although they are classified as specialized financing.

These loans will enable you to take out a larger loan at a cheaper interest rate till the construction is completed. When the construction is completed, the loan will be converted into a permanent financing option.

5) Loans from RenoFi

RenoFi is a lender that we included on this list since their product is ideal for remodeling and renovation. Before you rush in too quickly, take your time and research this form of financing.

Alternatives for Unsecured Loans and Funding

Unsecured financing choices always feature higher interest rates and make it more difficult to borrow large sums of money. When a loan is unsecured, there is nothing attached to it to ensure that the lender is paid if you default or choose to stop paying.

Credit cards are a prime example. There are certainly consequences, but they are not as severe or quick as those associated with secured loans.