How Can I Get Money For Home Improvements?

You can get money for home improvements in many different ways. You can sell your home, take out a personal loan, or pay cash for renovations. 

There are also several government programs that provide funding, and you can even use crowdfunding to raise money for your project. 

might even be able to find funding through other sources like refinancing your mortgage or using an FHA 203k loan program.

Financing Your Remodel: What are the Options?
Home renovations require planning and knowledge of the process.
Plumbing is a critical aspect of home renovations and DIY plumbing can help save money.
Financing home repairs can be done through several loan and financing options.
Get a home improvement contract to outline the work to be done and protect yourself and the contractor.
Additional resources, such as guides on financing and budgeting for home improvements, can be found to ensure project success.
Home improvements can add value to your property, but financing should be considered carefully.
It is possible to save money on home improvements through DIY work, careful material selection, and energy-efficient upgrades.

Home Equity Line Of Credit

A home equity line of credit is a type of loan you can get using the equity in your home as collateral. It’s similar to a credit card but with more restrictions and higher interest rates. All you need to get one is proof that you own the house and have enough equity in it.

If you’re planning to renovate your home, knowing how the process works is essential. This guide provides valuable insights into home renovation and can help you stay on track with your project.

How do I get one?

Homeowners looking for a new mortgage or refinance should be able to apply for a HELOC at any time. The lender will look over your finances and determine whether or not they think you’re eligible for the loan, which may affect how much money they offer to lend (we’ll talk about this more later). 

Generally speaking, borrowers who want bigger loans often pay higher interest rates than those who don’t. If approved, the bank will let you know exactly how much money they’ll give you on what terms—whether this is good news depends on how much money you want and how long it would take for them to approve your application!

Selling Your Home

There are many reasons for selling your home, but the most common reason is to purchase a new one. 

If this is the case, there are a few things to consider before making an offer on another property:

What will you do with your old house? If you plan on staying in it after selling it, think about how much work needs to be done in order to sell. 

The more repairs needed before putting it on the market means less time spent negotiating with buyers and more money spent on contractors.

How much do I need out of this sale? Your goal may simply be getting rid of some debt or saving up enough money for a down payment so that when you move into a new home, everything goes smoothly without any fiscal hiccups along the way. 

In either case, having realistic expectations can help keep things from getting stressful when unexpected problems arise during negotiations—and they always seem to arise!

Selling Your Home

Reasons For SellingThings To ConsiderTips For Selling
Purchasing a new homePreparing your home for saleChoosing the right time to sell
Downsizing as children move out of the homePricing your homeEnhancing curb appeal
Moving to a different area for work or familyChoosing a real estate agentStaging your home
Relocating to a new city or stateMarketing your homeNegotiation strategies
Outgrowing your current homeHandling offers and contractsClosing the sale smoothly

This table provides a clear overview of the common reasons for selling a home, important things to consider when preparing to sell a home, and tips for selling a home successfully. The categories in the table can help you organize your thoughts and provide a solid foundation for making informed decisions when selling your home.

Taking Out A Personal Loan

The most obvious way to get money for home improvements is to take out a personal loan. A personal loan is just like any other type of loan: You borrow money, then pay it back with interest over time. 

However, unlike a credit card or an auto loan, you don’t typically use a personal loan to purchase things. Instead, you use it for large purchases that need significant funding—like a new car or home repairs.

Taking out a personal loan can be quick and easy if your credit score is good enough (a minimum of 620). If not, you may have to jump through some hoops first before being approved. 

It also depends on what kind of amount you’re borrowing and how much time you plan on taking to pay it back; if the amount borrowed is small and/or the repayment period is short-term (less than one year), then approval rates are generally higher than they would be otherwise.

Personal loans usually have variable interest rates based on prime rate + 1%. The average personal loan has an annual percentage rate (APR) between 6% – 18%, depending on factors such as your income level and credit history.

Keep in mind that the APR includes all fees associated with taking out this type of financing: origination fees (paid up front) along with ongoing monthly service charges.

However, some lenders offer lower APRs by charging higher upfront fees; these may be worth considering if saving money outweighs having less upfront cash available from day one.

Dealing with plumbing issues in your home can be frustrating, but with the right knowledge, you can easily tackle them. Check out our pro guide on fixing plumbing issues to learn tips and tricks for handling common plumbing problems.

Paying Cash For Renovations

If you have the cash to cover the cost of your remodel, then that’s great! Paying for home renovations in cash will save you from financing fees and interest rates. 

This is especially important if you’re planning on staying in your home for awhile, as those monthly payments tend to add up quickly. If this is not an option for you, don’t worry; there are plenty of other ways to finance a renovation project.

Getting Money From The Government

If you’re looking for government money to help pay for home improvement projects, you’ll want to start by checking with your local government. 

Every city is different and has its own programs for homeowners seeking loans or grants. For example, if you live in San Francisco and need help with a remodeling project, there are several options available through the city’s Department of Aging & Adult Services (DAS).

The first thing to do is learn more about what is available at your city’s DAS (or other local agencies like it). This may involve filling out an application form and providing information about yourself and your household income level. 

It might also include providing proof that the work being done on the house will be conducted by professionals who are licensed in their trade(s) or field(s). 

You’ll want this information handy when talking with a representative from DAS so they can get started on processing your loan or grant request right away!

In most cases like this it can take anywhere between four weeks all the way up until six months depending on how busy things get over at headquarters – so don’t wait too long before getting started!”

Whether you’re remodeling your bathroom or installing a new kitchen sink, knowing how to run plumbing can save you a lot of time and money. Our expert advice on running plumbing can help you get started on your DIY project.

Crowdfunding Websites

Crowdfunding websites are a way to raise money for projects. You might be able to use a crowdfunding website to fund home improvements if you offer rewards for donations, like gift cards or products made from materials salvaged from your home.

To get people’s attention and interest, you’ll have to prepare a video or other presentation that explains why you’re raising money and what exactly you intend to do with the funds once they come in.

Crowdfunding Websites

Crowdfunding WebsiteFeaturesSuitable for Home Improvement Crowdfunding?
KickstarterRewards-based crowdfunding, all-or-nothing funding, global reachYes, especially if offering unique rewards related to home improvements
IndiegogoRewards-based crowdfunding, multiple funding options, flexible fundingYes, suitable for funding DIY home improvement projects or unique product inventions
GoFundMeDonation-based crowdfunding, individual stories and causes, flexible fundingYes, if you have a compelling story and detailed plans for home improvements
PatreonSubscription-based crowdfunding, recurring revenue for creators, access to exclusive contentNo, not ideal for home improvement projects
SeedrsEquity-based crowdfunding, investment opportunities for businesses, pre-IPO fundingNo, not suitable for individual home improvement projects

Borrowing From Family And Friends

The first place to look for money is your family and friends. If you don’t have any self-loan options available, this is a great way to get the cash you need without having to pay interest or other fees.

When asking for a loan from someone close to you, make sure that both of you are on the same page before handing over any money. 

For example: You should tell them how much money you’re looking for and when it’s due back by; if they have specific conditions about repayment (such as interest), make sure those expectations are clear from the start too; also ask what’s going on with their finances so that neither of you ends up in an awkward situation later on down the line due to differing opinions about how long it should take for repayment and whether or not interest should be charged at all (if applicable).

Home repairs can be expensive, but neglecting them can lead to even higher costs in the long run. If you’re wondering how people pay for major home repairs, our guide can provide you with several financing options to help you complete your repairs.

Refinancing Your Mortgage

One way to get money for home improvements is to refinance your mortgage. This means that you can get a new, lower-interest rate on your current loan. 

The difference between the two rates will be sent to you in the form of a lump sum payment, which you can use to pay off old debts and/or make sweet upgrades to your house.

The catch here is that refinancing isn’t always possible if you’ve missed payments or owe more than what the house is worth, most lenders won’t let you go through with it. If this happens, don’t give up hope: there are still plenty of other options available!

Buyer Financing Through Seller Contributions

Buyer financing through seller contributions is a way for a buyer to borrow money from the seller to buy the house.

It’s not uncommon for sellers to contribute up to 6% of the purchase price toward closing costs and other expenses, but some may choose to go above and beyond this amount in order to sweeten the deal for their buyers. In these cases, it’s called buyer financing through seller contributions.

There are pros and cons of this type of offer:

Pros: You might be able to get more than you expected when you thought your budget was maxed out! 

Plus, if you have bad credit or no credit history at all (aka no FICO score), then there’s no reason why anyone can tell you “no.” There are even programs dedicated specifically toward helping those who don’t have enough savings on hand.

Cons: If something goes wrong during escrow like if there’s any kind of dispute between buyer/seller during negotiations then both parties will be responsible for making back payments plus interest penalties right away before closing day happens.

Getting a home improvement contract is an important step in any home renovation project as it outlines the details of the work to be done and protects both the homeowner and the contractor. Our guide on getting a home improvement contract explained can give you a better understanding of this critical document.

Using An Fha 203k Loan Program

The FHA loan program is a great way to finance a home. It allows you to buy property in need of repairs and renovations, so long as you have the cash on hand to make those repairs and renovations.

The 203k loan program is one specific type of FHA loan that allows you to finance the cost of renovating any house or apartment that needs it. 

This type of financing can be used for homes that are being sold as-is, or with seller credit (if they will pay half the costs). You may also use this type of financing if your current residence needs work done before it can be sold—for example, if there’s mold inside or out.

Redirecting Your Tax Rebate To Home Improvements

If you’re getting a tax rebate, use it to pay for home improvements.

You think your tax return is going to be big? Then wait until you see what it looks like when combined with your annual rebate! If you have an annual rebate coming up, put that money toward home improvement costs.


There are a lot of ways to get money for home improvements. The best thing to do is talk to your bank or mortgage lender about what options are available to you, and see what works best for your situation.

Further Reading

Here are some additional resources you may find helpful for funding your home improvements:

Funding home improvements: remortgage or loan?: This guide from CompareTheMarket outlines the pros and cons of using a remortgage or loan to finance your home improvements.

How to pay for home improvements: Bankrate provides an overview of financing options for home improvements and helps you choose the best one for your needs.

Pay for home improvements: MoneyHelper’s guide offers helpful advice on how to budget for home improvements and where to find financing options.


What kind of home improvements increase the value of my property?

Some home improvements that can increase the value of your property include adding a new bathroom, upgrading your kitchen, installing a new roof, replacing old windows, and adding outdoor living space such as a deck or patio.

What kind of loans are available for home improvements?

Several loans exist for home improvements, including personal loans, home equity loans, and HELOCs. Many lenders offer specialized home improvement loans and lines of credit, so it’s important to shop around and find the best option for you.

Can grants help pay for home improvements?

Sometimes, grants may be available to help low-income families pay for home improvements related to health and safety. Check with your local government to see if any grants are available in your area.

Is it worth financing home improvements?

Whether financing home improvements is a good idea depends on your individual circumstances. If you have a solid plan for completing a renovation project, financing can be a good option, especially if it adds value to your home. That being said, it’s important to consider the interest rates and fees associated with various financing options before taking on debt.

How can I save money on home improvements?

There are a few things you can do to save money on home improvements, such as doing some of the work yourself, shopping around for the best materials and deals, and choosing upgrades that are energy-efficient and can lead to long-term savings.