<Loans
  • >
  • Loans>
  • Home improvement loans

Compare home improvement loans

Compare home improvement loans to fund renovations to your property. Choose a low interest loan that offers a cheaper way to renovate your home.

7 results found, sorted by lowest representative apr. How we order our comparisons.
Sort
RateSetter Personal Loan Semi Exclusive
Loan amount
£3,000 to £25,000
Representative APR
2.8% APR (£5,000 to £25,000)
Loan term
1 year to 5 years
Representative Example: Representative 2.8% APR fixed. Based on a loan of £5,000 and £179.5 arrangement fee for 60 months at 1.4% p.a. Total £5,364.60 repayable at £89.41 per month.
Eligibility
UK Resident
Minimum Age21 years
Minimum Income£12,000
See deal
Freedom Finance Personal Loan
Loan amount
£1,000 to £25,999
Representative APR
6.8% APR (£23,000 to £23,999)
Loan term
2 years to 7 years
Freedom Finance is a credit broker and not a lender. The %APR rate you will be offered is dependent on your personal circumstances.
Representative Example: The Representative rate is 14.47% APR (variable) so if you borrow £10,000 over 5 years at a rate of 14.47% p.a (variable) you will repay £230.57 per month & £13,833.94 in total.
Eligibility
UK Resident
Maximum Age70 years
Minimum Age18 years
Minimum Income£12,000
Credit Rating Acceptedfair
Monevo Personal Loan
Loan amount
£1,000 to £35,000
Representative APR
10.6% APR (£15,000 to £19,999)
Loan term
1 year to 5 years
Monevo is a credit broker and not a lender.
Representative Example: The representative rate is 10.6% APR (fixed) so if you borrow £15,000 over 5 years at a rate of 10.6% p.a (fixed) you will repay £319.57 per month and £19,174.37 in total.
Eligibility
UK Resident
Maximum Age75 years
Minimum Age18 years
Minimum Income£7,000
Credit Rating Acceptedpoor
Aspire Money Personal Loan
Loan amount
£500 to £25,000
Representative APR
30% APR (£13,001 to £25,000)
Loan term
1 year to 5 years
No upfront fees and can source loans that don't require a guarantor. Please only apply if you are aged 18 to 65.
Aspire Money is a credit broker and not a lender.
Representative Example: The Representative APR is 58% APR (fixed) so if you borrow £5,000 over 36 months at a rate of 58% p.a (fixed) you will repay £260.26 per month & £9,369.36 in total.
Eligibility
UK Resident
Maximum Age65 years
Minimum Age18 years
Minimum Income
Credit Rating Acceptedpoor
Everydayloans Personal Loan
Loan amount
£1,000 to £15,000
Representative APR
99.9% APR (£1,000 to £15,000)
Loan term
2 years to 5 years
No effect on your credit rating on initial application. No fees or charges. T&Cs apply.
Representative Example: The Representative APR is 99.9% APR (variable) so if you borrow £3,000 over 2 years at a rate of 71.3% p.a (variable) you will repay £238 per month & £5,706 in total.
Eligibility
UK Resident
Minimum Age21 years
Minimum Income£15,000
Credit Rating Acceptedpoor

Compare another type of loan

Most Popular

  • Loans

  • Personal

  • Bad credit

  • Secured

  • Guarantor

  • Secured debt consolidation

More from loans

Loans guides

Who we compare

Last updated: 25 January, 2021

What is a home improvement loan?

A home improvement loan lets you borrow money to fund home renovations. This could be to redo your kitchen, upgrade a bathroom or convert a garage into an additional bedroom. Typically, these are unsecured personal loans, but you can secure them against your property, which can allow you to borrow more money.

How do home improvement loans work?

Home improvement loans, UK wide, work just like other loans. You borrow the amount you need, and repay it over a set period of time. How much you're allowed to borrow and the interest rate you pay will depend on your credit rating, and your personal finances.

Is home improvement worth the cost?

It depends on why you're making home improvements. Making home improvements can help your home be more functional for your use and taste.

For example, if you'd bought a relatively old property, you may want to modernise it for the way you live now. This could things like adding power outlets, getting a larger sink in your kitchen or making your home more compatible with smart devices.

But making home improvements can also add value to your home, so should you sell it in the future, you might get more for it than you would've had you not carried out the renovation. What's important to make sure that the added value to your property is more than the cost of of the improvements.

How to find the best home improvement loans

If you need a loan for home renovation or improvements, look for the cheapest loan for the term you want to repay it over.

Before you compare home improvement loans, think about:

  • How much you need: Only borrow enough to cover the cost of your home improvements to avoid paying any unnecessary interest on your loan.

  • What you can afford to pay monthly: The term of your loan will affect how much you pay back each month. The longer the term, the cheaper your loan repayments, but the more you'll pay in interest overall.

This comparison only shows personal unsecured loans, which you can apply for without needing to secure it against your property.

If you own your home, you could apply for a secured loan instead.

Here is more on the differences between secured and unsecured loans

Do you always get the advertised rate?

The advertised rate is the one that's been offered to at least 51% of borrowers. The rate you get may differ depending on:

  • Your age: You need to be at least 18 years old to apply for most loans, but there is also an age cut off, such as 70.

  • Your income: The lender uses this to work out if you can afford to repay the loan, while taking your monthly outgoings into account.

  • Your credit history: If you meet the lenders loan eligibility criteria, your credit history will impact what rate you get.

  • Where your bank account is: Some lenders offer better rates if you have an existing account with them, such as a current account or savings account.

Some rates are only available if you borrow a set amount of money, within a set term.

For example, a lender may only offer you their best rate if you borrow between £7,500 and £14,999, over a term of one to five years.

Use our loan calculator to check how much your repayments could be

How much does an home improvement loan cost?

The cost of an home improvement loan will depend on various factors such as:

  • Type of loan, i.e. secured or unsecured

  • How much you borrow

  • How long you borrow for

  • Your credit history

Can you get an home improvement loan with bad credit

Having bad credit doesn’t necessarily mean you can’t get a loan. What it can mean is that you'll have fewer lenders willing to lend to you. It's also likely that you may not be able to borrow as much and have to pay a higher interest rate.

What are the disadvantages of an home improvement loan?

As with all credit products, there are some things you need to be aware of before taking out an home improvement loan

  • Penalties. If you don't keep up with repayments, you'll likely be charged penalties for missing payments.

  • Putting your home at riskIf your loan is secured against your home and you fail to keep up with repayments, the lender may repossess your home and sell it to recoup the debt.

Are there any alternatives to home improvement loans

If you've been unable to be accepted for an home improvement loan, or you simply want to avoid getting one, there are some options you can consider:

  • Remortgage your home. You could release some of the equity from your home, and borrow more from your existing lender.

  • Mortgage advance. You could ask you mortgage provider for an additional loan, on top of your mortgage. But that would only be possible if you haven’t already borrowed the maximum amount.

  • Credit card. These are best suited for borrowing small amounts, which you can repay in a short period of time. If the home improvement is relatively minor, then a 0% money transfer card can be a great way to fund your home improvement work, without paying any interest.

Home improvement loans FAQs.

Yes, you can apply for any of the loans in this comparison, whether you own a property of not.

Yes, you can apply for an unsecured loan in joint names which could increase the amount you could borrow. However, you will both be credit checked.

This depends on the lender, with some letting you borrow up to £25,000. Use this comparison to find a lender that can offer the amount you need.

It stands for annual percentage rate, and is the interest rate you pay on the total amount you borrow.

Shop around for the lowest rate before you apply, and check your credit record is accurate to improve your chances of getting the lender's best rate.

Yes you can apply for a loan if you have bad credit, but the interest rate is normally higher so your loan will cost more.

About our loans comparison

Our comparison tables include providers we have commercial arrangements with. The number of listings in our tables can vary depending on the terms of those arrangements, as well as other market developments. They are all from lenders regulated by the Financial Conduct Authority. For more information you can also see how our website works.

We have commercial agreements with some of the companies in this comparison and get paid commission if we help you take out one of their products or services. Find out more here.
You do not pay any extra and the deal you get is not affected.

Loans comparison