5 Ways To Finance Your Renovation

Looking for the best way to finance your renovation?

Whether you want to build your dream home or increase the property’s value, renovating can be very expensive. Many Australians struggle to find the best finance method and end up paying more than they should.

You see …

A lot of people pay up-front in cash but end up tying their savings to one property.

Some decide to take out loans with hefty interest rates.

Some go through the unnecessary headaches of refinancing…

And some take out loans on a credit card only to rack up interest charges.

When deciding on a finance option, you will either set yourself up well financially or fall into unmanageable debt. That’s why finding the best finance option is crucial if you want to pay for your renovation without financial stress.

Now you may be wondering, “What is the best way to finance my renovation?”

The best option depends on you - the key is to choose a method that suits your individual circumstances and financial situation. By doing this you can achieve your dream home and minimise additional financial charges.

So, to help you figure out what type of finance is best for you…

Here are 5 ways you can finance your dream renovation:

1.Pay In Cash

If you hold investments you can cash in or have the savings, cash is always your best option. Paying cash helps you avoid paying interest and you will not have to worry about loans, bank fees, or interest rates. This is great option if your renovation project is small and you don’t want to bear any financial risk.

BONUS TIP:  Do not tie all your savings to the renovation - have an emergency fund for unexpected expenses such as a medical emergency or a car insurance excess.

Pay In Cash
Low Interest Credit Card

2. Low Interest Credit Card


If you want something quick and easy, this might be the option for you. Low interest credit cards are easy to apply and be approved for. They are great for smaller projects and are also extremely convenient, especially if you are purchasing renovation products online. If you budget strategically, you can even finance a project without paying interest – but make sure you to stay up to date with your payments to avoid late payment fees, penalties, and interest.

3. Personal Loan

Personal loans are a fast and convenient way to fund renovations because they are processed quickly. Once approved, the funds are deposited as a lump sum directly into your account. There are 2 types of personal loans: secured and unsecured. A secured loan lets you use an asset (such as a car) as collateral for the loan. This means there is less risk for the lender so interest rates on a secured loan are much lower compared to an unsecured loan.

Personal loan interest rates are extremely helpful with budgeting because they can be fixed for the duration the loan. A great option if you are looking for a simple yet cost-effective way to fund your dream renovation.  

Note: Interest rates on a personal loan are generally lower than credit cards, but higher than mortgages.

Use Your Home’s Equity

4. Use Your Home’s Equity

This is one of the most common ways to fund renovations and is more ideal if you are looking to do a major renovation project. The equity in your home is the difference between the value of your house and the amount you owe on the mortgage. Although interest rates are lower compared to personal loans or credit card – the amount you can borrow is based on the equity in your home. Don’t forget that going with this option means you will end up with a bigger mortgage, increased repayments, and longer duration.

We have finance partners with easy access to great deals. Ask us about one of our finance options.

5. Use A Line Of Credit

This option is ideal for long-term projects. Using a line of credit gives you access to funds as you need them, while only charging you interest on the balance owed rather than the total loan amount. Although interest rates are generally higher compared to standard loans, using a line of credit gives you great flexibility to pay for the cost of materials and labour when needed.

If you want to minimise your interest and borrowing fees, I recommend exploring these methods to determine the best finance option for you. It will help you save thousands of dollars, and ultimately fast-track you to building your dream home.

Use A Line Of Credit

How We Can Help

We know financing a renovation can be challenging, that’s why we recommend taking advantage of our fixed prices! Knowing exactly what you are paying goes a long way – having certainty means you can estimate project costs and plan around it.

No hidden costs, no misleading quotes, just fixed prices for turn-key solutions.

And that’s not all…

The Australian government has just announced the Homebuilder $25K grant – and we are matching the grant and going one stop further with $26, 000 cashback to you!

If you are eligible, this means with the $25K grant + $26K cashback to you, your total out of pocket cost will be reduced by $51, 000 for your dream renovation!

Get in touch with one of our expert interior designers to find out more!

Your One-Stop Shop for Kitchen &
Bathroom Renovations in Melbourne.
Design, Supply & Install. Turn-key
from Concept to Completion.

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