Renovation Loans Australia
Transform your house into your dream home. Whether you're updating a tired kitchen, adding a bathroom, or building an extension, renovation finance helps you create the space you've always wanted. Secured and unsecured options available from 40+ lenders.
Finance Your Home Renovation
Love where you live but not how it looks? Home renovations let you create your perfect space without the hassle and expense of moving. Whether it's a modern kitchen, spa-like bathroom, or extra living space, renovation finance puts your dream home within reach.
At Your Lending Friend, we compare renovation loan options from 40+ lenders. From unsecured personal loans for smaller projects to secured finance for major extensions, we'll help you find the right fit for your renovation and budget.
Projects We Finance
Common home renovation projects and typical costs
Kitchen Renovation
$15,000 - $50,000
New cabinets, benchtops, appliances, and layout changes. The heart of the home.
Bathroom Renovation
$10,000 - $35,000
Complete bathroom updates including tiling, fixtures, and plumbing.
Home Extension
$50,000 - $200,000+
Add rooms, expand living areas, or build a granny flat.
Outdoor Living
$15,000 - $60,000
Decks, pergolas, outdoor kitchens, and landscaping.
Whole-Home Update
$30,000 - $100,000+
Flooring, painting, fixtures, and general modernisation throughout.
Energy Upgrades
$5,000 - $30,000
Solar, insulation, double glazing, and efficient heating/cooling.
*Costs are approximate and vary by scope, location, and materials. Get quotes from qualified tradespeople for accurate pricing.
Renovation Finance Options
Different ways to fund your renovation project
Unsecured Personal Loan
No need to use your home as security. Fast approval for smaller renovation projects.
- No home equity required
- Fixed interest rates
- Borrow up to $50,000
- Funds in days
Best for: Smaller renovations like bathroom updates, painting, or landscaping
Secured Renovation Loan
Secure against your property for larger amounts and better rates. Good for major projects.
- Lower interest rates
- Borrow $50,000 - $200,000+
- Longer repayment terms
- Progressive drawdowns
Best for: Major renovations, extensions, or whole-home projects
Line of Credit
Draw funds as needed during your renovation. Only pay interest on what you use.
- Flexible access to funds
- Only pay for what you use
- Reuse as you repay
- Manage cash flow
Best for: Projects where costs are uncertain or staged over time
Why Renovate?
Increase Home Value
Quality renovations typically return 50-80% of cost in added home value. Some projects return even more.
Stay Where You Love
Renovating is often cheaper than buying and moving. Keep your location and upgrade your space.
Modern Living
Update an older home with modern conveniences, better layout, and improved energy efficiency.
Fixed Payments
Know exactly what you'll pay each month. Budget with confidence during your renovation.
How Renovation Finance Works
Four steps from quote to construction
Plan Your Renovation
Get quotes from builders and tradespeople. Know the scope and budget for your project.
Apply for Finance
Tell us about your renovation plans and we'll compare options from 40+ lenders.
Get Approved
Most applications receive a response within 24-48 hours. Larger amounts may need valuation.
Start Your Renovation
Once approved, funds can be paid directly to contractors or deposited to your account.
Have Equity? Get Better Rates
If you have equity in your home, a secured renovation loan can offer significantly lower interest rates than unsecured options. For major projects like extensions or full home renovations, this can save thousands over the life of the loan.
Check Your OptionsRenovation Loan FAQs
Common questions about financing home renovations
This can work if you have significant equity, but involves refinancing costs and extends your debt over decades. A separate renovation loan keeps the project debt separate and is typically paid off faster. We can help you compare both options.
Unsecured renovation loans typically go up to $50,000. Secur...
Unsecured renovation loans typically go up to $50,000. Secured loans using home equity can fund projects of $200,000 or more. The amount depends on your income, equity, and the value the renovation adds to your property.
Yes. For smaller unsecured loans, we work with lenders who c...
Yes. For smaller unsecured loans, we work with lenders who consider various credit situations. For secured loans, the equity in your property provides security which can help with approval even with past credit issues.
Having builder quotes helps us understand your project and t...
Having builder quotes helps us understand your project and the amount you need. For pre-approval, a good estimate is fine. Detailed quotes are usually needed before final approval and fund release.
Yes. Secured renovation loans and lines of credit often allo...
Yes. Secured renovation loans and lines of credit often allow progressive drawdowns. This is useful for paying contractors at different stages rather than getting all funds upfront.
Some lenders offer finance for owner-builders, though criter...
Some lenders offer finance for owner-builders, though criteria are stricter. You'll typically need to demonstrate construction knowledge, have appropriate insurance, and may face staged inspections before drawdowns.
This is common with renovations. A line of credit provides f...
This is common with renovations. A line of credit provides flexibility for overruns. Alternatively, you may be able to apply for additional funds. We recommend including a 10-20% contingency in your initial borrowing.
A Home Equity Line of Credit (HELOC) uses your home equity s...
A Home Equity Line of Credit (HELOC) uses your home equity similar to a secured renovation loan but works like a credit card - draw what you need, repay, redraw. This suits ongoing projects or those with uncertain costs.
Still have questions? Contact our friendly team