Sprucing up your home? How a personal loan could help your reno

By Sophie Wong · · 2 min read
Fact Checked
Advertiser disclosure
Man takes out a personal loan to do some spring renovation work on his patio

Many homeowners are choosing to renovate rather than sell their homes this spring, data from Aussie home loans shows.

The research also indicates that 22% of Aussies are planning to up the value of their property by making home improvements. As the warmer months are generally a time of high activity for homeowners, you may be tempted to also renovate your property.

But if you’re short on funds to realise your dream kitchen or back patio, it might be time to consider a personal loan to help you out.

Improve your home with a personal loan

Woman looks at a colour palette on her computer screen and debates the right colour for the room

A personal loan can be used for all sorts of things, including a bathroom revamp. 

It’s a possible alternative to a credit card if you plan to take out a loan for a high amount, as you’re usually allowed to borrow between $2,000 and $100,000, depending on the lender. 

Yes, improvements to your living space or a more modern and customised home are within reach. But it’s important to remember that borrowing a large sum of money could spell a longer time to pay off the loan. Generally speaking, a lengthier loan term also means that more interest is accumulated, so you’ll probably have to pay more interest as a whole. 

As such, it’s best to set a budget and come up with a plan that works for you. For example, you might figure out how much you need and plug that number into a loan repayment calculator to give you a rough estimate of your monthly repayment amount.

Some things to consider are the size of the reno and the types of materials needed. A kitchen reno might include some more expensive designs, for instance, including marble bench tops, new timber cupboards or quality Nordic light fixtures. Once you factor these items in and the sorts of builders needed for them, your reno plan can take shape. And, importantly, your budget will become clearer too. 

Remember, depending on your lender, there could also be some fees attached to a personal loan, which may be upfront or ongoing. So it’s good to do your research beforehand to find a personal loan that’s most beneficial to your circumstances.

Choosing a personal loan

Looking for a personal loan to spruce up your home? Have a look at the best personal loans that our experts at Mozo have tracked this month, or compare personal loan options below.

Personal loan comparison table - last updated 8 December 2023

Search promoted personal loans below or do a full Mozo database search . Advertiser disclosure
  • Featured Product
    Mozo Expert Choice Badge
    Low Rate Personal Loan

    Excellent Credit

    interest rate
    comparison rate
    Monthly repayment
    6.57% p.a.to 8.48% p.a.
    7.19% p.a.to 8.84% p.a.based on $30,000
    over 5 years

    OurMoneyMarket offer competitive low rates for borrowers with excellent credit on loans up to $75,000, plus free extra repayments and fee-free redraw facility. Winner of of Mozo's Experts Choice Excellent Credit Unsecured Personal Loan 2024 and Excellent Credit Secured Personal Loan 2024 awards ^.

    Repayment terms from 1 year to 7 years. Representative example: a 5 year $30,000 loan at 6.57% would cost $35,528.12 including fees.

    Go to site
    Details
  • Mozo Expert Choice Badge
    Unsecured Personal Loan

    Fixed

    interest rate
    comparison rate
    Monthly repayment
    6.75% p.a.to 26.95% p.a.
    6.75% p.a.to 26.95% p.a.based on $30,000
    over 5 years

    Borrow up to $50,000 unsecured. Perfect if you earn more than $22,100 p.a. and have good to excellent credit. Multi-year winner of Mozo’s Experts Choice Unsecured Personal Loan Award, 2021, 2022, 2023 & 2024^'

    Repayment terms from 2 years to 7 years. Representative example: a 5 year $30,000 loan at 6.75% would cost $35,430.23 including fees.

    Go to site
    Details
  • Unsecured Personal Loan

    Fixed

    interest rate
    comparison rate
    Monthly repayment
    5.76% p.a.to 24.03% p.a.
    6.55% p.a.to 24.98% p.a.based on $30,000
    over 5 years

    Fast, easy and 100% online, this is a low cost loan with no ongoing fees or extra repayment penalties. It's perfect for savvy borrowers with great credit. If you’re over 18 and earn above $30,000, you could qualify (other eligibility criteria may apply).

    Repayment terms from 3 years to 7 years. Representative example: a 5 year $30,000 loan at 5.76% would cost $35,173.52 including fees.

    Go to site
    Details
  • Personal Loan

    Unsecured, Fixed, Exceptional Credit

    interest rate
    comparison rate
    Monthly repayment
    6.57% p.a.
    6.57% p.a.based on $10,000
    over 3 years

    Borrow from $5,000 to $50,000 with a Plenti Unsecured Personal Loan. Flexible loan terms of 1 - 7 years. $0 Monthly, $0 Early Repayment Fees and $0 Exit Fees. Get a rate estimate without impacting your credit score. Once approved, you could receive your funds in as little as 24hrs.

    Repayment terms from 3 years to 7 years. Representative example: a 3 year $10,000 loan at 6.57% would cost $11,340.11 including fees.

    Go to site
    Details

* WARNING: The Comparison Rate combines the lender's interest rate, fees and charges into a single rate to show the true cost of a personal loan. The comparison rates displayed are calculated based on a loan of $30,000 for a term of 5 years or a loan of $10,000 for a term of 3 years as indicated, based on monthly principal and interest repayments, on a secured basis for secured loans and an unsecured basis for unsecured loans. This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan.

^See information about the Mozo Experts Choice Personal Loan Awards

Mozo provides general product information. We don't consider your personal objectives, financial situation or needs and we aren't recommending any specific product to you. You should make your own decision after reading the PDS or offer documentation, or seeking independent advice.

While we pride ourselves on covering a wide range of products, we don't cover every product in the market. If you decide to apply for a product through our website, you will be dealing directly with the provider of that product and not with Mozo.