How to Finance a Bathroom Remodel
Updated
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Whether you want to put in a soaker tub, remove dated wallpaper, or retile your floor, a personal loan can help you create the bathroom of your dreams.
Below, we'll talk about the cost of remodeling a bathroom, how the best personal loans work, and other ways to fund your renovations.
Dreaming of a rainfall shower? Or stone countertops? Big dreams come with big costs: The average bathroom remodeling project runs somewhere between $9,600-$11,000, according to Angie's List.
But that's the average. As with any average, you might spend less or more. You'll need to look at your bathroom and decide for yourself how much you'd like to spend. Not everyone can afford to pay cash for a bathroom remodel -- and that's okay.
One of the best financing options for a bathroom remodel is taking out a personal loan. You can use a personal loan to cover just about any costs, and pay it off over a few months or several years. You can customize monthly payments to fit your budget, too.
Get the best rates and terms to fit your needs. Here are a few loans we'd like to highlight, including our award winners.
| Lender | APR Range | Loan Amount | Min. Credit Score | Next Steps |
|---|---|---|---|---|
Rating image, 5.0 out of 5 stars.
5.0/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
Fixed: 8.99%-29.99% APR (with all discounts)
|
$5,000 - $100,000
|
680
|
|
Apply Now for Discover Personal Loan
Powered by Credible
Rating image, 5.0 out of 5 stars.
5.0/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
7.99% - 24.99%
|
$2,500 - $40,000
|
660
|
Apply Now for Discover Personal Loan
Powered by Credible |
Rating image, 4.0 out of 5 stars.
4.0/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
6.70% - 35.99%³
|
$1,000 - $50,000¹
|
300
|
What is a personal loan? It's money you borrow from a lender and pay back with interest, normally in equal monthly payments. You can get a personal loan for just about anything -- there isn't a specific category for bathroom remodel loans. If you're financing a bathroom remodel with a personal loan, you'll just apply for a regular personal loan, then use the money to pay for your bathroom upgrades.
Some reasons you might want to get a personal loan for your bathroom remodel include:
But personal loans have some downsides, too. These include:
Only you can decide whether or not a personal loan is right for you. For more information on what a personal loan for a bathroom remodel might look like for you, use the calculator below to estimate different payments and loan terms.
Financing any home improvement project -- from a master bathroom remodel to a basement or kitchen remodel -- is more affordable if you can get a low-interest personal loan. Here's how to get approved for a low-interest bathroom remodel loan:
People with excellent credit have access to the best interest rates and loan terms. If you need a personal loan for financing a bathroom remodel, but your credit score makes borrowing expensive, consider postponing the project for a few months. Use that time to build your credit score. Then, you can apply to the best personal loans with confidence.
Here are some quick ways to build credit:
Check your credit reports. Look over your credit reports for any errors and report them to the credit bureau in question. By law, you are eligible for one free credit report annually from each of the big three credit bureaus -- TransUnion, Equifax, and Experian.
For example, if you see TransUnion reported that you owe $20,000 on a car you sold years ago, that error could be dragging down your credit score. Dispute that error with TransUnion. Credit bureaus typically have 30 to 45 days to investigate your claim. Unless they can prove their report is accurate, they must remove the negative information.
Pay off debt. If you have existing debt, it could be weighing down your credit score. Pay down as much as possible before applying for a loan. This helps improve something called your debt-to-income ratio -- the amount of debt you have relative to your salary. Your lender is far more likely to extend a bathroom remodel loan if they are confident in your ability to manage your debt load.
If you accept the first loan you find, how do you know you scored the best interest rate?
Getting pre-qualified doesn't (usually) impact your credit score -- and it lets you compare personalized interest rates from different lenders. For more information on getting pre-qualified for a personal loan, check out our guide on how to get a personal loan.
Once you can apply with confidence, here's how to finance a bathroom remodel with a personal loan. Each lender will have slightly different requirements, but these are the basics:
You have the option of applying for either a secured loan or an unsecured loan when you're ready to finance your bathroom remodel.
Secured loans require collateral. Collateral can be your bank account, vehicle, or other possession of value. If you miss loan payments, the lender has a legal right to take possession of what you offered for collateral.
Borrowers with poor credit have a better chance of getting approved for a secured personal loan. Secured personal loans also have lower interest rates.
Unsecured loans don't require collateral. If you miss payments on an unsecured loan, the lender can't take anything you own. The lender can sue you, though -- so you should still make an effort to make payments on-time.
Unsecured loans are harder to get and tend to have higher interest rates. Still, they're not as risky as secured loans.
As you investigate how to finance a bathroom remodel, don't forget to consider other options. If now is not the right time for you to take on a personal loan, here are a few other financing ideas.
Admittedly, saving up for a bathroom renovation sounds like zero fun. Still, there are a couple of advantages to putting a little money away each month until you have enough to cover your home improvement project.
A home equity loan and a home equity line of credit (HELOC) are two types of secured loans. That means they both use the equity in your home as collateral to secure a loan.
One difference between a home equity loan and a HELOC is the way the money is distributed. With a home equity loan, the funds are distributed in a lump sum that you pay back over a specific period of time. A HELOC doesn't require you to take a set amount of money at once. You are approved to borrow a certain amount but are free to draw from it as needed. And once you've repaid money borrowed from your HELOC, you can borrow it again until what's called the "draw period" ends.
Another key difference is that a home equity loan typically has a fixed interest rate, while a HELOC normally has a variable rate that changes based on what's happening with interest rates.
The inherent risk of both a home equity loan and HELOC is that your home is on the line if you default on payments. Because your home is used as collateral, the lender can take possession, sell the property, and recoup their losses.
If your credit is strong, you'll likely qualify for a credit card with a 0% promotional APR offer. These offers typically let you pay the debt off in 12 to 18 months with no interest. Just make sure you pay the credit card off in full before the promotional rate expires to avoid getting hit with a high interest rate.
Taking out a personal loan to finance home improvements is an easy process. The challenge is making sure your credit score and budget are in good shape before filling out an application.
Looking for a personal loan but don’t know where to start? Our favorites offer quick approval and rock-bottom interest rates. Check out our list to find the best loan for you.
The average bathroom remodeling job costs between $9,600 and $11,000.
You have several options. Take out a personal loan, home equity loan, or HELOC. You can also open a 0% promotional rate credit card or pay cash you've saved.
We're firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. Motley Fool Money does not cover all offers on the market. Motley Fool Money is 100% owned and operated by The Motley Fool. Our knowledgeable team of personal finance editors and analysts are employed by The Motley Fool and held to the same set of publishing standards and editorial integrity while maintaining professional separation from the analysts and editors on other Motley Fool brands. Terms may apply to offers listed on this page.
Please note that this calculator is not personalized financial advice and should not be considered or used as such. Nor are we promising that by use of this calculator, will you be able to save more money, preserve wealth, or otherwise.
*SoFi Personal Loan Disclaimer
Fixed rates from 8.99% APR to 29.99% APR. APR reflects the 0.25% autopay discount and a 0.25% direct deposit discount.
SoFi Platform personal loans are made either by SoFi Bank, N.A. or , Cross River Bank, a New Jersey State Chartered Commercial Bank, Member FDIC, Equal Housing Lender. SoFi may receive compensation if you take out a loan originated by Cross River Bank. These rate ranges are current as of 3/06/23 and are subject to change without notice.Not all rates and amounts available in all states. See SoFi Personal Loan eligibility details at https://www.sofi.com/eligibility-criteria/#eligibility-personal. Not all applicants qualify for the lowest rate. Lowest rates reserved for the most creditworthy borrowers. Your actual rate will be within the range of rates listed above and will depend on a variety of factors, including evaluation of your credit worthiness, income, and other factors.
Loan amounts range from $5,000–$100,000. The APR is the cost of credit as a yearly rate and reflects both your interest rate and an origination fee of 9.99% of your loan amount for Cross River Bank originated loans which will be deducted from any loan proceeds you receive and for SoFi Bank originated loans have an origination fee of 0%-7%, will be deducted from any loan proceeds you receive.
Autopay: The SoFi 0.25% autopay interest rate reduction requires you to agree to make monthly principal and interest payments by an automatic monthly deduction from a savings or checking account. The benefit will discontinue and be lost for periods in which you do not pay by automatic deduction from a savings or checking account. Autopay is not required to receive a loan from SoFi.
Direct Deposit Discount: Direct Deposit Discount: To be eligible to receive an additional (0.25%) interest rate reduction on your Personal Loan (your “Loan”), you must set up Direct deposit with a SoFi Checking and Savings account offered by SoFi Bank, N.A., or enroll in SoFi Plus by paying the SoFi Plus Subscription Fee, all within 30 days of the funding of your Loan. Once eligible, you will receive this discount during periods in which you have enabled Direct Deposit to an eligible Direct Deposit Account in accordance with SoFi’s reasonable procedures and requirements to be determined at SoFi’s sole discretion, or during periods in which SoFi successfully receives payment of the SoFi Plus Subscription Fee. This discount will be lost during periods in which SoFi determines you have turned off Direct Deposit to your Checking and Savings account or in which you have not paid for the SoFi Plus Subscription Fee. You are not required to enroll in Direct Deposit or to pay the SoFi Plus Subscription Fee to receive a Loan.
*Upstart Loan Disclaimer
¹ Your loan amount will be determined based on your credit, income, and certain other information provided in your loan application. Not all applicants will qualify for the full amount. Minimum loan amounts vary by state: GA ($3,100), HI ($2,100), MA ($7,000).
³ The full range of available rates varies by state. A representative example of payment terms for an unsecured Personal Loan is as follows: a borrower receives a loan of $10,000 for a term of 60 months, with an interest rate of 18.60% and a 8.51% origination fee of $851, for an APR of 23.07%. In this example, the borrower will receive $9149 and will make 60 monthly payments of $258. APR is calculated based on 5-year rates offered in December 2024. There is no downpayment and no prepayment penalty. Your APR will be determined based on your credit, income, and certain other information provided in your loan application. Not all applicants will be approved.
We're firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. Motley Fool Money does not cover all offers on the market. Motley Fool Money is 100% owned and operated by The Motley Fool. Our knowledgeable team of personal finance editors and analysts are employed by The Motley Fool and held to the same set of publishing standards and editorial integrity while maintaining professional separation from the analysts and editors on other Motley Fool brands. Terms may apply to offers listed on this page.
Please note that this calculator is not personalized financial advice and should not be considered or used as such. Nor are we promising that by use of this calculator, will you be able to save more money, preserve wealth, or otherwise.
*SoFi Personal Loan Disclaimer
Fixed rates from 8.99% APR to 29.99% APR. APR reflects the 0.25% autopay discount and a 0.25% direct deposit discount.
SoFi Platform personal loans are made either by SoFi Bank, N.A. or , Cross River Bank, a New Jersey State Chartered Commercial Bank, Member FDIC, Equal Housing Lender. SoFi may receive compensation if you take out a loan originated by Cross River Bank. These rate ranges are current as of 3/06/23 and are subject to change without notice.Not all rates and amounts available in all states. See SoFi Personal Loan eligibility details at https://www.sofi.com/eligibility-criteria/#eligibility-personal. Not all applicants qualify for the lowest rate. Lowest rates reserved for the most creditworthy borrowers. Your actual rate will be within the range of rates listed above and will depend on a variety of factors, including evaluation of your credit worthiness, income, and other factors.
Loan amounts range from $5,000–$100,000. The APR is the cost of credit as a yearly rate and reflects both your interest rate and an origination fee of 9.99% of your loan amount for Cross River Bank originated loans which will be deducted from any loan proceeds you receive and for SoFi Bank originated loans have an origination fee of 0%-7%, will be deducted from any loan proceeds you receive.
Autopay: The SoFi 0.25% autopay interest rate reduction requires you to agree to make monthly principal and interest payments by an automatic monthly deduction from a savings or checking account. The benefit will discontinue and be lost for periods in which you do not pay by automatic deduction from a savings or checking account. Autopay is not required to receive a loan from SoFi.
Direct Deposit Discount: Direct Deposit Discount: To be eligible to receive an additional (0.25%) interest rate reduction on your Personal Loan (your “Loan”), you must set up Direct deposit with a SoFi Checking and Savings account offered by SoFi Bank, N.A., or enroll in SoFi Plus by paying the SoFi Plus Subscription Fee, all within 30 days of the funding of your Loan. Once eligible, you will receive this discount during periods in which you have enabled Direct Deposit to an eligible Direct Deposit Account in accordance with SoFi’s reasonable procedures and requirements to be determined at SoFi’s sole discretion, or during periods in which SoFi successfully receives payment of the SoFi Plus Subscription Fee. This discount will be lost during periods in which SoFi determines you have turned off Direct Deposit to your Checking and Savings account or in which you have not paid for the SoFi Plus Subscription Fee. You are not required to enroll in Direct Deposit or to pay the SoFi Plus Subscription Fee to receive a Loan.
*Upstart Loan Disclaimer
¹ Your loan amount will be determined based on your credit, income, and certain other information provided in your loan application. Not all applicants will qualify for the full amount. Minimum loan amounts vary by state: GA ($3,100), HI ($2,100), MA ($7,000).
³ The full range of available rates varies by state. A representative example of payment terms for an unsecured Personal Loan is as follows: a borrower receives a loan of $10,000 for a term of 60 months, with an interest rate of 18.60% and a 8.51% origination fee of $851, for an APR of 23.07%. In this example, the borrower will receive $9149 and will make 60 monthly payments of $258. APR is calculated based on 5-year rates offered in December 2024. There is no downpayment and no prepayment penalty. Your APR will be determined based on your credit, income, and certain other information provided in your loan application. Not all applicants will be approved.
