Cost guide
Bathroom Remodel Financing Options
Ways to pay for a bathroom remodel, from personal loans and HELOCs to contractor payment plans, with typical rates, terms and who each one fits.
Bathroom remodel loans and HELOCs compared
Personal loan
Small to mid-size remodelsUnsecured loans from about $1,000 to $50,000. APRs run roughly 6–36% depending on credit, and funding often takes 1–7 days. Best when you have good credit and no home equity to borrow against.
HELOC
Large remodelsA line of credit secured by your home equity, usually at about 7–10% APR. You can typically borrow up to 85% of your home’s value minus your mortgage. Best for larger projects when you have significant equity.
Home equity loan
One-time projectsA lump sum based on your equity, with a fixed rate of roughly 6–10% and terms of 5–30 years. Best when you know the total cost up front.
Credit card
Small projectsSome cards offer 0% intro APR for 12–21 months, with standard APRs around 18–29% afterward. Best for small jobs you can pay off during the intro period.
Contractor financing
Speed and convenienceOffered through lending partners, often with 0% promotional periods of 12–24 months. Best when you want one application and a fast approval, but read the terms closely.
Cash-out refinance
Large projectsReplace your mortgage with a larger loan and take the difference in cash. Makes sense mainly when the new rate is close to or below your current one.
Rates change
The ranges above are typical, not quotes. Rates, fees and terms move with the market and with your credit, so confirm current numbers with each lender.
How to choose the right financing
- Set your total budget with our bathroom remodel calculator.
- Check your credit score. You can get free reports at AnnualCreditReport.com.
- Work out your home equity: your home’s value minus what you owe on your mortgage.
- Compare at least three lenders for APR, fees and terms.
- Factor in origination fees, closing costs and prepayment penalties before you decide.
The calculator’s results screen also shows what your estimate would cost per month over 5, 10 or 15 years, so you can test a budget before you talk to a lender.
Frequently asked questions
What is the best way to finance a bathroom remodel?
The best option depends on your credit, equity and project size. A home equity line of credit (HELOC) offers low rates for large projects. Personal loans work for smaller remodels without using home equity. Always compare APRs and total repayment costs.
Can I finance a bathroom remodel with bad credit?
Yes, but options are limited. Subprime personal loans, credit cards and some contractor financing programs accept lower credit scores, though at significantly higher APRs (15–30%). Improving your credit first can save thousands.
Do contractors offer payment plans?
Many contractors partner with financing companies to offer 0% APR promotional periods or fixed monthly payments. Read the fine print: deferred interest can apply if the balance is not paid within the promo window.
Is a HELOC better than a personal loan for a bathroom remodel?
HELOCs typically offer lower APRs (7–10%) because they use your home as collateral, but they put your home at risk if you default. Personal loans are unsecured, faster to fund and do not require equity, but APRs are higher (8–20%).
Related guides
- Master Bathroom Remodel Cost in 2026A primary bathroom is bigger, has a double vanity and often a walk-in shower or freestanding tub.
- How to Budget for a Home Renovation in 2026Most homeowners underbudget by 20-40%. Learn the exact formula contractors use, plus 5 hidden costs that catch people off guard.
- 10 Hidden Costs of Home Renovation (2026)These surprise costs have blown up thousands of renovation budgets.