Home Improvement Loan Calculator

A loan of up to £25,000 could allow you to make some big improvements to your home. Discover how the term of the loan, the APR and the amount you borrow affects the monthly repayment that you would need to make for your home improvements.  

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Representative example


Representative 26% APR fixed, based on a loan amount of £5,000, over 5 years. This would give you a monthly repayment of £141.92 and a total amount repayable of £8,5152.01.


Top FAQs:

Benefits of our home improvement loan calculator

By using our home improvement loan calculator, you can:

  • See what your monthly repayments may be: You’ll understand what you can potentially afford.
  • Understand how the annual interest rate affects your monthly repayments: You’ll see how much you’d have to pay on top of the amount you borrow.
  • See how the length of the loan affects your monthly repayments: By changing the loan term on the calculator, the cost of your monthly repayments will go up or down. This helps you understand what you could afford over the short or long term.
  • Decide on the possibilities for your home: With all the figures at hand of what you could borrow, you’ll get a clearer picture of the work you may be able to do on your home.
What is a home improvement loan?

A home improvement loan allows you to borrow money to pay for work to improve your home. This could be anything from installing a new kitchen or bathroom to building an extension or loft conversion. Once you’ve borrowed the money, you need to pay it back to the lender via monthly repayments. You’ll also need to pay interest.

What can I use a home improvement loan for?

Many people use home improvement loans for:

  • Decorating
  • Furniture
  • A new kitchen
  • A new bathroom
  • Single storey extensions
  • Conservatories
  • Loft extensions
Why take out a home improvement loan?

The reason you want to improve your home will be personal to you, but the most common include:

  • Your home needs urgent repairs. This could be a new roof, central heating or double-glazing
  • You need more living space, such as an extension, conversion or conservatory
  • Your existing kitchen or bathroom is outdated and you need to replace your appliances
  • You want to increase the value of your home before putting it on the market
How much can I borrow?

At Asda Money, we work with Aro, who have a carefully selected panel of trusted UK lenders.  Our panel of lenders offer loans from £1,000 up to £25,000 with repayment terms between one and seven years. The exact repayment term and interest rate will be set by the individual lender and based on your individual circumstances.

Looking to borrow a specific amount? We can help you to find a loan for a range of amounts including:

£5,000 loans

£10,000 loans

£15,000 loans



Can I get a home improvement loan at the same time as a mortgage?

Yes, you can apply for a home improvement loan even if you have a mortgage. Most people will apply for an unsecured home improvement loan, which means it isn’t secured against your home. When you apply, lenders will look at your eligibility for the loan, your financial history and your credit score. This helps them figure out how much you can borrow and whether you’ll be able to afford the monthly repayments. A good credit score may help you achieve more favourable interest rates.

Should I use savings to pay for home improvements?

If you have savings, you might consider using them for your home improvements. You won’t have to consider going into debt and meeting the monthly repayments. But smaller savings may limit what you can potentially do to your home and you might not have the full amount needed straight away. With a home improvement loan, you’ll get access to the money you need quickly. Remember, it’s important to not overstretch yourself. Only borrow what you can afford to pay back each month.  You may decide to postpone your home improvements until you have saved up the total amount needed to carry out the home improvements or use a mixture of savings and borrowing.

Is £50k enough to renovate a house in the UK?

It depends on the size of your house. On average a 3-bed house renovation may range anywhere from £40,000 to £75,000. It also depends on the work you’re planning to do. In the UK, the average home improvement costs include:

  • New bathroom: £6,000
  • Loft conversion: £20,000 to £45,000
  • Single storey extension: £26,000 to £34,000
  • New kitchen: £10,000+
  • New roof: £4,500 to £12,000


Alternatives to home improvement loans

Before you apply for a home improvement loan, consider:

Borrowing from family or friends: You won’t need to apply for a loan and won’t need a credit check, plus you might not need to pay interest when borrowing from a friend or family member. It can help to draw up a loan agreement before they lend you the money, so everyone is clear on the loan and repayment terms.

Credit card: If you just need to make a small payment, a credit card may be a better option. Taking out a credit card and paying it back on time each month can also help boost your credit score.

Saving up: Yes it will take longer and you may need to save up over time to pay for each part of your home renovation project separately, but you won’t go into any debt.

Looking to fund something else?

You can use a personal loan for a range of other things, including:

Debt Consolidation: Combining multiple debts into one place for easier management

Rep rate 26%

Please remember that by consolidating existing borrowing, you may be extending the term of the debt and increasing the total amount you repay

Debt consolidation loans overview

Car Purchase: Buying a new car outright

Car loans overview

Holiday: Finance for a short break or a trip of a lifetime

Holiday loans overview

Wedding: Helping you fund some or all of your big day

Wedding loans overview



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