What are the easiest ways to secure a loan for home improvements?
13th February 2026
By Simon Carr
Undertaking home improvements, whether a small extension or a complete refurbishment, often requires accessing external finance. The concept of the “easiest” way to secure a loan often relates less to speed and more to your existing financial profile, the value of your property, and how quickly you can demonstrate a clear ability to repay the debt. For most UK homeowners, the simplest routes usually involve either a standard unsecured personal loan or, for larger projects, a secured loan against the property.
What are the Easiest Ways to Secure a Loan for Home Improvements?
Securing funding for home improvements in the UK generally involves three primary mechanisms: unsecured borrowing, secured borrowing, or specialist short-term finance. The optimal choice depends entirely on the required amount, your timeline, your current credit rating, and the level of risk you are comfortable taking.
For UK lenders, ease of approval is heavily linked to predictable income and low existing debt. If your credit file is strong, securing finance will typically be quicker and result in lower interest rates, regardless of the product chosen.
Option 1: Unsecured Personal Loans
An unsecured personal loan is often considered the simplest route for financing smaller to moderate home improvement projects, usually up to £25,000, although amounts can vary between providers.
How Unsecured Loans Work
Unsecured loans do not require collateral (such as your property) to guarantee the debt. The lender relies solely on your credit history and income stability to assess risk. If you default, the lender cannot immediately force the sale of your property, although they can still pursue legal action to recover the debt.
Because they are not secured against assets, interest rates on unsecured loans can be higher, especially if your credit history is less than perfect. However, if you have a good to excellent credit score, these loans can be processed very quickly, sometimes within a few days, making them relatively easy to secure.
- Pros: Quick application process, property is not directly collateral, fixed monthly repayments.
- Cons: Lower borrowing limits, potentially higher interest rates, stricter eligibility criteria regarding credit history.
Option 2: Secured Loans (Second Charge Mortgages)
When renovations cost tens of thousands of pounds or more, or if you have difficulty qualifying for large unsecured loans, a secured loan (often called a second charge mortgage in the UK) becomes a primary option. This is considered one of the most reliable ways to secure significant funds for major improvements.
The Mechanics of Secured Lending
A secured loan uses your property as collateral. It sits behind your existing mortgage (the first charge), giving the lender the ability to seek repayment through the sale of the property if you fail to meet the required monthly payments.
Because the risk to the lender is lower (as the loan is secured), the interest rates are often more competitive than those offered on large unsecured loans, and the repayment periods can be much longer (up to 25 years in some cases). This allows for higher borrowing amounts and lower monthly payment burdens.
Understanding the Risks
While easier to secure large sums, the risk factor is significantly higher than with an unsecured loan. It is crucial to fully understand the commitment.
If you fail to meet the agreed-upon repayment schedule for a secured loan, you may face severe consequences. Legal action could be initiated, increased interest rates and additional charges may be applied, and ultimately, Your property may be at risk if repayments are not made. This can lead to repossession.
Lenders will rigorously assess your income, existing mortgage balance, and the remaining equity in your property before approving a second charge mortgage.
Option 3: Remortgaging and Further Advances
If you have substantial equity built up in your home, refinancing your existing mortgage can be a cost-effective way to release capital for renovations. This involves either:
- Remortgaging: Switching your entire mortgage to a new lender or a new deal with your current lender, increasing the total borrowing amount to cover the cost of the improvements.
- Further Advance: Asking your existing mortgage provider for an additional amount of money, which is added to your current mortgage balance.
This is often an easy method for securing funds if you are already approaching the end of a fixed-rate deal, as you are already due to review your mortgage terms. Since the funds are incorporated into your primary mortgage, you benefit from typically lower mortgage interest rates compared to specialist loans, though you will be paying interest over a much longer term.
It is important to weigh the fees associated with remortgaging (valuation, legal costs) against the cost savings on the interest rate.
Key Steps to Prepare Your Application
Regardless of which funding route you choose, preparing thoroughly is the easiest way to ensure a smooth and quick approval process. Lenders are looking for certainty and accuracy.
Essential preparation steps include:
- Budgeting: Clearly define the total costs of the home improvements. Do not underestimate labour or materials.
- Exit Strategy (for Secured or Bridging): If using secured finance, ensure you have a robust plan for how you will afford the monthly payments, or how you will pay off the loan in full (for bridging).
- Documentation: Gather proof of identity, address, income (payslips, tax returns), and bank statements ready.
Reviewing Your Credit Profile
A strong credit score is paramount to securing favourable rates and improving the speed of approval. Before applying for any significant borrowing, it is wise to check your credit file for errors and ensure all information is accurate and up to date.
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Understanding your current financial obligations and ensuring you can comfortably afford the proposed monthly payments is crucial for responsible borrowing. If you are struggling with debt or budgeting, reputable resources like MoneyHelper offer free, impartial advice.
Choosing the Right Option Based on Project Size
The ‘easiest’ loan method is usually determined by the scale of the project:
- Small Projects (£1,000 – £25,000): Unsecured Personal Loan or using credit cards (if managed carefully and paid off quickly).
- Medium to Large Projects (£25,000 – £100,000+): Secured Loan (Second Charge Mortgage) or Remortgaging/Further Advance.
- Rapid/High-Value Projects (Time-sensitive, requires fast capital release): Bridging Finance (with a clear, robust exit plan).
Always speak to an independent financial advisor or broker who can compare rates and products across the market and help you decide which secured or unsecured option best fits your personal financial circumstances and improvement goals.
People also asked
Is it better to get a secured or unsecured loan for home improvements?
For large projects requiring substantial capital (over £25,000), a secured loan or remortgaging is often necessary and can offer lower interest rates. For smaller amounts, an unsecured loan is generally less risky as your property is not used as collateral, making it a safer option provided you meet the eligibility criteria.
Can I get a secured loan with bad credit?
Yes, securing a loan can often be easier than obtaining a large unsecured loan if you have poor credit, because the lender has collateral (your property). However, having poor credit will likely result in significantly higher interest rates, and you must prove affordability to satisfy the lender’s requirements.
How long does it take to secure a home improvement loan?
Unsecured personal loans can often be approved and funds released within a few days if you have a strong credit profile. Secured loans, remortgaging, or bridging loans involve property valuation and legal work, typically taking 3 to 8 weeks, depending on the complexity and lender processing times.
Do I need planning permission before applying for a loan?
While lenders do not typically require planning permission to begin the loan application process, they may require evidence of permission for major structural changes before they release the funds, particularly if the loan is secured against the expected post-completion value of the property.
What is the minimum equity required for a secured home improvement loan?
The minimum equity required varies significantly by lender, but generally, most secured loan providers require you to retain at least 15% to 25% equity in the property after the loan is issued (i.e., your total borrowing, including your first mortgage, must not exceed 75% to 85% of the property’s value).
Choosing the easiest way to secure a loan for home improvements ultimately boils down to a balance between the speed of access, the total amount required, and managing the associated risks, particularly when deciding whether or not to use your property as security.