How to finance the renovation of your bathroom? Repairs and conversions in the bathroom can quickly become expensive. A bathroom renovation loan gives you control over costs and gives you more leeway to carry out even larger measures without compromise.
Finance the bathroom renovation with credit
Sanitary facilities have become unsightly over the years. Connections and lines may need to be modernized. In old age there is often a barrier-free remodeling of the bathroom. According to Statistics, around 1.47 million consumers planned to renovate and modernize their bathroom in the next two years.
Depending on the amount of work involved, the cost of bathroom renovation can quickly reach five figures. If you do not have sufficient financial resources, you can choose between different loan options:
- installment loan
- mortgage loan
- loan for age-appropriate renovation
How much does a bathroom renovation cost?
The cost of bathroom renovation is decisive for the choice of loan amount. How much money you need for the renovation measures depends primarily on the work that is required.
If you only want to replace the sanitary facilities, an immediate loan with a low loan amount may be sufficient. If you want to have your bathroom tiled again and lay a new floor, you have to expect higher costs. If water and electrical lines need to be replaced or if you even want to move walls and enlarge your bathroom, you need the help of experienced specialists. This can result in costs of several tens of thousands of dollars. Which loan option is recommended depends on the total costs.
Use the free loan comparison to view the current offers from the banks.
Possible loan types for bathroom renovation
You can choose between various forms of loan to finance your bathroom renovation.
Bathroom renovation with a classic installment loan
One possibility is to finance the bathroom renovation using a classic installment loan. To do this, you take out a consumer loan for free use. You can get the loan from your house bank, another branch bank or online direct banks. You can flexibly design loan amounts and terms and adapt them to your financial options. An installment loan for bathroom renovation is particularly suitable if you need smaller loan amounts of up to 10,000 dollars.
Mortgage loan for bathroom renovation
If you have already paid off your property, you can also take out a mortgage loan for the bathroom renovation. You can get such a loan from banks and savings banks.
Mortgage loans are particularly low-interest, but lenders require security. The mortgage is therefore entered as a so-called land charge in the land register of the property. You repay the mortgage loan in equal monthly amounts. As soon as the last installment has been paid, the land charge will be deleted.
Loan: bathroom renovation with state subsidies
Real estate owners receive a low-interest loan for the barrier-free conversion of their living space. You can also use the state-sponsored loan for age-appropriate bathroom renovation, no matter how old you are.
Alternatively, you can take out the loan as a final loan. In this case, you will repay the loan amount at one go at the end of the term. The term is four to ten years. You can apply for the loan for the bathroom renovation at your house bank. You also agree the type and amount of the collateral with your bank advisor. Which conversion measures does support?
The following measures are eligible for sanitation:
- Change in the layout of the bathroom
- Creation of flush-to-floor shower spaces including folding shower seats
- Modernization of sanitary objects such as toilets, sinks, bathtubs and bidets
- Modernization of controls
- Installation and retrofitting of support and holding elements
The loan can also be used for planning and advisory services.
What are the requirements for borrowers?
Whichever loan option you choose, the lenders will always check your solvency. To check your creditworthiness, the banks obtain credit information. In addition, you must provide current proof of income and usually also inform the bank about your monthly debits. Furthermore, the lenders assume that you are of legal age, reside in the country and that a current account is available.
What should you consider when looking for a loan for your bathroom?
If you want to take out a loan for the bathroom renovation, you should pay particular attention to the effective annual interest rate. The effective interest rate reflects the current borrowing costs. The amount depends on the loan amount and your credit rating.
The amount of the monthly installments is calculated from the loan amount and the term. A shorter term means higher rates, but also lower interest rates. However, the level of default risk increases with the rate. You can pay off loans with longer terms in smaller installments. The longer the term, the more interest you pay. Therefore, calculate exactly what monthly installments you can afford.
When comparing loans, also pay attention to any additional costs such as closing fees or credit insurance. An option for free special repayments is an advantage.