Home improvements, renovations and DIY can be expensive, especially if you are undertaking a large task or project. Fortunately, there are home improvement loans available to help you cover the costs. This type of loan can be used as an upfront payment for the changes that you or your contractors make to your house.
At QuidMarket, whilst we do not provide home improvement loans in the UK, we are a direct lender of short term loans for repayment terms of 3-6 months. These aren’t suitable for covering the costs of any home improvements, but they may be suitable in emergency situations where you otherwise couldn’t cover an unexpected expense with savings or other means
- New customers can borrow between £300 and £600*
- Returning customers may be eligible to borrow up to £1,500*
- Flexible repayment terms between 3-6 months
- Bad credit histories welcome
- QuidMarket is an FCA Authorised UK lender
- No hidden fees
- No guarantor or collateral needed
- Quick and simple online loan application
- Decisions made by humans, not computers
*Loan amounts and repayment terms are dependent on affordability checks
Below, you will find more information about loans for home improvement and how our instalment loans differ. It’s important for us to share with customers an overview of all the loan types available on the market. This is so it can help you make an informed decision about which is best for your circumstances.
On this page, we will cover home improvement loans, what could be classed as a home loan, and why this type of loan may be right for you. This can help you make a decision on your next loan when looking to undertake home improvements.
You’ll also find more information about our loans at QuidMarket, so if you’d like to apply for a small loan when the unexpected happens, you can apply online and fill out our short application form. Click apply now and we may be able to help you today.
What are Home Improvement Loans in the UK?
Home improvement loans allow you to borrow money to fund any home renovations or improvements to your property. This is typically classed as non-essential spending, so it is usually worth considering if the DIY work can wait until you have enough cash in your budget rather than relying on further borrowing. However, if a loan is the only feasible option, you will tend to find that home improvement loans in the UK come in the form of unsecured loans. These types of loans are not secured against a personal asset, but usually have significant interest rates because of the higher risk with no collateral.
While unsecured loans are the most common type of home improvement loan, you may also find the option for a secured home loan. These are secured against your house, so if you struggle to make the repayments, your chosen collateral may be repossessed. You should only agree to a secured loan if you are confident and comfortable with making the repayments and are happy to secure an asset to the loan.
At QuidMarket, our loans are unsecured and are only suitable in emergencies. We cannot provide our loans for making home improvements, only for unexpected bills that can happen to any of us, especially when you have no savings to help cover them. If your boiler suddenly stops working or needs an urgent repair, we may be able to help, but any non-essential changes or renovations to your property would require a lender of loans for home improvements.
Types of Loans for Home Improvements
When deciding between a secured or unsecured home improvement loan, you will need to factor in your personal circumstances, preferences, and the amount of money you need to borrow to cover the costs.
Unsecured Loans for Home Improvement
This type of home improvements loan is also known as an unsecured personal loan and allows you to borrow money without securing your repayments against an asset. Approval is usually based on your ability to repay the loan, so lenders will typically check your credit history, employment status, and essential monthly spending. If you are planning to spend your loan on a smaller project, this may be a suitable option for you. However, there are a few things to first consider:
- While you won’t risk losing your personal assets, failure to make repayments could result in a County Court Judgment (CCJ) against you, which could be detrimental to your credit rating.
- With no collateral as security, you may not be able to borrow as much as you originally planned, meaning you will need to use savings or other credit.
Secured Loans for Home Improvement
This type of home improvement loan is also known as a homeowner or home equity loan. This allows you to borrow a larger amount of money by using the value of your home to guarantee the loan. Depending on your financial situation and your credit history, you may be able to borrow much larger amounts of money to undertake projects over a few months, such as structural repairs. Interest rates of these types of loans for home improvement can be lower and repaid over a longer period, such as a few years. Some things to consider with secured home improvement loans are:
- Some lenders may not accept early repayments and could impose a penalty if you try to pay the home improvement loan back before the term is finished.
- If you fall behind on your repayments, your house will be repossessed as the collateral for your loan.
The kind of home improvement loan you choose will depend on the circumstances you are in. For smaller amounts of money, unsecured home improvement loans may be a suitable option for you, but for larger amounts of money for big projects, a secured home improvement loan could be considered.
Both types of loans have various points to consider before making any decision, and if you need any more help, please visit Money Helper for more information.
Short Term Options at QuidMarket
Our loans work differently from home improvement loans, mainly because they are for a completely different use. If you find yourself in a short term financial position where you need to resolve unexpected expenses quickly, we may be able to help. To apply online, you will need to meet the following requirements first:
- Live in the UK
- Be over 23 years old, and under 65 years old
- Have a mobile phone (we send an SMS code during your application)
- Hold a UK bank account with a valid debit card
- Be in employment and take home at least £1,300 a month
We cannot guarantee you will be approved, but meeting the above will enable you to see if we can help today. We work quickly, so if eligible and we can determine the loan is affordable for you after credit and affordability checks, we can provide the cash you need as soon as possible. Please keep in mind any applications outside of our business hours may not be processed until the following working day.
Apply Online to Cover Unexpected Expenses Today
If you’re wanting a home improvement loan, you’ll need to find specialist lenders online or contact your bank or building society. At QuidMarket, we’re ready to help if you need a small short term loan for emergency expenses only. You can choose repayments between 3 – 6 months, and apply for up to £600 as a new customer. Click apply now to start your application today.
Having bad credit does not necessarily mean you cannot secure a home improvement loan. However, it may mean that you could face higher interest charges and have fewer available choices when it comes to choosing a loan. Bad credit loans are typically based on affordability rather than your credit score, so if you can show that you have a regular monthly income and enough money to cover the loan repayments, you may be able to secure a loan.
If you have been refused a home improvement loan or simply want to consider your other options first, there are some alternatives to look into. Some people may remortgage their home to release some of the equity, potentially allowing them to borrow more from their existing mortgage lender. This is a decision not to take lightly and would need careful consideration before proceeding. You may also want to consider 0% credit cards, but you would need to check when the promotional period will end and what the interest rate will be after this. Ideally, you’ll be in a position where your savings will be enough to cover the project so you can avoid further borrowing.
Home improvement loans in the UK can be used for all manner of property-related work such as home renovations, improvements, and DIY projects. This could include installing a new kitchen or bathroom, or adding an extension to increase the value of your property. You can usually select the amount that you would like to borrow and the repayment term, depending on how long you plan to spend on your renovation project and what you can afford to pay each month.