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12 best home improvement loans for aging in place

Our goal here at Credible Operations, Inc., NMLS number 1681276, hereinafter referred to as “Credible”, is to give you the tools and confidence you need to improve your finances. Although we promote products from our partner lenders that reward us for our services, all opinions are our own.

You can use home improvement loans to cover the cost of any home renovation project without putting your equity at risk. (Shutterstock)

Staying indoors as you age has been dubbed “aging in place” and is a goal for many Americans. According to a. stay at home as long as possible National Conference of State Legislatures and AARP Public Policy Institute survey.

Luckily, if aging in place is your goal, you don’t have to risk your valuable home equity — or your home — to improve safety and accessibility. You can use a personal loan for home renovations.

Believable makes it easy View your prequalified personal loan rates from different lenders, all in one place.

What is “aging in place”?

Aging in place means making a conscious choice to remain in your home as long as possible when you retire, rather than moving or moving into an independent shared apartment or assisted living facility.

People who choose to age in place often need to make changes to their homes to make aging in place more comfortable—or even possible. These improvements can include installing grab bars or a walk-in shower in the bathroom, widening doorways to accommodate a wheelchair or walker, or replacing outside stairs with ramps.

But pay for these home upgrades in addition to others pension costs can be a challenge.

What is a home improvement loan?

A home improvement loan is an unsecured personal loan that you take out to finance home improvement work. You pay back the loan in monthly installments at a fixed rate over a period of time.

As opposed to one home loan or home equity line of credit, a home improvement loan does not require you to put up your home as collateral, so your equity is not depleted. And if you come across financial problems and can’t afford the payments, you don’t run the risk of losing your home.

Visit credible Compare personal loan rates from different lenders without affecting your credit score.

Best home improvement loans for aging in place

If you plan to age in place, The following 10 credible partner lenders can help you finance necessary home renovations with a home improvement loan:

The best lenders for large loan amounts

Luminous flux

  • Loan Amounts: $5,000 to $100,000
  • Conditions: 2 to 7 years (12 years for home loans)
  • Minimum creditworthiness: 660
  • Fees: No upfront, origination, or late payment fees

SoFi

  • Loan Amounts: $5,000 to $100,000
  • Conditions: 2 to 7 years
  • Minimum creditworthiness: Doesn’t reveal
  • Fees: No upfront or setup fees

The best lenders for small loan amounts

LendingPoint

  • Loan Amounts: $2,000 to $36,500
  • Conditions: 2 to 6 years
  • Minimum creditworthiness: 580
  • Fees: Creation fees from 0% to 7%; no prepayment penalty

One Main Financial

  • Loan Amounts: $1,500 to $20,000
  • Conditions: 2 to 5 years
  • Minimum creditworthiness: none
  • Fees: Origination fees vary by state; no prepayment penalty

Best lenders for good loans

Axos bench

  • Loan Amounts: $10,000 to $50,000
  • Conditions: 3 to 6 years
  • Minimum creditworthiness: 700
  • Fees: Setup fee from 0% to 2%; $15 late fee; $25 insufficient coverage fee; no prepayment penalty

Discover

  • Loan Amounts: $2,500 to $35,000
  • Conditions: 3 to 7 years
  • Minimum creditworthiness: 660
  • Fees: $39 late fee; no incorporation fee

Marcus from Goldman Sachs

  • Loan Amounts: $3,500 to $40,000
  • Conditions: 3 to 6 years
  • Minimum creditworthiness: 660
  • Fees: No registration fees, late fees or prepayment fees

The best lenders for bad credit

avant

  • Loan Amounts: $2,000 to $35,000
  • Conditions: 2 to 5 years
  • Minimum creditworthiness: 550
  • Fees: Management fee of up to 4.75%; no prepayment penalty

Update

  • Loan Amounts: $1,000 to $50,000
  • Conditions: 2 to 6 years
  • Minimum creditworthiness: 560
  • Fees: Setup fee from 2.9% to 8%; no prepayment penalty

upstart

  • Loan Amounts: $1,000 to $50,000
  • Conditions: 3 to 5 years
  • Minimum creditworthiness: 580
  • Fees: Setup fee from 0% to 10%; late fee of 5% of the past due balance or $15 (whichever is greater); $15 ACH return or check refund fee; no prepayment penalty

Other lenders to consider

The following two lenders are not credible partners, so you cannot easily compare your rates with them on the credible platform. However, they may also be worth considering when looking for a home improvement loan.

Navy Federal Credit Union

  • Loan Amounts: $250 to $50,000
  • Conditions: 3 to 15 years
  • Minimum creditworthiness: Doesn’t reveal
  • Fees: Late Payment and Refund Fee; no setup fee or prepayment penalty

PNC bank

  • Loan Amounts: $1,000 to $35,000
  • Conditions: 6 to 60 months
  • Minimum creditworthiness: Doesn’t reveal
  • Fees: No prepayment penalty

methodology

credible evaluated the best home improvement loans based on factors such as customer experience, minimum fixed rate, maximum loan amount, funding time, loan terms and fees. Credible’s team of experts gathered information from each lender’s website, customer service department and email support. Each data point was checked for topicality.

Home Improvement Loans vs. Home Financing

A home improvement home loan is an unsecured loan. This makes it different from Home equity loans or home equity lines of creditwho use homeowners’ properties as collateral.

A home equity loan, also known as a second mortgage, allows you to borrow on your home in one lump sum. A home equity line of credit (HELOC) also lets you borrow against your home equity, but you get the money in the form of a revolving line of credit — similar to a credit card — instead of a lump sum.

Another option is a reverse mortgage, also known as a conversion mortgage. Reverse mortgages are complicated, and if you get sick and have to leave home for 12 months or more, the lender can call in the loan and require you to sell the home to pay off the loan and avoid foreclosure.

Home improvement loans offer several advantages over home equity loans and HELOCs, including:

  • Don’t use up your equity — Because unsecured personal loans are not backed by the equity in your home, home loans do not deplete the equity you have built up or put your home at risk.
  • Usually faster to backup — Many lenders can approve a home improvement loan in a matter of days, as opposed to two to six weeks for a home equity loan or line of credit. This makes them a good option for home improvement projects with tighter deadlines.
  • Predictable Payments — Most personal loans are fixed-rate loans, so you pay them off in predictable monthly payments. HELOCs, on the other hand, are typically adjustable rate loans. As interest rates rise, your monthly payment will increase, which could make your payments prohibitive.

When you’re ready to apply for a home improvement loan, Credible can help you quickly and easily Compare personal loan rates to find one that suits your needs.

Richard Dement

The author Richard Dement