Start with the loan amount
Enter how much you plan to borrow rather than the full renovation cost if you are also paying part of the project with cash.
Free Home Finance Tool
Home Improvement Loan Calculator
Estimate monthly payments, total interest, loan fees, repayment cost, and the impact of making extra monthly payments on a home improvement loan.
Step 1 · Enter loan details
Build your loan estimate
Use the loan amount you expect to borrow for your renovation, then adjust the rate, term, fees, and extra payment assumptions.
Year-by-year repayment
Track the loan balance over time.
The table below shows an annual snapshot based on your current loan inputs and any extra monthly payment entered.
| Year | Starting balance | Principal paid | Interest paid | Ending balance |
|---|
How the calculator works
Understand the full cost of the loan.
A monthly payment is only one part of a home improvement loan. Interest, lender fees, and the repayment period can materially change the total cost of financing the project.
Include rate and fees
The calculator uses the stated interest rate for the payment calculation and adds any origination fee separately to show borrowing cost more clearly.
Test extra payments
Adding extra principal each month may shorten the payoff period and reduce total interest if the lender allows prepayment without penalty.
Method: Monthly principal-and-interest payments are calculated using a standard amortizing installment-loan formula. Origination fees are shown separately and are not automatically financed into the loan balance. Extra monthly payments are modeled as additional principal after each scheduled payment. Results are estimates and do not represent a lender offer or approval.
Related home finance tools
Keep planning the renovation.
Common questions
Home improvement loan questions.
What is a home improvement loan?+
The term is commonly used for financing used to pay for repairs, remodeling, upgrades, or other home projects. Depending on the lender and product, financing may be unsecured or secured by the home.
Does the monthly payment include the origination fee?+
Not in this calculator. The origination fee is displayed separately so you can see it as an additional borrowing cost. Some lenders deduct a fee from loan proceeds or finance it differently.
Can extra payments reduce interest?+
If additional payments are applied to principal and the loan has no prepayment penalty, paying extra can reduce the balance faster and lower future interest charges.
Is the interest rate the same as APR?+
Not necessarily. APR can include certain loan fees and other costs in addition to interest, which can make it more useful when evaluating borrowing offers.
Should I finance the entire renovation?+
That depends on your available cash, emergency reserves, borrowing costs, project priorities, and broader financial plan. The project-financed percentage in this tool can help you visualize how much of the renovation would be funded with debt.