Best Remortgage for Home Improvements 2026

Quick Answer: Best Home-Improvement Remortgage in 2026

Rates last reviewed June 2026. Figures shown are indicative market ranges to help you compare — not live quotes or personalised offers. Mortgage rates change daily and depend on your circumstances, the lender's criteria and the Bank of England base rate. Check live rates for your profile →

How Home-Improvement Remortgaging Works

You increase your mortgage to fund the project:

• Releasing equity — you remortgage for more than your current balance, taking the difference as cash to pay for the work. Your loan and LTV rise accordingly.
• Accepted reasons — home improvements are among the most lender-friendly reasons to raise capital; most won't query a reasonable kitchen, bathroom, extension or renovation.
• Value uplift — well-chosen improvements (extensions, loft conversions, kitchens) can add more to your home's value than they cost, partly offsetting the extra borrowing.
• Evidence — for larger sums, lenders may ask for quotes or plans; modest amounts are usually granted on declaration alone.

Borrowing for Improvements: Rates by LTV (2026)

Resulting LTV	Typical 2-yr fix	Typical 5-yr fix
60% LTV	4.5-4.9%	4.3-4.7%
75% LTV	4.7-5.2%	4.5-4.9%
85% LTV	5.0-5.5%	4.8-5.2%
90% LTV	5.3-5.8%	5.0-5.5%

Raising funds pushes you into a higher LTV band, so the rate on your whole loan may rise slightly — factor that into the project budget. Energy-efficiency improvements may unlock cheaper green deals.

How to Fund Your Project Cost-Effectively

To get the best result:

• Time it with your deal end — raising funds at remortgage avoids early repayment charges; if you're mid-deal, a further advance or secured loan may be better.
• Keep LTV in check — borrow what the project needs, not more, to protect your rate.
• Explore green deals — insulation, heat pumps, solar and efficient windows may qualify for cheaper green remortgage products or cashback.
• Have quotes ready — for larger sums, lender questions are smoother with builder quotes or plans.
• Use a broker — to maximise the amount you can raise and find the cheapest deal at your new LTV.

Best Alternatives to a Home-Improvement Remortgage

Depending on timing and amount, also consider:

• Further advance — borrowing more from your current lender mid-deal, avoiding a full remortgage and any ERCs.
• Secured loan (second charge) — keeps your existing mortgage rate; good for mid-deal borrowing or if you'd lose a cheap rate by remortgaging.
• Unsecured personal loan — for smaller projects you can repay quickly without touching your mortgage.
• Green remortgage — if the work is energy-efficiency focused, a dedicated green deal may be cheaper.