If you want to renovate, for example for a new kitchen or dakkapel, then you need a substantial amount. The best scenario is of course that you have the required amount on your savings account, but often that is not the case. Then you can choose to borrow the money. This can be done in different ways, but keep in mind that your total renovation costs will be higher if you have to borrow the amount.
Increase your mortgage
If the value of the house permits, you can take a so-called second mortgage to finance the renovation. This can be advantageous, because the interest on a mortgage is often lower than the interest on a consumer credit. But when taking out a second mortgage, extra costs are involved: consultancy costs , valuation costs and usually also notary fees . You have to include this in the calculation and then it is best that in your specific situation a second mortgage is not cheaper than a personal loan . So always let yourself be well informed about this. Also remember that a mortgage has a longer term and that you still have to pay when the kitchen or the dormer window is already in need of replacement.
A personal loan can be a good alternative for the second mortgage. There are no costs involved in taking out such a loan and the interest costs may be very bad. The interest rate will be higher than that of a second mortgage, but more and more long-term personal loans are coming on the market with relatively low interest rates. In addition, the interest on a personal loan that you use for the sale, maintenance or refurbishment of your home is also deductible from the tax under certain conditions.