How Do Most People Pay for a Kitchen Remodel?

Let’s talk about something that’s on nearly every homeowner’s mind—how do people actually pay for a kitchen remodel? Whether you're planning a $20,000 update or a $60,000 overhaul, you’re not alone if you're wondering how families afford a major kitchen renovation.

At JSB Home Solutions, we work with central Ohio homeowners every single day who are navigating the same question! So while we aren’t financial advisors, we are seasoned pros at helping homeowners just like yourself navigate the best options for financing your remodel project.  While there’s plenty of excitement in choosing cabinets and designing your dream layout, we know that understanding how to pay for it all is just as important.

Today, let’s explore the most popular ways homeowners pay for a kitchen remodel—along with the pros and cons of each—so you can choose the option that fits your budget, your goals, and your family’s needs.

Table of Contents:

• 5 Ways to Pay for Your Kitchen Remodel
  • Pay for Your Kitchen Remodel with Cash Savings
  • Use Home Equity Loans or HELOCs To Pay for Your Kitchen Remodel
  • Use Personal Loans to Finance Your Kitchen Remodel
  • Use Same-As-Cash and Short-Term Promotional Financing for Your Kitchen Remodel
  • Pay for Your Kitchen Remodel with Credit Cards
• Key Factors to Consider When Financing a Remodel
• How do I Choose the Right Financing Option for Me?

5 Ways to Pay for Your Kitchen Remodel

Everyone's remodeling journey is different, that’s why understanding your options is so important! Here are five of the most common ways people finance their projects—each with its own benefits depending on your goals and budget.

1. Pay for Your Kitchen Remodel with Cash Savings

Let’s start with the simplest—but honestly, the least common—way to fund a remodel: Cash.

Some homeowners are able to save up and pay for their entire kitchen renovation out of pocket. If you can do this, it’s a fantastic option. You’ll avoid interest charges, monthly payments, and any debt tied to your project.

However, with most kitchen remodels costing $25,000 to $60,000 or more, this isn’t a realistic option for most families. And even if you do have the savings, it’s important not to drain your emergency fund or other important reserves just to get the kitchen of your dreams. Financial security should always come first.

2. Use Home Equity Loans or HELOCs To Pay for Your Kitchen Remodel

One of the most popular options for financing a kitchen remodel is using the equity you’ve built in your home.

• A Home Equity Loan gives you a lump sum upfront, which you pay back over time with a fixed interest rate.
• A Home Equity Line of Credit (HELOC) works more like a credit card—you can draw funds as needed, and typically enjoy lower interest rates than personal loans or credit cards.

These are great options if:

• You’ve built up sufficient equity in your home
• You’re comfortable taking on a second loan
• You want fixed payments (loan) or flexible borrowing (HELOC)

Pro tip: Make sure to work with a reputable lender and fully understand the repayment terms before signing on.

3. Use Personal Loans to Finance Your Kitchen Remodel

A personal loan is another growing option for homeowners who don’t want to touch their home equity.

These are unsecured loans, meaning you don’t have to put up your home or other assets as collateral. Approval is usually faster, and the application process is often simpler than home equity financing.

That said, there are a few drawbacks:

• Higher interest rates (especially with lower credit scores)
• Shorter loan terms, which can lead to higher monthly payments

Personal loans are often a good fit for smaller-scale remodels or when you need funds quickly—but be sure to compare rates and terms carefully.

4. Use Same-As-Cash and Short-Term Promotional Financing for Your Kitchen Remodel

These options can also be called “contractor financing.” Many remodeling companies (including JSB Home Solutions financing options) offer short-term financing options, such as:

• 12-month same-as-cash plans
  
• Low-interest promotional loans
  

These can be great if:

• You’re confident you can pay off the balance within the promotional window
  
• You don’t want to open a long-term loan or HELOC
• You want a little help spreading payments out during the project
  

Just remember to read the fine print. With promotional loans, failing to pay off the full amount on time could result in retroactive interest charges. But if you have a clear payoff plan, this can be one of the most convenient ways to finance your remodel.

5. Pay for Your Kitchen Remodel with Credit Cards 🚧Caution!!!🚧

We do occasionally see homeowners put part of their kitchen remodel on a credit card, especially to take advantage of:

• 0% introductory APR offers
  
• Cash back or rewards programs
  
  

Only consider this option if:

• You’re paying the balance off immediately
  
  
• You’re using it as a temporary bridge until another financing source kicks in

Now that you’re familiar with the top ways to finance a kitchen remodel, let’s explore a few other key factors that can impact your overall renovation cost and decision-making.

Key Factors to Consider When Financing a Remodel

Before choosing how to finance your kitchen remodel, it’s important to look beyond just the price tag. The right financing option depends on your personal finances, goals, and long-term plans. Here are some key factors to keep in mind as you explore your options:

🧾 Total Project Budget
– Know how much you need and how much you already have on hand.

💵 Monthly Payment Comfort
– Choose a plan that fits your monthly budget without adding stress.

📉 Interest Rates & Terms
– Compare offers: lower interest rates and flexible terms can save money.

🏠 Available Home Equity
– Have equity? Consider a HELOC or home equity loan for better rates.

📈 Return on Investment (ROI)
– Will this remodel boost your home’s value or appeal for resale?

⚖️ Risk Tolerance
– Are you comfortable with debt, or would you rather save and pay in cash?

⏳ Timeline & Urgency
– Is this a “want” or a “need”? Emergency repairs may need faster financing.

Each of these factors plays a role in helping you find a financing solution that works for both your budget and your peace of mind. Once you’ve clarified your priorities, you’ll be in a stronger position to choose the right path forward.

How do I Choose the Right Financing Option for Me?

Yes, it’s true every dream kitchen comes with a price tag—but with the right plan, it doesn’t have to feel out of reach!

Whether you’re saving up, financing, or using a combination of both, smart financial decisions today will help you enjoy a kitchen you’ll love for years to come.

So, what’s the best way to pay for your kitchen remodel? It depends.

Ask yourself:

• Do I have equity in my home?
  
  
• What monthly payment fits my budget?
  
  
• How quickly do I need the project done?
  
  
• Am I okay with paying some interest to move forward now?
  
  

For many families, the right answer is a combination—using savings to cover part of the cost and financing the rest with a loan or HELOC.

If you’re wondering what your dream kitchen might actually cost, check out our free online estimator tool. Just answer a few questions about your space and style, and we’ll give you a ballpark range to work from—no strings attached!

Once you know your number, you can start exploring financing options with confidence.

At JSB Home Solutions, we’re not financial advisors—but we are here to walk you through your options, help you estimate your costs, and point you toward financing solutions that fit your project and lifestyle.