Home improvement loan rates are the interest rates charged on loans taken out to finance home renovation or improvement projects. For instance, if you want to remodel your kitchen but lack the upfront funds, you might take out a home improvement loan and pay an interest rate of 5.99% APR.
These loans are important because they allow homeowners to make necessary or desired changes to their property without having to deplete their savings or take on high-interest credit card debt. Some loans offer low fixed rates, protecting borrowers from rising interest costs, which have been historically low in recent years.