RenoFi: 2025 Home Equity Review

RenoFi overview

Founded in 2018, RenoFi (short for Renovation Finance) isn’t a home equity lender in the traditional sense. Instead, the company partners with credit unions to offer home equity lines of credit (HELOCs), fixed-rate home equity loans and cash-out refinances to borrowers looking to fund home improvements. RenoFi currently offers these products in most U.S. states and Washington, D.C.

RenoFi rather uniquely bases a borrower’s available equity on the post-renovation value of the home: Homeowners can access a sum for projects with anticipation of what their property value will be after improvements are complete, in other words. This method may allow some the latitude to borrow more than with a traditional HELOC or home equity loan, which are based on the home’s current fair market value.

Because the company works with a variety of lenders, the road to approval may be easier. RenoFi functions like a mortgage broker, helping borrowers locate lenders and advising them on the application process.

Home equity loan products offered

HELOCs, fixed-rate home equity loans 

How Bankrate scored RenoFi

Affordability: 3.2/5

• APR: Variable depending on lender and loan product; many reviews point to approval being relatively permissive but rates being comparatively high.
• Introductory APR: Variable depending on lender and loan product, but generally no
• Fees: RenoFi’s fees vary depending on which credit union you work with. In general, you can expect to pay:
• Closing costs: Typically ranging from $700 up to 1 percent of the loan amount, these costs include an origination and other underwriting fees, title fees and a recording fees.
• Appraisal fee: This can run from $700 up to $1,000 or more depending on the location of the home, scope of the project and other factors. It is more expensive than a traditional appraisal.
• Renovation rates: While the renovation is in progress, some lenders might charge you a higher interest rate or a monthly fee. This will stop once the renovation has been completed.

The relatively high APR, numerous fees and lack of a promotional introductory rate on HELOCs cause RenoFi to score a 3.2 out of 5 for affordability. 

Availability: 4.7/5

• Loan products: Renovation-oriented funding in the form of a variable-rate home equity line of credit or a fixed-rate home equity loan: similar to traditional HE products, but also competitive with renovation financing like FHA 203K loans and Fannie Mae Homestyle loans.
• Footprint: RenoFi is a licensed mortgage broker in most states and in Washington, D.C. Exceptions are Hawaii, New York, and Utah.
• Credit score: 620 minimum — low for home equity products, though minimums may be higher for larger six-figure loans.
• Loan minimum: $25,000, typical for HE financing
• Draw requirement: multiple options available; varies based on loan product and lender

Being offered to borrowers in most U.S. states and having a credit score minimum on the low side boosts RenoFit’s availability score to a 4.7 out of 5. 

Borrower experience: 4.7/5

• Rate transparency: Rate information is only available after completing and submitting an application online — not very helpful.
• Convenience: As a brokerage, RenoFi is not the direct lender; customers who provide their information are matched with lender partners. This can make the application experience more streamlined (if not quite as direct) for consumers.
• Customer service: Though it is solely online, RenoFi offers a strong digital experience: Its website is highly sensitive to customer needs when it comes to accessibility settings; it also boasts a pleasant and visually friendly user interface. Prospective borrowers can interface with the company by phone, e-mail, chatbot, or mail.
• Fixed-rate options: Fixed-rate home equity loans available

Though upfront rate transparency is not RenoFi’s strong suit, their customer service has built a positive reputation online. And after prospective borrowers provide some information about themselves and their property, the company permits swift access to a variety of lender partners with more specific details about product availability. As a result, RenoFi scores 4/7 out of 5 for borrower experience. 

How to qualify for a home equity loan through RenoFi

To qualify for a RenoFi loan, you’ll need a credit score of at least 620 (some lenders may have higher criteria). The loan must be used for home renovations, and RenoFi will do an appraisal to determine the “after-renovation value” of your property. You can use the loan for renovations on a primary residence you currently own or are in the process of buying, as well as investment properties (though for these, you can only borrow based on the home's current value). You cannot use it on a home you’ve listed for sale in the past six months.

How to apply with RenoFi

You can start the application process with RenoFi by filling out an online form. This will get you in contact with a RenoFi advisor, who will help you connect with a lender partner.

You can tap your home equity — essentially the difference between your home's worth and what you owe on your mortgage — with a home equity loan or a HELOC. With those funds, you can tackle a variety of expenses, like debt consolidation or home renovations. 

However, before you dive in, it's important to figure out your loan-to-value ratio (LTV). Lenders use your LTV to determine how much of your equity stake you can actually borrow. (It’s typically 80 percent, although some lenders allow you to access as much as 90 percent.) The amount of equity they’ll let you tap is one consideration when choosing a lender. Be it a retail bank, online lender or credit union, it may offer different home equity loan rates and terms, too. That’s why it’s important to shop around for the best deal. 

RenoFi reputation

RenoFi has ranked, at the time of this writing, a remarkable 4.6/5 score from consumers on TrustPilot. Homeowners speak to attentive customer service representatives who are able to facilitate speedy access to funding for renovations.

A fintech company aimed at disrupting the traditional barriers to home equity eligibility, RenoFi markets specifically toward homeowners who may otherwise be ineligible to borrow a home equity product. By offering up to 90% of a home’s post-renovation value in accessible funds, the company is also willing to explore bank statement loan products for homeowners who may not otherwise qualify to borrow.

Still, RenoFi may not have the longtime, established reputation that some competing lenders do. For now the company remains non-accredited by the Better Business Bureau with a B+ rating.