It is wise to explore the financing option that makes the most sense for the scope (length of time, total anticipated cost, draw period) of your home improvement project.
A minor home improvement, a mid-range remodel of a kitchen for example, may involve refinishing the flooring, re-plastering and painting, plus upgrades in fixtures, appliances or materials. In such cases, a Personal Line of Credit can be a good financing option.
As for financing a major home improvement or remodeling project, it is better to go with a product that offers a longer draw period and higher available balance.
Renovating your entire home, for example, would be a major home improvement, as it may entail demolition, replacing walls, installing new piping and wiring systems, moving doorways and installing brand-new flooring. Depending on your location, you may also need the services of a professional design firm to apply for permits, navigate complex approval systems and meet insurance coverage requirements. For such major home improvements, a HELOC or construction loan would be a better financial solution.