[header] How to pay for home remodeling [title] Refinance your mortgage using the " cash out " method. [step] A popular method of funding home improvements is called a cash out refinancing. This means swapping your existing mortgage for a new one, and converting some of your accumulated home equity into cash in the process. 
This is an especially tactful move if interest rates are low. However, be aware that doing this reduces the amount of equity you have in your home, and thus will extend the amount of time you spend making mortgage payments.