Planning a Major Home Renovation? A 30-Year Fixed Second Mortgage Could Help

Homeowners continue investing in renovations despite higher construction costs and mortgage rates.

According to the National Association of Home Builders (NAHB), its Remodeling Market Index registered 62 in the third quarter of 2026, indicating continued positive sentiment among remodeling professionals. The index for larger remodeling projects costing $50,000 or more reached 66.

These findings suggest homeowners remain interested in improving their existing homes rather than necessarily moving.

Source: National Association of Home Builders, October 8, 2026 - "NAHB Remodeling Market Index"

Financing a Major Renovation Without Refinancing Your First Mortgage

For Texas homeowners planning a kitchen remodel, home addition, swimming pool, or whole-house renovation, accessing existing home equity may be an option.

A 30-year fixed-rate second mortgage allows qualified homeowners to borrow against their equity while keeping their existing first mortgage and its interest rate intact.

Unlike a variable-rate HELOC, a closed-end fixed-rate second mortgage provides:

• A fixed interest rate and predictable monthly principal and interest payments.
• Repayment terms of up to 30 years, which may make larger renovation projects more manageable.
• A lump sum of cash to help pay contractors and cover project expenses.
• The ability to preserve an existing low-rate first mortgage.

A longer repayment term can reduce monthly payments but may increase total interest paid.

How Much Equity Can Texas Homeowners Access?

Texas home-equity lending rules generally limit combined mortgage balances to 80% of the home's value, subject to eligibility and underwriting requirements.

For example, a homeowner with a $600,000 property and a $250,000 first mortgage could potentially qualify for a second mortgage of up to $230,000, subject to applicable requirements.

Homeowners considering major renovations can explore their options at 2ndLiens.com.

See How Much Cash You Could Access →

Licensing & Disclosures

2ndLiens.com is a marketing brand and is not a lender. All loans are originated through Town Lake Lending, NMLS #2484417. Todd Kurio, Loan Originator, NMLS #216616. Texas only. townlakelending.com