Swimming Pool Loans for Good & Bad Credit

When it comes to financing a pool, you may have more options than you think. Before picking the best type of financing for you, you should decide what type of pool you want. Do you want an inground pool? Do you want an above ground pool? Do you want a concrete or fiberglass pool? The options and type of pool you choose can significantly impact the cost. Personal loans may be a good option for all credit types to finance all pool types. Other options for pool financing can include home equity loans, home improvement loans, or financing offered by the pool dealer. A little later on we will dive into the pros and cons of various pool financing options.

If you use a term loan, such as a personal loan or home equity loan, for pool financing you should receive the funds as a lump sum that can be repaid over time with interest. In some cases, you may be able to take advantage of a payment deferral program to delay the start of payments. Most personal loans do not have spending restrictions. This means that you can spend the money on building a new pool, finishing landscaping projects, or perhaps adding a deck while you are at it. Backing the process up a few steps, you will need to find the pool loan you want to use. Most banks, credit unions, and online lenders offer pool financing options. The contractor you are working with may even offer financing options. The loan amount, terms, and the borrower can impact what type of rate you may qualify for. Generally speaking, banks and credit unions are usually the most selective about who they lend money to. While online lenders usually have less strict approval requirements. If you have excellent credit, you should have plenty of options when it comes to selecting the best pool financing. To get pre-qualified and see what you qualify for you'll probably need to submit an application with the lender. Acorn Finance allows individuals to submit one application and receive multiple personalized loan offers within seconds without affecting their credit score.

Our top 3 inground pool financing options are home equity loan, HELOC, and personal loan. Home equity loans and personal loans share similarities and are both term loans. However, a home equity line of credit (HELOC) is a bit different. HELOC loans provide a revolving line of credit that is secured by the equity in your home. In most cases, homeowners have a draw period for their HELOC loan and are not required to begin repayment until after the draw period. You should only be charged interest on the amount of money you draw. Truist offers competitive HELOC loans up to $500,000 with a 10-year draw period and 20-year repayment term. However, if you are not a Truist customer you may be required to pay a higher rate. Discover is a top lender for home equity loans that can help good credit and fair credit borrowers. Most lenders that offer home equity loans have strict approval requirements. Discover is known for having much less strict requirements and perks such as repayment terms up to 30 years. Like most home equity loans, even Discover can have lengthy approval and disbursement processes.

The average monthly payment for a pool loan can depend on the amount you finance, the term, and the interest rate. You may also need to account for other fees associated with loans such as origination fees. Let's assume you use a personal loan and borrow $40,000 at 6.99%. If you go with an 8 year term your payments could be as low as $487. You could extend the term to 10 years or perhaps even 12 years. If you went with a 10 year term you could have payments as low as $405. Keep in mind that a longer term may mean lower payments but it usually does not mean a lower loan cost. In most cases, the longer you borrow money, the more interest you pay.

The amount you finance for your pool loan can change your monthly payment. Let's just say you use a personal loan at 6.99% with a 12-year term and finance $20,000. If you signed into this loan your payment would be about $185 per month. If you wanted to pay the loan off in 6 years your payment would be about $322. If you paid the loan off in 6 years rather than 12 years you could save more than $3,000 in interest. Many online personal loan calculators can help you determine your estimated loan payment and savings for early payoff.

Qualifying for pool financing can be easy, even if you have bad credit. If you have bad credit you should look into a personal loan. Most likely if you are reading this, you are already doing your due diligence to learn more about pool financing...you are on the right track! Once you do your research and understand the various types of financing you can select the loan type that is best for you. It can be helpful to know how much your pool will cost and how much money, if any, you would like to put down on the loan before applying.

In most cases financing a pool is a good idea. It can increase the value of your home and make it more desirable while providing a space that your family will love. It can be considered what we like to call "good debt." You'll likely recoup most or all of your investment when it's time to sell your home.

You should have a 550 or above to qualify for pool financing. If your credit is below 600 you should consider applying for a personal loan with a cosigner who has good credit to increase your chance of approval.

Is the cost of building a swimming pool holding you back? Pool financing and loans are available to help you discover the backyard of your dreams. For the most part, pool loans are fairly easy to obtain and offer affordable monthly payments. Let's take a look at some pros and cons associated with swimming pool loans.

Pros

• Affordable monthly payments
• Increase home value by adding a pool
• Competitive interest rates
• Quick funding

Cons

• Taking on a lot of debt
• Qualifying for pool financing can be a challenge
• Risk of getting a bad loan (do your research!)

Pool loans can range between 7 to 15 years, but swimming pool financing are most commonly 10 year loans.

Putting in a swimming pool can be very expensive. Factors such as the type of pool, location, size, and custom features fluctuate the price of a pool. The investment can be justified by the fun times and increased home value a pool can provide. Let's take a look at different types of swimming pools and their average cost.

• Vinyl pools: $20,000s – $60,000s
• Fiberglass pools: $20,000s – $40,000s
• Concrete pools: $30,000s – $60,000s

No, approval for pool financing is not guaranteed. Lenders review your credit profile, income, and financial history before making a decision. Acorn Finance lets you compare offers without impacting your credit score, and applying with a cosigner could improve your approval chances.

The cost of building a pool is one thing and the cost to maintain it is another. It's important to factor in both, especially when you will be taking on a monthly payment to finance your pool. Some expenses involved in maintaining a pool include:

• Pool-cleaning equipment
• Maintenance or cleaning service
• Water and water treatments
• Pool heating
• Pool cover
• Lighting
• Increased utility expense

On average these expenses cost:

• Basic upkeep: $1,200 – $1,800 annually
• Upkeep, potential repairs, & increased utility costs: $5,000 annually

Depending on the type of loan you qualify for, you may or may not be able to finance pool repairs or add-ons. In most cases, add-ons at the time of installation may be easier to include in the loan compared to repairs or add-ons in the future.

Once approved, many lenders have flexible terms. Most terms are several years, but there are shorter and longer options available. Once you receive a financing offer for your new pool, that offer is usually good for at least 90 days.

Personal loans can be used to finance inground and above ground pools. However, inground pools can be much more expensive than above ground pools. This means that if you are going to finance an inground pool you should pay close attention to the rate and terms of your loan. Home equity loans are commonly used to finance inground pools even though they can be riskier than personal loans. Home equity and home improvement loans usually offer lower interest rates. Personal loans do not require any collateral but home equity loans do. When you use a home equity loan you are essentially borrowing against the positive equity your home has. If you do not have positive equity in your home you may not be able to use a home equity loan. In most cases, you need good to excellent credit to qualify for home equity loans.

See also: Above Ground Pool Financing

If you have bad credit you may qualify for a personal loan that can be used for pool financing. However, you may have trouble borrowing enough for an inground pool. Applying for loan amounts more favorable for above ground pools may increase your chance of approval. If you have bad credit you should do your research before applying for a loan. One of the worst things you can do is apply with multiple lenders as an act of desperation to get approved. Acorn Finance allows you to submit one application that does not affect your credit. After the application is submitted you can receive multiple personalized loan offers from lenders. Acorn Finance works with lenders that can assist all credit types.

Most buyers find a home with a pool more desirable – but not all buyers. Some buyers may see the pool as extra maintenance and liability. Other buyers may see the pool as a private space to cool down, relax, entertain, and have fun. In most cases having a pool can increase your home's value by about 7%.

Unfortunately the interest paid on pool loans do not qualify for tax deductions when filing. When adding a pool to your home, it does often increase the overall value of your home. Your additional cost of building the pool can be added to your home value in your personal records to help with taxes if you ever sell the home.

Financing a swimming pool may be much easier than you imagine. Whether you need to finance an in-ground or above-ground swimming pool, we can help you find some of the best financing options. The type of loan that is best for pool financing usually depends on your finances. Secured loans usually offer the lowest interest rates, highest loan amounts, and longest terms but they can be challenging and time consuming to qualify for. To have a chance at qualifying for a secured loan you will need to have equity in your home. If you default on a secured loan you risk losing your home. A faster and less risky way to finance a swimming pool is a personal loan. Whether you have excellent credit or fair credit, you can qualify for a personal loan. In addition, they do not require money down or collateral as long as they are unsecured. An in-ground swimming pool can range between $35,000 to $65,000 and up. If you want to add waterfalls, rock slides, or other upgrades you should budget more money. Acorn Finance has lending partners that can provide personal loans up to $100,000 with rates starting at just 6.99%. This should be plenty of money to build your dream swimming pool.

Home Equity Loans

Home equity loans are a secured loan that uses your home's equity as collateral. Compared to a personal loan, there may be more risk involved when using a home equity loan. The equity of your home is calculated by taking your home's current value and subtracting what you've paid so far toward your mortgage.

Let's take a look at the pros and cons of a home equity loan.

Pros

• Interest rates are typically fixed
• Proceeds from loan are typically received in a lump sum
• Money can be used for just about anything
• Interest rates can be lower than a personal loan because you're borrowing with collateral
• Tax benefits

Cons

• Possessions may be lost if you fall behind on payments
• Closing costs and fees
• Increased risk of going "underwater" if home value decreases

Personal Loans

Personal loans are available for all types of credit and can be used for pool financing. Although rates may be higher compared to secured loans, most personal loans don't require any collateral. Personal loans are often easier to secure and tend to be less risky than comparable options.

If you decide to take a personal loan for pool financing, it's important to compare lenders. Acorn Finance is a reputable company that offers free services. Their services allow you to input your information to one application and receive offers from multiple lenders.

Let's take a look at the pros and cons of a personal loan for pool financing.

Pros

• Simple application and approval process
• No collateral needed
• Fixed interest rate for the duration of the loan (in most cases)
• Competitive interest rates
• Borrow almost any amount (typically between $1,500 – $100,000)
• Generous amount of time allowed to repay loan
• Quick funding

Cons

• Interest rates may be slightly higher than comparable options
• Credit history necessary in most cases
• Fixed payments
• Many personal loans have origination fees
• Some personal loans come with prepayment penalties

Pool Dealer Financing

Pool dealers can assist you with financing by forwarding your information to lenders. In most cases, dealer arranged financing typically costs more than other available options.

Pros

• Loans can be secured or unsecured
• Fast application process
• Convenient

Cons

• Typically costs more than comparable options
• Limited options available
• More difficult to shop for the best rates

When you obtain pool financing through a dealer you enlist a middle man. So, what does this mean? In most cases it means your rate will go up. In addition, the dealer may not have or clearly understand all the details related to your approval. Using a pool dealer for financing means you complete an application and they forward it to their limited amount of lending partners.

When you use a personal loan, you submit one application and are connected to multiple lenders with competitive offers. This allows you to shop for the best deal and score a lower interest rate in most cases.

Acorn Finance can connect you with several top lenders for swimming pool loans. If you are considering a personal loan for swimming pool financing, you should apply at Acorn Finance. Whether you have excellent credit, fair credit, or bad credit you can qualify for a swimming pool loan. Below are our top picks for unsecured swimming pool loans.

SoFi Personal Loans
SoFi is another top lender that can offer swimming pool loans up to $100,000. They have a minimum credit score requirement of 680 or above and they can help borrowers with short credit history. They focus primarily on how responsible you have been at paying bills on time. SoFi does not charge any fees and allows joint applications. SoFi offers interest rates starting at 5.99% with autopay. Customers can take advantage of exclusive member benefits such as access to career coaches and financial advisers.

Upgrade Personal Loans
If you can't qualify for SoFi, Upgrade is a top lender that may be able to help. Upgrade can help individuals with a credit score of 580 or above secure a personal loan for swimming pool financing. While their interest rates might be higher than other lenders, they can offer opportunities to borrowers that have credit challenges. Upgrade offers personal loans up to $50,000 with interest rates starting at 6.94%. When evaluating applications, Upgrade places a heavy focus on available cash flow. They are more concerned about applicants' debt-to-income ratios than rent payments or monthly expenses that may affect an individual's ability to repay a loan. If you experience a hardship such as a job loss, you may qualify for Upgrade's Hardship Program. The Hardship Program can reduce your monthly payment or extend your loan term to help you get through a tough time without ruining your credit.

You may or may not be able to negotiate the price of a new pool. However, there are ways you can try to keep the overall cost of your pool construction project down.

First, consider having a pool constructed in the off-season. Pool installation companies and contractors may be willing to work for cheaper when demand for their work is not as high. As a result, you may be able to save some money on your pool installation project.

Second, get multiple bids from multiple contractors and compare them to each other. If you receive one bid that is significantly lower than the rest, you should do your due diligence on the company you received the bid from. In some cases, they may be willing to let you talk to a past customer about their experience. Just remember, the cheapest bid will not always result in the highest quality pool. In contract, the highest bid will not always result in the highest quality pool. You want to find value. If you can find contractors of equal skill and reputation, they may be willing to compete for your business.

Third, ask your friends or neighbors with a pool who installed their pool and how much they paid. You should only ask if you have a close enough relationship with said friend or neighbor that such an inquiry wouldn't be deemed inappropriate. Maybe they got a really good deal, or you can get a better price through them because it was a friend and family discount. It doesn't hurt to ask around.

Lastly, be patient. A pool installation project is a big investment and the more flexible you are, the more savings you could see.

Yes, a pool can now be included in a construction loan, and doing so is actually seen as a cost-efficient way to pay for your new pool's construction.

If you want to include a pool on a construction loan, you will do so before you refinance and convert the construction loan into a permanent mortgage. If you do so, you can pay for the pool over a longer period than what you would have to if you paid for the pool's construction with a personal loan.

Since building a pool is such a large investment, you may be looking for ways to keep costs down. We already discussed ways to negotiate the price of the pool installation through securing multiple bids, talking with other pool owners, and waiting for the offseason.

But there are other ways you can cut costs. Ways like selecting certain materials or having a smaller pool built can save you money as well.

Let us take a closer look at some of the decisions you can make to lower the price of your pool construction project.

Go with a vinyl pool: If you are looking for an easy way to save some money on your pool construction project, using vinyl should keep costs much lower than going with concrete or fiberglass. You may have some costs to consider down the road though. The liner that goes with a vinyl pool needs to be replaced every so often and any punctures will need to be patched. With concrete and fiberglass pools you will be more upfront, but you will not have the same upkeep costs of a vinyl pool. Still, even considering the upkeep costs, vinyl pools can be significantly cheaper.

Go with a smaller pool: Smaller pools require less material, labor, and regular maintenance, cutting your costs significantly.

Use a pool kit: One of the biggest costs associated with building a pool is hiring a pool company to install the pool for you. If you use a pool kit, you can build your own inground pool. If you cannot do the labor on your own, it still may be cheaper to purchase a pool kit and to hire a handyman to build it.

Remember, you will have to spend some money on making sure your pool is up to code and contains certain safety features to prevent accidental drownings and other accidents. You may want to focus on these expenses and cut out any additional features that may look nice, but ultimately will cost you more and are not entirely necessary.

The most expensive part of building a pool is the installation costs. Installation costs usually depend on the type of pool being installed. For example, a fiberglass pool can cost anywhere from $18,000 to $65,000. A concrete pool can cost $29,000 to $60,000, and a vinyl pool can cost up to $45,000.

These costs do not include decking the pool, landscaping the pool, and the monthly water and electric charges.

Yes, it is often a lot less expensive to build a pool in the winter. This is because most people are not thinking about swimming when it is cold outside and in some areas, it may not be possible to get anything done with a pool in the winter because it is too cold. As a result, demand is low and contractors may be desperate for work. When demand is low, prices usually drop.

Pool companies still need to run, even in the winter, and they have employees that they need to pay as well. This means that many are likely to offer you a good discount if you are willing to do work on the pool during the off-season. If you are able to build or repair a pool in the winter, you may be able to save money. As with any other large financial decision, you should compare offers to decide when it makes the most sense to build a pool. In some cases, homeowners can save between $3,000 to $6,000 just by installing the pool in the winter.

Keep in mind your current location though. Some areas get too cold to put a pool in during the winter, even if this could provide them with a good discount. Discussing a new pool with a professional during the winter could help you get some discounts, if you jump in early enough before their calendar fills up. Consider doing late summer or early fall as well.

Pool shape is one of the determinants for price. If you are looking to stretch your budget, you should build a rectangular shaped inground pool, as it's usually the cheapest. In most cases, inground pools are more expensive than above ground pools, regardless of the shape. An inground pool requires more materials, labor, and planning, therefore it can be expensive. However, investing in an inground pool can increase your home value far more than an above ground pool.

In most cases, the concrete installation is the most expensive part of building a pool. However for complex pool designs and plans, there may be other parts of building a pool that exceed the cost of concrete installation. Before building a pool you should breakdown costs and find ways to save, where it's possible. You may be able to choose cheaper materials such as vinyl. Vinyl may be an affordable pool material that can last a long time and should not wear down quickly. It's okay to be honest with your contractor that you are trying to save money where you can. They should be able to provide solutions to ensure your budget is adhered to while still creating a quality pool. Afterall, if they don't come up with a plan that fits your budget, they may not land the job. If you are unwilling to compromise on materials, you may need to build a smaller pool to keep the cost down.

When figuring out the overall cost to your new pool, you need to look at the electricity and water as well. Building the pool is just the first of many expenses. Pools need regular maintenance and of course water too. You may be able to save money by maintaining the pool on your own but that's not feasible for all of us. You will want to consider monthly expenses for the pool, especially if you are financing the build.

There are a number of factors that will go into how long it takes to get a new pool built into your backyard. In some cases, the contractor of your choice may have a long waiting list. If they do, you may have plans all drawn up and materials ready but have to wait around for the contractor. In some cases, you may experience delays due to availability of materials. You may want to check availability of materials ahead of time if you are trying to get the job done as soon as possible.

The average total time to build a pool in your backyard is between 8 to 12 weeks. After you design the look of the pool, get the permits, excavate, install the shell to the pool, and finish with a deck or a patio, it usually takes two to three months to get it all done. But when the wait is over, you will be ready to enjoy your own backyard oasis.

While two to three months can often seem like a long time, there is quite a bit of work that needs to be done on the project before you can enjoy your new pool. You are taking an open space in your backyard and turning it into a pool that you can enjoy for years to come. If you are adding some customized parts to the project or there are any special features to the pool, be prepared for it to take a lot longer as well. You may be excited to get to the finish line and see your plans come to life, but be patient. Rushing the build of a pool never ends well. You want to make sure the pool is built properly and turns out exactly how you want it.

Sure, obtaining a pool loan with a 600 credit score may be possible. The best way to ensure you get the pool loan you need when you have a credit score of 600 is to have a cosigner, use an asset as collateral, or make sure you have little or no existing debt on your credit profile. If you do not have a cosigner or an asset to offer as collateral, you will want to make sure your debt-to-income ratio is extremely low. You may have recently switched to a new job, received a promotion, or have an additional stream of income that has greatly increased your incoming monthly income. Lenders will see that, but they will also want to see little money going out.

A credit score below 689 is considered bad to fair credit when looking for a pool loan. You will want to be in the good to excellent range before applying for a pool loan. Good credit is considered to be a FICO score 690 to 719 and excellent credit is considered to be a FICO score 720 to 850. While you may qualify with bad or fair credit, you are subject to unfavorable terms and high interest rates.

See also: Pool Enclosure Financing

If you can afford and have the space for an indoor pool, it can be a smart investment. Whether you build an indoor or outdoor pool it needs to be properly built and maintained. Maintenance costs are something you should consider before installing a pool. Indoor pools can create a lot of humidity that needs to be managed and they require chemicals to maintain them. Additionally, they add to the costs of running your home by needing maintenance and increasing your utility bills.

Pools are expensive to maintain regardless of whether they are indoor or outdoor. An indoor pool can cost anywhere between $400-$800 per month. The costs you can expect to maintain your indoor pool per month are $20-$30 for basic electricity like running pumps, $40 for chemicals, $30-$80 to run a dehumidifier, $40-$100 for weekly cleaning, and $150-$250 to heat it. There are ways to lower your costs, such as cleaning it yourself or installing a solar cover to minimize heating the pool.

There are advantages and disadvantages to having an indoor pool. Some advantages of having an indoor pool include:

• Swim year-round
• Stay protected from outdoor elements
• Take advantage of less maintenance and fewer chemicals compared to an outdoor pool
• Enjoy more privacy and safety compared to an outdoor pool

Some disadvantages of an indoor pool include:

• Installation costs a lot more than outdoor pools
• They are expensive to heat
• They add a lot of humidity into the air, which can cause damage

The pros of indoor pool financing are that you don't have to drain down your savings. Instead of waiting until you have the money available, you can install the pool, and rates are often quite reasonable.

The cons of indoor pool financing are that pool loans are often very large with high payments. Having a large loan payment can stress your budget and make it more challenging if you need to borrow for something else. Plus, interest charges add to the cost of the pool, making it more expensive in the long run.

Pools, in general, can add a bit of value to your home, but you likely won't get back what you put in to have the pool installed. Generally, potential buyers know that pools are expensive to maintain, but that doesn't make them undesirable. Buyers want a pool that has been well maintained, and that is in good repair. An indoor pool might be more of a deterrent for potential buyers because the humidity they cause can damage the home. In the best-case scenario, homeowners can expect a pool to add about 7% to the value of their home.

Indoor pools are expensive to install, costly to maintain, and don't add a lot of value to your home. From a financial perspective, there are probably better ways to upgrade your home. However, many people love to swim, and a pool will provide a lot of enjoyment. So, if this is something you value, it could be a good investment for you from a lifestyle perspective.

Getting financing for anything with bad credit can be challenging, and pool loans are no exception. Given the amount an indoor pool will cost to install, you may need a secured loan such as a HELOC or Home Equity Loan to fund your pool. Some lenders will extend loans to borrowers with bad credit, particularly if they have an asset to secure the loan. The best thing to do is check your credit score to see where you stand.

Whether or not a pool loan is worth it if you have bad credit will depend on your situation and how comfortable you are paying a little extra for your swimming pool. Keep in mind that having a pool is a luxury, and not a necessity. Often, it is best to wait until you have had a chance to improve your credit score before applying for a pool loan. We get it though, the joy that a pool could bring to your family might just make those extra costs worth it.

If you’re on the fence, there are some ways to save on your pool construction – lowering the amount of financing that you might require. Therefore, leaving a little bit of wiggle room in the budget for the costs that come with a bad credit pool loan.

• Get an above ground pool instead of an underground swimming pool. This could save thousands!
• Use a vinyl liner in your build versus concrete.
• Hold off on any surrounding landscaping until you can pay out of pocket.
• Refrain from adding any extraordinary features, such as a rock slide or fountain. Keeping your swimming pool as simple could save you a ton of money.

Receiving a lump-sum loan does not mean you should immediately transfer the entire amount to the builder. Request a written payment schedule tied to defined construction milestones, such as excavation, shell installation, and equipment installation. Check local deposit restrictions, document each payment, and reserve the final payment until the agreed work is complete and you are satisfied.

Ask the builder how the contract handles unexpected underground conditions before choosing your loan amount. Find out whether excavation has a fixed price, allowances, or separately billed charges. Request written pricing and approval procedures for additional work, and decide how you would cover a reasonable contingency. Do not assume the lender will increase your loan after construction begins.

Selling the property does not automatically transfer an unsecured personal loan to the buyer or cancel your balance. Unless your agreement requires otherwise, you remain responsible for repayment. If you plan to use sale proceeds to clear the loan, request a payoff quote and check for prepayment charges. A loan secured by the property requires separate coordination with your lender and closing professional.

Yes. Check whether your planned pool complies with local requirements, property setbacks, easements, and any homeowners association rules before committing to construction. Ask the builder who handles approvals and what happens if the design must change. Financing approval does not establish that a pool can legally be installed where you want it.

Do not assume it does. Ask who receives the funds, whether payments depend on verified progress, and what dispute protections the agreement provides. With an independently obtained personal loan, a construction dispute generally does not suspend your repayment obligation. Keep the construction contract, invoices, payment records, and correspondence, and promptly contact the financing provider if the builder fails to perform.