Pool Loans 101: Rates, Payments, and How to Qualify
If you are considering an inground swimming pool and have a realistic expectation of how much it will cost, the next step is to explore the various pool financing options available to you.
Here at River Pools we have had the opportunity to help hundreds of clients make their backyard dreams a reality, by not only manufacturing and installing their pools, but also by helping answer their questions about pool loans and financing and directing them to financial institutions that can best serve their needs.
If you find yourself in need of more pool financing info, you're in luck because today we’re going to answer the most common questions we receive about pool loans. Let's jump right in!
What Are The Interest Rates For Pool Loans?
Pool loan interest rates have remained relatively stable for years. Lightstream, the company we often refer our customers to, has fixed rate, unsecured, simple interest loans for amounts up to $100,000 at interest rates roughly between 5% and 10% based on your credit profile.
What Will Be My Pool Loan Monthly Payment?
Just to give you an idea, a $30,000 loan over 84 months will likely be between $450 and $500 per month. A $40,000 loan over the same term around $600 to $675, and a $50,000 loan roughly $700-$850 per month. You can calculate your own monthly payment here.
What Do Pool Loan Lending Agencies Consider “Good Credit”?
Basically, they want to see five or more years of credit history with a variety of account types such as major credit cards, vehicle loans, and a mortgage.
They also want to see a positive payment history with little or no late payments as well as evidence of the ability to save as demonstrated by large down payments and the accrual of liquid assets.
Finally, they want to see stable and sufficient income to insure the loan can be repaid.
What Information Is Required On A Pool Loan Application?
The lending agencies typically want the following:
- Social Security #
- Driver’s License #
- Work Status
- Amount and Sources of Income
- Total Monthly Housing Cost
- Home Equity
- Liquid Assets
- Retirement Assets
Can I Finance A Portion Of My Pool Project With A Pool Loan?
Yes, in fact this is quite common. There are many instances when clients can cover most of the base pool package cost and opt to finance the additional patio, fence, landscaping, or other accessory items with the intention of paying the loan off early, for which there is typically no penalty.
We hope this has helped you understand more about what is involved in financing your pool project and more about pool loans in general. If you’d like to learn more, you can visit our pool financing page here.
If you'd like to learn why fiberglass pools are the fastest growing segment of the pool industry check out Fiberglass Pools vs Concrete Pools vs Vinyl Liner Pools: Which Is Best?
As always, if you have questions or comments please feel free to leave them below.
Editor's note: This blog post was updated on June 13, 2018.