Roofing projects can be expensive, and we get that you might not always be equipped to handle the costs associated with these projects on your own.

But, you shouldn’t neglect to repair or replace your roof either. If you leave damage unfixed or unattended for too long, you’ll be facing more serious problems in the future that will likely be much more expensive.

Thankfully, there are many roof financing options that you can choose from to ensure that your home is well looked after and all of the necessary repairs are made before the damage can get any worse.

Happy couple embracing in front of their home; roof financing options

6 Best Roof Financing Options

Depending on where you live, the damage to your home, and how much money you need to borrow, the specific loans available to you will vary. But, these are the most common financing options for homeowners.

1. Home Equity Loan or Line of Credit

A home equity loan or line of credit is offered by your lender with most homes when you’ve built up enough equity. By borrowing money against your home, you’re able to secure a lower rate and sometimes a higher loan amount. This is a fairly common way of paying for home improvement projects or repairs.

home equity loan on a desk with a man signing it as roof financing options

2. Personal Loan

Most banks and credit unions offer personal loans to those who have open accounts. Interest rates for personal loans can sometimes be high, but if you’re able to show good income and willing to pay it back aggressively, it’s sometimes a good option.

3. Contractor Financing

Contractor financing is a great solution when offered by your contractor. It’s easy to apply for, and you’ll almost always know in minutes whether or not you’ve been approved for the financing. Some financing options even allow 0% interest if the loan is paid back within a specific time frame. Ask your contractor if they offer financing to learn more.

4. Cash-out Refinance

A cash-out refinance is a riskier way of borrowing from the equity of your home. When you choose this loan, you’re taking money that you had as equity in your home and agreeing to somewhat start over on your home’s loan.

Many homeowners and lenders would consider this risk because it will wipe away a lot of the progress that you would have made on your home loan. For older borrowers, this isn’t a recommended loan option.

5. HUD Home Improvement and Repair Loan

The Home Improvement and Repair Loan offered through the Department of Housing, and Urban Development is a great option for those who qualify. It’s typically not as difficult to obtain as other roof financing options, but you do need to meet certain criteria before applying.

The most important criteria falls around income and the total value of the home. These loans are easy to get if you meet the criteria but aren’t available to those who don’t.

6. Credit Cards

Credit card loans or lines of credit are always an option when you’re in a bind for cash. But, like some of the other options, they aren’t always recommended. Credit card companies are notorious for having extremely high-interest rates and little to no forgiveness for late payments. Additionally, you might struggle to reach them if you have questions because the customer service departments are often very busy with customers. Check out this list of the best credit card loan options for home improvement projects.

woman hand calculating roof financing options with credit card and smart phone on desk

Options to Consider Before Financing

Before you decide to finance the roof, you might consider looking into a few other options. One of the important parts of making a good decision for your home is to know all your options.

Insurance Coverage

Insurance coverage is required by law on all homes, whether paid for or still in repayment. Most insurance policies will cover some of the damages on your roof, depending primarily on how old the roof is. Before you go out and pay for it with a loan or out of pocket, be sure to talk with your insurance company.

Paying Out of Pocket

Paying with cash or out of pocket is always an option, but it might not be feasible for everyone. We only encourage paying out of pocket if you’re able to do so and still be financially comfortable moving forward.

view of home with yard sign about free roof inspection from k&d roofing; roof financing options

We’d Love To Help With Your Next Roofing Project!

When it comes down to it, finding the right loan for your situation is important. But what’s more important is finding a contractor that’s willing to help you find that loan and make recommendations on the best steps to take.

At K&D Roofing, we’ve been serving homeowners for decades, and we’ve learned what it takes to provide excellent customer care. Reach out to us today, and we’ll provide you with a free estimate and along with recommendations on the best financing options for your roof.