Any roofing contractor will tell you that the roof is one of the most important parts of your home. After all, it is its first line of defense against the elements, protecting your home from anything that can cause it any form of damage. With that in mind, you can expect your roof to experience some problems every now and then, especially if your area frequently experiences strong storms.
If your roof sustains damage, the best course of action would be to either get a roofing replacement or repair project done. Unfortunately, a roofing project can sometimes be quite costly and not every homeowner has the funds on hand to get it done immediately. Luckily, there is a way you can fund your roofing project and that’s through the wide range of financing options available to you.
In this article, Kingdom Roofing lists the six kinds of financing options that you can consider for your roofing replacement project.
1. Cash – When you’re having your roofing system replaced, it’s obvious that one of the ways you can finance it is by paying cash. If you own your home, it’s your responsibility to make sure it remains in shape and as such, it’s not a bad idea to save some of your money for any emergencies that may pop up around your home. If you’ve managed to save enough and you can afford it, be sure to consider financing your roofing project with cash so you can avoid the interest payments that often accompany loans or installments.
2. Company Financing – Unfortunately, not every homeowner can dip into their savings to get their roof repaired or replaced. Luckily enough, many roof repair services providers offer a financing option known as company financing. Often, company financing involves the roofer working with a bank that can help you manage the cost of your project. Each company chooses the bank that they’ll work with as well as the options that they’ll offer to you.
According to experts, company financing can be far more beneficial than direct-lender financing. The reason for this is because a roofing company that offers financing can easily offer special promotions that can beat the banks and direct lenders themselves as they can get special rates from the bank due to volume lending. With that in mind, if you can’t use cash to finance your roofing project, don’t hesitate to approach your nearest roofer to ask if they offer any company financing options that you can consider.
3. Personal Loans – Alternatively, you can also consider getting a personal loan to pay your roofing contractor for their services. In fact, some say that a personal loan may also be far more beneficial compared to approaching a lender or other forms of financing as the amount you’ll get in a personal loan as well as its interest rate depends entirely on your credit score and history.
Apart from that, some personal loans can also have lower interest rates or longer repayment terms. This can be a far cry from other financing options, which only offer a lump sum upfront with a high interest rate or short repayment terms instead. Before you sign the dotted line, however, be sure to carefully review the terms of the loan to determine if it is indeed the best option for you.
4. Home Equity Loans – On the other hand, if a roof repair or replacement isn’t covered by your homeowner’s insurance, you can always finance your roofing project through a home equity loan instead. If you opt for a home equity loan, you’ll be able to borrow against your home’s available equity that it managed to build up over time and if the loan-to-value ratio is less than 85%, then a home equity loan is a roof financing option that you can use for your roofing replacement project.
According to roofing professionals, home equity loans tend to have their benefits. For instance, it has a relatively low interest rate compared to other financing options and since your home itself is being used as collateral, you have less exposure to the risks that come with defaulting on your payments. Keep in mind, however, that to qualify for a home equity loan, you’ll need a strong credit score and a steady income as well as available equity in your current residence.
5. Credit Cards – If you have a strong credit score, you may also qualify for a 0% APR credit card and you can use these credit cards to fund your roofing project. When you opt to use a credit card as your financing option, you may be pleasantly surprised to learn that you have a higher spending limit compared to personal loans. In fact, you may not even have any interest, allowing you to save a significant amount in the long run. However, using credit cards does come with its own set of drawbacks: 0% interest credit cards may have a much shorter time frame for full repayment compared to home equity loans, company financing, or personal loans, meaning you’ll have to pay off the balance in full before the 0% introductory period is done.
6. Home Improvement and Repair Loans – Finally, you’re also more than free to finance your roofing project with a home and property improvement loan, which you can get from certain lenders and is insured by the Department of Housing and Urban Development. According to roofers, the amount of such loans depend on the homeowners’ needs as well as their credit history and are offered with fixed interest rates and long repayment terms. These loans may be used on properties that have been occupied for at least 90 days.
Our Roof Financing Option
If you want to simplify your search for a company that offers roof financing options, you can always turn to Kingdom Roofing. To offer you such options, we have partnered with YGrene for their incredible and simple roof financing solutions. Unlike other financing methods, YGrene approves of loans based on home equity instead of your credit history and they don’t look at your minimum credit score as a requirement to help you finance your roof. Apart from that, payments can start as late as March 2023 with ExtendPay, allowing you to properly budget your finances to make room for your loan payments.
Need to have your roof replaced? Simply turn to the pros of Kingdom Roofing for assistance. We may have only been established in 2017 but with a combined 30 years of roofing experience, we are one of the most reliable contractors in the business offering quality roof repair services. Give us a call at (941) 217-2411 or fill out our contact form to get in touch with us today!