A swimming pool loan can give you access to the funds you need.
A swimming pool can provide hours of entertainment for the members of your household, plus it can add a significant amount of value to your home. Whatever your reasons for wanting to get a pool, you may underestimate the costs of building one. If you decide to look into financing options for your swimming pool, there’s a few loan types you can consider.
Before jumping in the deep end and applying for the first loan you find, read our guide on what you should look for in a swimming pool loan and how you can find the right finance option for you.
Latitude Unsecured Personal Loan Offer
Latitude Financial Services Personal Loan offers a low interest rate with a low ongoing fee and a rate of 13.99%.
- Interest Rate From: 13.99% p.a.
- Comparison Rate: 15.20% p.a.
- Interest Rate Type: Fixed
- Application Fee: $250 (Loans under $4000 - $140)
- Minimum Loan Term: 2 year
- Maximum Loan Term: 7 year
- Minimum Loan Amount: $3,000
- Maximum Loan Amount: $50,000
Compare loans for a swimming pool
How do swimming pool loans work?
These type of loans work in much the same way as regular personal loans or loans for home renovations. You have a few choices when it comes to financing a pool:
- Secured personal loan. A secured personal loan requires you to attach an asset to your loan as security in order to take out the loan. You may choose to attach something like your car or house, or if you have a mortgage you can use the equity you hold in your home as security. These loans are less risky for a lender so they are able to offer you lower rates and fees.
- Unsecured personal loan. This type of loan does not require you to use an asset as security, meaning it is less of a risky loan for you to take on. To offset the increased risk that the lender takes on with these loans, you can expect to be charged higher rates and fees. These loans are often more flexible, though, as you are able to use the loan amount to finance not only the pool but any other purchases as well.
- Mortgage finance. People looking to finance home repairs may opt to increase their mortgage amount. This means they can keep their debts in one place and better manage their repayments. Keep in mind that the interest you will be charged may be higher than some other personal loans, although you may save money by not having to pay fees on a separate loan. Calculate all of the costs you will incur to see if this is a good option for you.
How to get a pool loan
A swimming pool in the backyard is a nice luxury to have at home, especially on hot Australian days. This is big investment that a loan could help you make. Before you choose a loan for your swimming pool, consider the following:
- Cost. Decide on the type and size of pool that you are interested in, and then compare the cost. Before you decide on the type of loan that is best for you, you should know aroundhow much you are going to need to borrow.
- Type of loan. You have a few options with a loan for a swimming pool, includinga personal loan, ora line of credit loan, or secured loan using the equity in your home. Think about the pros and cons of all the choices available to you and base your decision on what will work best in your circumstance.
- Compare lenders. Once you know how much you need to borrow and what kind of loan you need, you can begin to compare offers from different lenders.Use a calculator to help you determine where you get the most savings based on loan terms, interest rate and fees.
When it comes to making an investment like installing a pool, you are going to want to make sure that it is of high quality and will add value to your home. Take advantage of a pool loan tohelp you guy one that fits this criteria,, but compare your loan options first to make sure the loan you choose fits your circumstance.
Pool costs to consider
Like many major expenses, the process of purchasing and installing a new swimming pool can contain unforeseen expenses. When budgeting keep in mind the following costs:
- Installation issues. Even if the pool you purchase is going to be above ground, there is a certain amount of digging in your yard that will have to be done in order to make it level. Running into complications like large rocks or water lines can significantly add to the cost of your pool installation.
Many homeowner insurance lenders will charge extra for a swimming pool on the premises. This is not something you want to try and avoid by not telling them though. That extra insurance can protect you in case something does happen.
This is an important safety feature and is a requirement when installing a new pool. The type of fence you choose to get will depend on whether you have children, pets, and the type of pool and backyard you have.
- Maintenance. Once the pool is ready for swimming you need to consider how you are going to maintain it. Even if you don't plan on hiring a company to do the cleaning for you, you will still have to invest in chemicals and cleaning equipment.
How to choose a pool
You are going to have a number of options to choose from when deciding on the right swimming pool for your backyard. Knowing the types of activities you plan on using your pool for will help you decide the best style and type for your home:
- Above or inground.
A backyard swimming pool is either going to be submerged into the ground of your yard or sit on top of it. Inground swimming pools will add value to the home but are typically more expensive. An above ground swimming pool may be easier and cheaper to install but might not be as pleasing to the eye compared to the alternative.
The size of your swimming pool depends on the size of your yard. You don't want a swimming pool that leaves you with no space to do much of anything else. Also allow for space to build a deck around the pool if you are interested in creating a relaxing atmosphere outside.
With above ground pools you are limited to round and oval shapes, but if you are having an inground pool installed you can also choose other shapes. If you are considering a pool to work out in, a rectangular swimming pool is ideal for laps.
How deep the pool is will be an important decision, especially if you have young children. Many homeowners who have inground pools installed will have a graduated depth, with one end being only one to 1.5meters deep for kids and three or more meters deep at the far end to accommodate a diving board or slide.
Both an inground and aboveground pool can be built using different types of materials. An inground pool can be installed using concrete, fiberglass or vinyl. Concrete allows you to shape the pool exactly as you want it, whereas vinyl is the less expensive way to have an inground pool installed. Above ground pools can be rigid, using walls to hold the pool in place, or they can also be soft sided. A soft sided pool is not much more than the vinyl liner and can be easily taken down from season to season.
A swimming pool is a fun and exciting addition to any home. Choose the one that is right, and get the best possible financing for years of summer time fun right in your own backyard.
The cost of a swimming pool
Building a swimming pool is a considerable expense that can set you back tens of thousands of dollars. When deciding how much money to borrow to build a pool, think about all of the following costs which may apply:
- An above-ground pool can cost up to $8,000
- A fibreglass or vinyl below-ground pool can cost up to $25,000
- A concrete below-ground pool can cost up to $50,000
- Paving, fencing and landscaping can cost between $5,000 and $15,000
Compare swimming pool loans
If you’re looking at getting a loan to build a swimming pool, you should keep the following points in mind when you’re comparing your options:
- The lender. The lender offering the loan should inform your decision. You can read customer reviews of lenders online and see how easy they are to contact and what their customer service is like.
- Loan terms. The length of time you are able to borrow the money is referred to as the loan term, and it’s something you should confirm before you apply for the loan. Calculate the repayments you will be able to afford and then see how long you will have to borrow the money for. Lenders will differ on the length of time for which they will allow you to borrow.
- Loan amount. The lender may restrict the amount of money you can borrow depending on the type of loan you choose and your financial circumstances. Check to see if you will be able to borrow the amount you need before applying.
- Loan purpose. Certain types of loans, for example secured loans, have restrictions on the way you are able to use the funds. If you are planning to use the loan amount to finance a pool as well as something else, you should check with the lender to see that you are able to do so.
- Actual cost of the loan. To calculate the true cost of a loan, take into account the interest rate, the upfront and ongoing fees you will be charged, the amount you are borrowing and the length of time you will be borrowing the money for.
Things to consider
Before you take out a loan to build a swimming pool, consider your own financial situation and the stability of your income. If you have substantial debts already, you may want to try and reduce this debt before you apply for a loan. In addition, before you apply you might want to look at getting a quote for the pool to see how much you should borrow to avoid applying for multiple loans.
How to apply
If you would like to apply for a loan to finance a swimming pool, compare your loan options using the comparison tables above. When you have found a suitable option, simply click the ‘Go to site’ button to be securely transferred through to the lender’s website. From there you can fill out an online application form.
To apply for a loan in Australia, you will generally need to be over the age of 18, be a permanent Australian resident and have a good credit rating. If your credit rating is not perfect, there are some lenders who may still be able to help. When you apply you will need to provide personal details; financial details including your assets, debts and liabilities; and your employment details including your employer’s name and contact information, as well as your income and pay frequency.