Terrorist attacks, hatred of Americans, more countries that it isn't safe to travel to, and the weak economy are all contributing factors to the growing number of Americans who choose to vacation at home rather than go to some exotic locale. And with the savings they get from staying home some are choosing to make their homes more comfortable and vacation friendly. Of course, no vacation is complete without a swimming pool. With a swimming pool right in your back yard you can enjoy all the benefits without the crowds, and you can design it exactly they way you want (with the help of a professional of course). The good news is, that even with the economy in its current state there are several pool financing options still available.
Before selecting a method of financing, you need to have an idea of how much money you'll need, and to do this you will need to select a builder. This may be a harder process than actually securing financing, but a good builder will often be able to help you navigate through getting financing. Many wll know whether it's currently better (read cheaper) to take out a second mortgage or apply for a line of credit as long as both options are available to you. Some builders will also offer their own financing. While this may be convenient, and you may like and trust your builder, please do your own research and pick the option that makes the most sense for you financially.
The first financing scenario involves a person who is buying or building a new house. In this case the cost of the pool is often tied in with the cost of the house. However, this is not always the smartest option as the total interest you pay can be astronomical at the end of a 30 year mortgage. It is possible to apply for a separate shorter loan for your pool, however, then you will have two payments. Some home builders also require that you choose a pool builder off their list of approved contracters. So this may not be the best pool financing option.
The other scenario involves putting in a new pool on your existing house. There are two pool financing options with this scenario: a line of credit based on the equity you have in your home, or a second mortgage. Both options have their pluses and minuses. A line of credit typically has a lower interest rate, however the interest is compounded monthly rather than yearly (as it is with a mortgage). However the interest rate of a mortgage is usually higher. Therefore it will depend on your personal credit and income when you make the choice.
Some people attempt to pay with a credit card, however most reputable pool financing companies won't accept a credit card as a method of payment as the interest payments are insane and it can indicate the persons inability to get other financing. Also it is wise to choose a lender that is familiar with pools and will be able to give you a decision in 5 or so days rather than stringing you along for several weeks.
There are many options for pool financing. Whether you choose to go with a second mortgage, a line of credit, a new home and a new pool wrapped into one, or get financing through your builder it is entirely possible to get financing to build a pool and achieve your dream if you do your research and are wise with your options. - 29904
Before selecting a method of financing, you need to have an idea of how much money you'll need, and to do this you will need to select a builder. This may be a harder process than actually securing financing, but a good builder will often be able to help you navigate through getting financing. Many wll know whether it's currently better (read cheaper) to take out a second mortgage or apply for a line of credit as long as both options are available to you. Some builders will also offer their own financing. While this may be convenient, and you may like and trust your builder, please do your own research and pick the option that makes the most sense for you financially.
The first financing scenario involves a person who is buying or building a new house. In this case the cost of the pool is often tied in with the cost of the house. However, this is not always the smartest option as the total interest you pay can be astronomical at the end of a 30 year mortgage. It is possible to apply for a separate shorter loan for your pool, however, then you will have two payments. Some home builders also require that you choose a pool builder off their list of approved contracters. So this may not be the best pool financing option.
The other scenario involves putting in a new pool on your existing house. There are two pool financing options with this scenario: a line of credit based on the equity you have in your home, or a second mortgage. Both options have their pluses and minuses. A line of credit typically has a lower interest rate, however the interest is compounded monthly rather than yearly (as it is with a mortgage). However the interest rate of a mortgage is usually higher. Therefore it will depend on your personal credit and income when you make the choice.
Some people attempt to pay with a credit card, however most reputable pool financing companies won't accept a credit card as a method of payment as the interest payments are insane and it can indicate the persons inability to get other financing. Also it is wise to choose a lender that is familiar with pools and will be able to give you a decision in 5 or so days rather than stringing you along for several weeks.
There are many options for pool financing. Whether you choose to go with a second mortgage, a line of credit, a new home and a new pool wrapped into one, or get financing through your builder it is entirely possible to get financing to build a pool and achieve your dream if you do your research and are wise with your options. - 29904
About the Author:
Melvin Moore is a finance and swimming pool journalist who writes about pool financing
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