How to Finance a New Roof
The cost of a new roof may determine what type of financing a homeowner should choose. For a large home, a mortgage product may be the best type of financing to use. Comparing different types of financing can help the homeowner decide the best way to pay for the new roof.
- Get a written estimate from a contractor for the price of the new roof. Once you know the amount, decide which type of financing to use. If you have equity in your home, you may want to consider a second mortgage or home equity line of credit to help you pay for the roof.
- Contact a bank or credit union in your area to discuss the best way to finance your new roof. Ask to speak with a home loan officer and set up a time to meet. Find out what you need to bring with you to the appointment. Make sure to take the written estimate for the new roof with you so the loan officer can make a copy for your file.
- Meet with the loan officer and find out the interest rates for different financing products. Ask the loan officer which product you should choose if you are having trouble deciding on your own. Find out the monthly payment for the type of financing that you choose so you can be sure that it is affordable.
- Complete an application and submit it to the loan officer. Ask how long it will take the loan officer to make a decision on your credit request. Let the contractor know that you are in the process of obtaining financing for the project.
- Call your roofing contractor once you receive an approval for the financing and set up a time for the installation. Close on the loan with the lender and have a check made out to the roofer. Do not give the check to the roofer until after the roofing job is complete.