Are you thinking about adding a custom swimming pool but worried about the cost? Well, with an average monthly swimming pool payment ranging from $200 to $500, understanding what goes into calculating your costs is also essential.
So, how you can do that? By utilizing tools like a pool loan calculator. Yes, you read it right, estimating your monthly payment for a pool loan has become simple with a pool loan calculator. Now the question is how accurate are these calculators? And what factors could change the amount you will actually pay each month?
Stay tuned, in this insightful post, we will talk about the vital elements that influence your loan costs and guide you on using a pool loan payment calculator effectively. We will also shed some light on how a pool financing calculator can simplify the process, helping you make better financial decisions in developing a custom swimming pool in your backyard.
Let’s begin.
Benefits of Building a Custom Swimming Pool in Your Home
Having a custom pool in your backyard is one of the best things about home ownership. With so many innovations and options available, constructing your dream pool has become easier nowadays.
Let’s look at some of the benefits of built swimming pools: -
Select Your Own Shape: The most important part of a pool’s design and construction is its shape. When you decide to have a swimming pool custom-built, you are 100% in control of its shape and size, suited to your personal or family needs.
Designed To Cater To Your Lifestyle: The advantage of custom-built swimming pools is that they can be customized as
per your lifestyle.
You can choose a more traditional design if your goal is to build a place to relax, design a longer pool for swimming laps and other exercises, or go for an infinity pool for a unique appearance.
Perfect Place for Holding an Event: If you are like many homeowners, you will love the idea of your home being a great place to hold an event.
With a custom swimming pool, you get to decide how every single detail can signify your event. From pool landscaping and decking to water structures and size, you can build a unique pool that best suits family, business, or personal events.
Swimming Pool Loan Calculator
A swimming pool loan calculator is basically a tool that helps in estimating your monthly payments when financing a pool.
It tells about the loan amount, interest rate, and repayment term, giving you a clear picture of your budget. Using a pool loan calculator, you can quickly assess different loan scenarios to find one that suits your financial situation.
Usually, for a $30,000 pool loan with an interest rate of 6% and a 5-year term, monthly payments would be around $580. If you extend the term to 10 years, the payment would drop to about $333 per month, but you would pay more interest overall.
Rates generally could range between 4% and 10%, depending on your credit score and lender. Loan amounts can also vary, with options from $5,000 to $100,000 or more.
For those looking to explore multiple options, a pool finance calculator also offers insights into various financing choices. It will help you compare interest rates and payment plans. Similarly, a pool loan payment calculator also provides a detailed breakdown of how much amount you will have to pay monthly.
You can easily access a free pool loan calculator online. It will be then easier for you to experiment with different figures without any cost.
The Average Monthly Payment For a Swimming Pool Loan
Here is an overall estimate for monthly payment of a swimming pool loan: -
A $30,000 loan over 84 months could cost anywhere between $350-$400 per month. A $40,000 loan over the same term would result in a monthly payment of $500 to $600, while a $50,000 loan would cost around $700–$800 per month.
If you would like to extend your loan term beyond 84 months, then you can lower your monthly payments considerably. Want to know how? Look at the example below - Suppose you choose a 180-month loan term, your average monthly payment could be $200-$300 less. If you finance $50,000, your payments will be around $395 per month. A $30,000 pool would cost less than $250 per month.
The important thing you have to note here is the monthly payments on your pool loan will vary based on a number of factors, including the loan term, interest rate, and amount financed.
How to Get a Custom Swimming Pool Loan?
Pool loans are usually unsecured personal loans that do not require any collateral.
You can follow these effective steps/tips for secure financing: -
1. Look for Lenders
Reach out to multiple lenders to compare pool loan rates, as it increases your chances of finding the right option.
Some lenders offer a prequalification process, allowing you to see different interest rates for pool loans without impacting your credit score.
2. Select an Ideal Offer
In this stage, you have to compare the loan terms and select the one that covers your project cost effectively. Be sure to consider the pool loan terms to ensure the monthly payments fit your budget.
3. Submit Your Application
Submit a formal loan application after selecting an ideal lender. You will likely need to provide bank statements, pay stubs, tax returns, and a government-issued ID.
4. Get Funds and Make Monthly Payments
Once approved, the lender will disburse the funds. For pool construction loans or any home improvement loan for a swimming pool, it is ideal to sign up for autopay to avoid missed payments.
How Much Does it Cost to Build a Custom Swimming Pool?
The average cost of developing a custom swimming pool could range from $2000 to $100,000+ depending on the type of pool you want to build.
This is just an estimate, the actual cost will vary depending on various factors like house location, worker charges, local regulations, and specific design choices.
The table below reflects the overall cost of building a custom swimming pool: -
How to Finance Swimming Pool?
Now it’s time to discuss some of the most common swimming pool financing options: -
1. Personal Loan
Most homeowners choose this flexible loan type to finance swimming pool projects.
Since personal loans are unsecured, they might have higher rates compared to secured loans like home equity loans. However, the application process is usually simple.
2. Home Equity Loan
If you have significant equity in your home, a home equity loan can be the right way to finance swimming pool installations. But make sure that your home serves as collateral, which could be at risk if you default.
3. Cash-Out Refinance
This option allows you to refinance your mortgage by taking out a larger loan to pay off the existing one. The extra funds are given as a lump sum, which can be used for financing swimming pools or other expenses.
4. Home Equity Line of Credit (HELOC)
Similar to a home equity loan, this line of credit allows you to borrow against your home’s equity. Unlike a lump-sum loan, it provides a credit line for ongoing use.
Like other secured loans, your home acts as collateral. These were all the financing options for swimming pools you can opt for, which provide transparency in finding the right solution based on your financial situation
and goals.
Final Thoughts
Estimating your monthly payment for a swimming pool loan
So, that was all you read about the average monthly payment for a swimming pool loan in this useful guide. In a nutshell, we can say that estimating your monthly payment for a swimming pool loan can help you budget effectively and make better decisions. Using tools like a pool loan calculator or a pool finance calculator will help you to explore different payment scenarios.
However, for a precise cost estimate, it is advised to consult with the experts. Get in touch with Kentucky Pool Company, the premier custom pool builder with over 20 years of experience, for personalized advice and a detailed pool financing plan tailored to your needs.
Call us today at (859) 407-7665 and get ready to upgrade your backyard.