There are several potential options to finance roof repairs, including personal loans, home equity loans, or in-house financing.
Angela Brown Edited by Ashley Harrison Updated May 13, 2022
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Over time, the roof of a home can become damaged by age, weather, and other factors — which is why homeowners might find themselves needing to repair or even replace their roof down the line. The average cost of roof repairs is $884, according to Austin Roofing and Construction — but this cost can rise to $2,000 or more depending on the work your roof needs.
Thankfully, there are several ways to cover these costs. One option is to take out a roof financing loan — a type of personal loan used to pay for roof repairs.
Here’s what you need to know about personal loans for roof refinancing:
A personal loan can be used to pay for almost any personal expense — including roof repair or replacement. But before you take out a personal loan, it’s important to compare as many lenders as possible so you can find the right loan for your needs.
Here are Credible’s partner lenders that offer personal loans for roof financing:
Best for: Borrowers with poor credit
If you have poor credit, Avant might be a good choice for a roof financing loan. You can borrow $2,000 to $35,000* with repayment terms from two to five years.** And if you’re approved, you could get your funds as soon as the next business day.
Ready to find a personal loan? Compare rates from top personal loan lenders to find the right one for you.
Best for: Borrowers with excellent credit
Axos Bank offers personal loans from $10,000 to $50,000 with terms from three to six years. If you’re approved, you could get your funds as soon as the next business day. Keep in mind that you’ll generally need good to excellent credit to qualify for a loan from Axos Bank.
Ready to find a personal loan? Compare rates from top personal loan lenders to find the right one for you.
Best for: Borrowers with fair credit
In addition to your credit score, Best Egg considers more than 1,500 “proprietary credit attributes” from sources that include external data providers and your “digital footprint” to determine your creditworthiness. This means you might have an easier time qualifying with Best Egg compared to traditional lenders.
With Best Egg, you can borrow $2,000 to $50,000 with terms from two to five years.
Ready to find a personal loan? Compare rates from top personal loan lenders to find the right one for you.
Best for: Longer repayment terms
If you’re looking for a longer repayment term, Discover might be a good option — you can borrow $2,500 to $35,000 with terms from three to seven years. Just keep in mind that choosing a longer term means you’ll pay more in interest over time.
Ready to find a personal loan? Compare rates from top personal loan lenders to find the right one for you.
Best for: Borrowers with a cosigner or proof of retirement savings
FreedomPlus offers personal loans from $7,500 to $50,000 with terms from two to five years. Additionally, borrowers who add a cosigner or show proof of retirement savings might qualify for a better interest rate on their FreedomPlus loan.
Ready to find a personal loan? Compare rates from top personal loan lenders to find the right one for you.
Best for: Borrowers who need a cosigner
If you need a cosigner, LendingClub could be a good option — it’s one of the few lenders that allow cosigners on personal loans. With LendingClub, you can borrow $1,000 to $40,000 with a three- or five-year repayment term.
Ready to find a personal loan? Compare rates from top personal loan lenders to find the right one for you.
Best for: Borrowers with near-prime credit
LendingPoint specializes in working with borrowers who have near-prime credit — usually meaning a credit score in the upper 500s or 600s. With LendingPoint, you can borrow $2,000 to $36,500 with terms from two to five years.
Ready to find a personal loan? Compare rates from top personal loan lenders to find the right one for you.
Best for: Large loan amounts
If you need to borrow a large amount, LightStream could be a good choice — you can borrow $5,000 to $100,000. Most LightStream loans come with repayment terms from two to seven years, but if you use your loan for home improvements like roof repairs, you could have up to 12 years to repay it.
Plus, if you’re approved, you could get your funds as soon as the same business day.
Ready to find a personal loan? Compare rates from top personal loan lenders to find the right one for you.
Best for: Budget-friendly payment options
Marcus offers personal loans from $3,500 to $40,0002 with terms from three to six years. With Marcus, you can choose from tailored payment options designed to fit your budget needs. Additionally, after making at least 12 consecutive, on-time payments, you can defer one monthly payment on your Marcus loan interest-free.
Ready to find a personal loan? Compare rates from top personal loan lenders to find the right one for you.
Best for: Borrowers with below-average credit
Unlike many other lenders, OneMain Financial doesn’t have a minimum credit score requirement — which means you might qualify even if you have poor or no credit. In addition to your credit, OneMain Financial will also consider your financial history, income, expenses, and loan purpose to determine your creditworthiness.
With OneMain Financial, you can borrow $1,500 to $20,000 with terms from two to five years. Keep in mind that larger loan amounts might require collateral.
Ready to find a personal loan? Compare rates from top personal loan lenders to find the right one for you.
Best for: Small loan amounts
If you need to borrow only a small amount, PenFed could be a good option — you can borrow as little as $600 up to $50,000 with terms from one to five years.
Keep in mind that while you don’t need to be a PenFed member to apply for a loan, you’ll need to join the credit union if you are approved and want to accept the loan.
Ready to find a personal loan? Compare rates from top personal loan lenders to find the right one for you.
Best for: Borrowers who don’t have traditional income
While you’ll need to show some form of annual income to be eligible for a loan, Prosper has no specific minimum income requirement. This means you might have an easier time qualifying if you don’t have traditional income — for example, if you’re self-employed or receive pension checks.
With Prosper, you can borrow $2,000 to $40,000 with a three- or five-year term.
Ready to find a personal loan? Compare rates from top personal loan lenders to find the right one for you.
With SoFi, you can borrow $5,000 to $100,000 with terms from two to seven years. SoFi borrowers also have access to several perks, including unemployment protection, career coaching, and investing advice.
Ready to find a personal loan? Compare rates from top personal loan lenders to find the right one for you.
Best for: Borrowers who want to build their credit
With Universal Credit, borrowers have access to free credit score monitoring, educational tools, and personalized recommendations that could help you build your credit. You can borrow $1,000 to $50,000 with Universal Credit.
Ready to find a personal loan? Compare rates from top personal loan lenders to find the right one for you.
Best for: Quick loan decisions
With Upgrade, you can borrow $1,000 to $50,000 with a three- or five-year repayment term. Upgrade offers a quick and easy application process as well as free credit monitoring and educational resources to help you improve your credit.
Ready to find a personal loan? Compare rates from top personal loan lenders to find the right one for you.
Best for: Borrowers with thin credit history
In addition to your credit score, Upstart will consider your education and job history to determine your creditworthiness — which means you might qualify even if you have little to no credit history. You can borrow $1,000 to $50,0005 with Upstart.
Ready to find a personal loan? Compare rates from top personal loan lenders to find the right one for you.
Learn More: How Do Personal Loans Work?
While eligibility criteria can vary by lender, here are a few qualifying requirements you’ll likely come across:
Check Out: Getting a Loan with No Credit: 4 Loans for New Borrowers
If you’re ready to apply for a roof financing personal loan, follow these four steps:
Before you take out a personal loan, be sure to consider how much that loan will cost you. This way, you can be prepared for any added expenses. You can estimate how much you’ll pay for a loan using our personal loan calculator below.
Enter your loan information to calculate how much you could pay
With a $ loan, you will pay $ monthly and a total of $ in interest over the life of your loan. You will pay a total of $ over the life of the loan.
Need a personal loan? Compare rates without affecting your credit score. 100% free!
Checking rates won’t affect your credit score.
If you’re thinking about using a personal loan to pay for a roof, here are some pros to consider:
Check Out: What You Can Use a Personal Loan For
And here are a few potential drawbacks to keep in mind:
Learn More: How to Check If a Personal Loan Company Is Legitimate
In addition to personal loans, there are also other ways to finance the cost of roof repairs or replacement. Here are some alternatives to consider:
If you’re a homeowner, you can tap into your home’s equity with a home equity loan or home equity line of credit (HELOC). Because these options are secured by your house, they sometimes come with lower interest rates than personal loans.
Just keep in mind that if you can’t keep up with your payments, you risk losing your home.
Check Out: Home Equity Loan vs. Personal Loan: Which Is Right for You?
Some roofing companies offer financing to their customers, either with in-housing financing or through a third-party vendor. This can be an easier option compared to taking out a loan as you can manage your roof repair needs and the needed financing in one place.
If you’re thinking about financing with a roofing company, be sure to compare your options with other personal loan lenders to make sure you’re getting the best possible deal.
Learn More: How to Get a Personal Loan With a 600 Credit Score
Unlike a personal loan, a credit card is a type of revolving credit that lets you repeatedly draw on and pay off your credit line. This could come in handy if you aren’t sure how much your roof repairs will cost or if you need to cover recurring costs over time.
Some credit cards come with a 0% APR introductory offer, which means you could avoid paying any interest if you can repay your balance before this period ends.
However, if you can’t pay off your card in time, you could be stuck with some hefty interest charges. Additionally, credit card rates tend to be higher than personal loan rates.
Check Out: How to Get a Fast Personal Loan for Quick Cash
The government offers a few programs and grants designed to help low-income families pay for needed home repairs, such as roof repairs or replacement.
Learn More: COVID-19: How Personal Loan Lenders Are Helping Borrowers
In some cases, your homeowners insurance might cover the cost of fixing your roof — such as if your roof was damaged by fire, wind, or hail. Keep in mind that you’ll likely need to pay a deductible before your insurance will kick in. Additionally, your insurance will generally have a coverage limit.
Also note that homeowners insurance generally doesn’t cover repairs required due to wear and tear or maintenance needs. If you think you might have an eligible insurance claim, be sure to reach out to your insurance company to discuss your options.
Check Out: GreenSky Loans for Home Improvement Review
It could be difficult to qualify for a loan to repair your roof if you have poor or fair credit. While some lenders offer personal loans for bad credit, these loans tend to come with high interest rates — meaning you’ll pay much more in interest overall.
Even if you don’t need a cosigner to qualify, having one could get you a lower interest rate than you’d get on your own.
If you decide to take out a personal loan for roof financing, remember to consider as many lenders as possible to find the right loan for you. Credible makes this easy — you can compare your prequalified rates from multiple lenders in two minutes.
Ready to find your personal loan? Credible makes it easy to find the right loan for you.
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About Rates and Terms: Rates for personal loans provided by lenders on the Credible platform range between 3.99%-35.99% APR with terms from 12 to 84 months. Rates presented include lender discounts for enrolling in autopay and loyalty programs, where applicable. Actual rates may be different from the rates advertised and/or shown and will be based on the lender’s eligibility criteria, which include factors such as credit score, loan amount, loan term, credit usage and history, and vary based on loan purpose. The lowest rates available typically require excellent credit, and for some lenders, may be reserved for specific loan purposes and/or shorter loan terms. The origination fee charged by the lenders on our platform ranges from 0% to 8%. Each lender has their own qualification criteria with respect to their autopay and loyalty discounts (e.g., some lenders require the borrower to elect autopay prior to loan funding in order to qualify for the autopay discount). All rates are determined by the lender and must be agreed upon between the borrower and the borrower’s chosen lender. For a loan of $10,000 with a three year repayment period, an interest rate of 7.99%, a $350 origination fee and an APR of 11.51%, the borrower will receive $9,650 at the time of loan funding and will make 36 monthly payments of $313.32. Assuming all on-time payments, and full performance of all terms and conditions of the loan contract and any discount programs enrolled in included in the APR/interest rate throughout the life of the loan, the borrower will pay a total of $11,279.43. As of March 12, 2019, none of the lenders on our platform require a down payment nor do they charge any prepayment penalties.
Angela Brown is a student loan, personal finance, and real estate authority and a contributor to Credible. Her work has appeared in Fox Business, LendingTree, FinanceBuzz, and Yahoo Finance.
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