Installing a swimming pool at your property is a great way to enhance your lifestyle as well as add significant value to your home with an eye to potentially selling in the future. Swimming pool installation here in Australia can cost up to $100,000 depending on the type of pool you’re looking at, alongside any additional landscaping or building work required as part of the installation. Cheaper swimming pool options are also available depending on budget and the type of pool desired, with the average pool price often cited as between $35,000 – $50,000.
As amazing as the feeling of having a swimming pool would be, before going ahead it is important to consider how you are going to finance it. What are your options?
Re-mortgaging Your Home
If you have paid a good chunk of your mortgage off already then you might be able to benefit from refinancing and using the capital as a means of paying for your swimming pool. You will need to consider your current circumstances and whether this is something you would want to do. Remember that you don’t need to necessarily refinance your whole mortgage; depending on the equity you hold and the value of your property you may be able to refinance a smaller portion and use this to pay for your swimming pool.
Over 60’s may be able to take advantage of equity release as an alternative option.
If you have a good credit rating then a personal loan could be an option for you to explore for financing your swimming pool. Should you be considering this path ensure you conduct plenty of research and get a number of guaranteed quotes from swimming pool builders so you know exactly how much you will be looking to borrow.
While you will be subject to a lender’s eligibility criteria and a credit check before being accepted for a loan, you should make sure you’ll be able to keep up with repayments yourself prior to applying.
“If you have a good credit rating then a personal loan could be an option for you to explore for financing your swimming pool.”
Using Your Savings
Using your personal savings to finance your swimming pool is a potentially attractive option, particularly as you’ll be adding value onto your home without taking on any debt. You might have been saving specifically for a home improvement anyway, so if you’ve hit a savings target it could be time to use this cash on your swimming pool. Even if you have been saving without a specific objective in mind it may be something you wish to consider.
If your savings do not meet the likely cost of your swimming pool, you can also use them to supplement a personal loan, meaning you don’t need to borrow as much as you might have done previously.
If you don’t have any savings capital you may also have the option of selling a second car or any other valuable asset you may own.
“If your savings do not meet the likely cost of your swimming pool, you can also use them to supplement a personal loan, meaning you don’t need to borrow as much as you might have done previously.”
Considering What You’ll Gain
When thinking over the best options for financing your swimming pool, or indeed any home improvement or renovation, you should also consider the value it will add onto your property as well as the lifestyle benefits you will enjoy. Doing this will give you a more realistic perspective on what you’ll be paying for, particularly if a $25,000 pool has the potential to add double that value to your property in the long-term, for example.
There are numerous options available if you’re looking at swimming pool installation for your home; be sure to take your time to consider them all and choose the best one for your circumstances.
Disclaimer: This article contains general comments and recommendations only. This article has been prepared without taking account of your objectives, financial situation or needs. Before taking any action, you should consider the appropriateness of the comments made in the article, having regard to your objectives, financial situation and needs. If this article relates to the acquisition, or possible acquisition, of a particular credit product you should obtain and consider the relevant disclosure documents before applying for the product.