SWIMMIING POOL FINANCING – THE DIFFERENCES
Cash-out refinance: Refinance your mortgage with a new one. Usually, this includes fees and may increase your monthly payments or loan term.
Home equity line of credit (HELOC): A HELOC is a line of credit secured by the equity you have built in your home. Utilizing a HELOC is much like creating a second mortgage, since it increases your overall mortgage balance.
Home equity loans for swimming pool financing: Similar to a HELOC, this type of loan typically has a fixed rate. The downside is the likely addition of closing costs. Utilizing your home as collateral is also not risk-free.
Loans specifically for swimming pool financing: A swimming pool financing loan does not utilize your home as collateral, so there’s no foreclosure risk. In most cases, a swimming pool loan gets funded faster than other loan types.