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How To Pay For A New Roof

Need A New Roof? Don’t Panic

Owning a home can cause a lot of financial stress, especially when significant repair is needed. Between mortgage payments, utility bills, property taxes, and other miscellaneous expenses, homeowners have enough financial obligations without an unexpected roof replacement. While Magnify Money reports that the average American household has $17,750 in a household savings account, nearly 30% of Americans have less than $1,000 saved. These numbers have only gotten worse since the start of the coronavirus pandemic. If homeowners find themselves in need of a new roof but don’t have the savings to weather the cost, there are financing options available.

Six Ways To Pay For Roof Replacement

While roof replacement is expensive, there are ways to make the project affordable.

1. Homeowners Insurance

Many homeowners’ insurance policies would cover roof repairs or replacement if the damage were a result of a storm, fire, or theft. However, if the roof needs replacing due to its age or lack of proper maintenance, the insurance company likely won’t cover repair or replacement. Contact the representative at your insurance company to find out if the roof replacement is covered under your insurance policy.

2. FHA Title I Home And Property Improvement Loan

If you don’t have enough savings and your homeowners’ insurance doesn’t cover the needed roof replacement, FHA Title I loans are one of the best ways to finance the project. FHA Title I loans are fixed-rate loans meant for home improvements and repairs. Typically, if the loan amount is under $7,500, it’s unsecured. However, for more significant loan amounts require using the property as collateral. Fortunately for homeowners of modest financial means, you don’t need to have equity in your home to qualify for one of these loans. If your home needs a new roof, contact your financial institution for more information on FHA loans.

3. Home Equity Loan

Home equity loans allow homeowners to borrow money against the value of the property. The existing mortgage remains unaffected, and the new loan typically has a lower fixed interest rate than most credit cards or personal loans. However, the risk of a home equity loan is in case of default: you may lose your house.

4. Cash-Out Refinancing

Another way to finance a new roof is to take money out of home equity. Basically, the original mortgage is refinanced with a new interest rate but a higher amount than is needed to pay off the mortgage. The surplus money goes directly to the homeowner and can be used for anything. If homeowners are planning on refinancing their mortgage anyway, it’s an easy enough way to finance a new roof. However, keep in mind that the interest rate may increase due to the increased risk of a new mortgage. Consult a financial advisor.

5. Personal Loan or Credit Card

Personal loans and credit cards are the worst options for financing due to their increased interest rates. However, if homeowners need to choose between the two, a personal loan would be a better option than putting the cost of the roof replacement on a credit card. Depending on the homeowner’s credit and debt-to-income ratio, some personal loans can have interest rates as low as 4.99%. However, those rates are reserved for people who have excellent credit scores. With bad credit, rates can exceed 100%. Credit cards may not have sufficient limits to cover the cost of the project.

6. Financing Options From the Roofing Company

Many roofing companies, including Pioneer Roofers, offer special financing for roofing projects with interest rates starting at 0%. For more information, contact us today!

Factors That Affect The Cost of Roof Replacement

The reason it’s so difficult to provide an “average” cost of roof replacement is that many factors contribute to the overall cost. If you need a roof replacement, make sure to call the reputable roofers at Pioneer Roofers for a free estimate!

Time of Year

The busiest time of year for most roofing contractors runs from the late summer into the fall. Therefore, any roofs installed during these busy seasons can cost a bit more. However, by scheduling your roof installation during the off-season, you may save money.

Size of Home

Another significant factor in roof replacement cost is the size of the home. The cost of a roof replacement is often based on square footage. The bigger the house, the more expensive the roof replacement will be.


The cost of a roof replacement also depends on the type of material the roofers use. For example, asphalt shingles are significantly cheaper upfront than metal roofs.


Labor significantly affects the cost of a roof replacement. If the roof’s design is complicated, the project will require more labor hours than a simple pitched roof, thereby increasing the cost.


Homeowners also need to pay for disposal of the old roofing materials, which affects the cost of the project.

How Can Pioneer Roofers Help?

If you find yourself needing a new roof, call us here at Pioneer Roofers. With over twenty years of experience in the area, we offer the most comprehensive roofing services around. Pioneer Roofers is a licensed, bonded, and insured contracting company. We know how to handle any roofing situation, even roofs with intricate designs. We offer special financing for roof replacements; our rates start at 0%. Contact us today for more information!

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How To Pay For A New Roof

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