Paying For A Roof When Money Is Tight

Sure, it is all well and good to celebrate the advantages of a new roof, but what good does that do you if you don’t have the money to replace your roof? The good news is there are tips and tricks to make paying for a roof when money is tight a reality.

7 Tips To Help Make Paying For A Roof More Doable

Take a healthy look at first-time and lifetime costs of a new roof

The immediate “first-time” cost of a new roof can feel overwhelming. For a shingle roof on a moderately sloped roof with high-quality shingles, that cost is just around $6500 to $9000. Sure, that’s a chunk of money. However, did you know that the average cost of a moderate roofing repair is $950?  

And that’s not including any additional repairs that may relate to the roof repair such as water damage recovery, siding replacement, mold/mildew eradication, insulation replacement if the attic was damaged, etc.

If your roof is outdated, that single $950 repair cost may be replicated each storm season as the dilapidated roof continues to deteriorate. Then, of course, there are also the energy savings inherent in a high-quality roof replacement. 

When you add up the savings from eliminating major repairs for the next decade or more, more cost-effective annual roof maintenance, preventing water damage repairs, and improved energy efficiency, that $6500 to $9000 price tag starts looking more and more reasonable and worth the investment. 

Ask about contractor financing

Your roofing contractor understands that it is not always easy for people to pay for their new roofs with a single cash payment. Heck, we’re working-class people, too! Many contractors offer roofing financing with approved credit. Now, that single expense can be divided into regular monthly payments. 

Speak to your homeowner’s insurance carrier

The condition of your roof is a factor in your homeowner’s insurance premium. Contact your carrier’s customer service department and do some homework about how a new roof might positively affect your premiums.  

In fact, contractor-financed loans may be one of the determining factors in choosing the best bay area roofing contractor for the job. 

Many homeowner’s insurance policies offer notable discounts for new roofs. On the flip side, your premium may already be much higher than it would be because they penalize homeowners with older roofs! 

As long as you have them on the phone, ask about other roof and home features that might earn you a monthly reduction. Some carriers reduce premiums for proof of the following: 

• A new roof 
• Specific roofing materials that are impact, wind, and/or fire-resistant 
• Proof of annual roof inspections 
• Security alarm systems 
• Plumbing and electrical upgrades 
• Fire safety and water sprinkler systems 
• HVAC system replacements 
• High credit scores 
• And more (ask your carrier for details about which home improvements yield the most valuable “credits” 

Insurance carriers are in the business to make a profit, so they don’t spend much time asking you whether you’ve made changes or advertising their discounts. It becomes your job to make sure they have proof of any home improvements that lower monthly premiums. 

Equity line of credit

Interest rates are still at all-time lows but that’s not going to last forever. If your roofing contractor doesn’t offer financing or it’s offered at a higher interest rate than you are comfortable with, contact your local bank or credit union. Equity lines of credit are a smart way to use your home to finance its own roof.  

If you’ve already spoken with your insurance carrier, or there are other large home improvement projects on your “to-do” list, get all of your quotes ahead of time to optimize this opportunity to get your home in shape for an affordable monthly payment.  

Capitalize on 0% financing offers from credit card companies

If you are good at budgeting and always honor payment agreements, leverage those two skill sets and take advantage of 0% financing offers from credit card companies. Depending on the terms, many companies offer 0% options for 6, 9, or even 12 months, which can make the total roofing cost more palatable to you. 

Apply for an FHA Title I fixed-rate loan

Most people aren’t aware that homeowners and those with a long-term lease may qualify for a government-backed, FHA Title I fixed-rate loan. If you have a solid credit score, an approved application and signature are all you need for roofing replacements in the $7500 and less range. If the loan is for more than $7500, the feds will use your home as collateral. However, their interest rates are reasonable and they may be more affordable than bank or credit card loans. 

Veterans Administration (VA) loans for paying for a roof

Similar to the federally-backed Title I loans, VA loans are also available to qualifying veterans to buy a home or to make necessary home improvements. Replacing an outdated roof with a new roof is one of the approved improvements.  

Visit the VA Home Loans page to learn more about that option and to see if you qualify.

If You Have Questions, We Have Answers

Please contact us here at Central Bay Roofing if your roof is overdue for replacement. There is always a way to make paying for a new roof when money is tight actually happen, and we’re here to help. (510) 521-7334. Our free estimates are always no obligation, so you have nothing to lose and everything to gain but scheduling a consultation.