Pool loans: Understanding your options

Few things are better than enjoying a crisp dip in your own swimming pool on a hot summer day. Pools also have numerous other benefits, too, such as opening new fitness avenues, offering a gathering place for friends and family, and even boosting your home value in many areas of the country. 

Depending on the type of pool you’re hoping to buy, the cost can be quite substantial. Fortunately, there are many options for affordable swimming pool loans without having to resort to high-interest credit cards. We’ll cover the ins and outs of each one. 

Covering the cost of a pool in 2026

There's no getting around it: installing an inground pool is a significant investment. In 2026, pool costs typically range from $45,000 to $87,000, with most homeowners spending around $66,000 by the time installation and related expenses are complete.

For most families, that's not the kind of expense you can cover without thinking twice. Even if you have the cash available, pulling $50,000, $60,000, or more from your savings could mean delaying other priorities, shrinking your emergency fund, or putting long-term financial goals on hold.

That's why many homeowners choose to finance at least a portion of the project. The key is finding an option that fits comfortably within your budget and financial goals, so you can enjoy your new pool without second-guessing how you paid for it.

5 ways to finance a pool

There are many different types of pool loans available, each with its pros and cons. 

In addition, many pool dealerships offer various types of loan funding options with a quick and easy application process, although your overall costs may be higher. To get the lowest rates, it’s best to shop around on your own, too, so you can identify the best lender and home improvement loan type for your needs. 

Personal loans

• Term lengths: 1 to 5 years.
• Loan amounts: $100 to $100,000.
• Requirements: 580+ credit score and a debt-to-income ratio under 36%.

Personal loans are often the fastest loan option, with some lenders disbursing funds as soon as the next business day or even the same day you apply. They’re not backed by any collateral, so the interest rates tend to be a bit higher, and approval depends more on your income and credit history than other loan types. However, you’ll pay a fixed rate for the entirety of your loan term, which makes budgeting easy. Personal loans are available in a wide range of loan amounts. 

You can explore a free pool loan calculator here.

Some reputable pool loan lenders in 2026 include: LightStream for longer repayment terms, Upgrade for more flexible requirements, and SoFi for low fees.

Home equity loan

• Term lengths: 1 to 20 years.
• Loan amounts: Up to 80% of your home’s value minus your mortgage balance.
• Requirements: 620+ credit score and a debt-to-income ratio under 43%.

Home equity loans function similarly to personal loans, with fixed interest rates and lump-sum funding. The main difference is that it’s tied to your home as collateral, meaning you’ll need to go through the full underwriting process for a second mortgage. This can take up to six weeks and cost up to 5% in closing fees. In return, you’ll get much lower interest rates that make for lower ongoing monthly payments. 

Home equity line of credit

• Term lengths: A 5 to 10-year draw period, followed by a 10 to 20-year repayment period.
• Loan amounts: Up to 80% of your home’s value minus your mortgage balance.
• Requirements: 620+ credit score and a debt-to-income ratio under 43%.

Home equity lines of credit (HELOCs), in turn, function similarly to home equity loans, except that they’re structured as a two-phase line of credit. During the first phase, you have the option of borrowing money up to your credit limit while making interest-only minimum payments. Your access to new funds stops when it switches to the second phase, where you’ll make full principal and interest payments similar to any other loan. 

This funding style is more flexible, but you’ll need more wiggle room in your budget to handle the shifting payment amounts over time, especially since they come with variable interest rates that can also affect your payment amount. 

Home equity investment

• Term lengths: Up to 30 years.
• Loan amounts: $30,000 to $500,000. 
• Requirements: 500+ credit score and a home worth more than $155,000 in an eligible lending area. 

Home equity investments (HEIs) allow access to a lump sum of funds, but rather than paying it back each month, it’ll be due in 30 years as a single payment — meaning no regular monthly payments in the meantime. Instead of paying financing charges in the form of interest, you’ll pay a share of your home’s appreciation in value. For example, if your home is worth $100,000 more in 30 years, you’ll pay a pre-set fraction of this amount, not your total home value. 

Cash-out refinance

• Term lengths: Up to 30 years.
• Loan amounts: Up to 80% of your home’s value, including the lump sum of cash.
• Requirements: 620+ credit score and a debt-to-income ratio under 50%.

Many lenders allow you to refinance your primary mortgage and take out additional funds in the process, resulting in a larger loan balance. This can be a good option if you can get a better rate on your mortgage, and it allows you to spread out your pool financing repayment over your full mortgage term length, lowering your monthly costs (but increasing the amount of interest you pay overall).

The biggest decision most homeowners need to make when considering which pool loan is right for them is whether they want a secured financing option or not. It’s worth taking some time to consider each of these options in depth. Think about how your payments will fit into your budget in the future, how stable your income will be, and how much risk you want to take in order to save money with a lower rate. Homeowners who are confident they’ve found the right pool loan can watch their stress float away while buoying up their home’s value.