Best of
A roof loan is a personal loan you use to cover the cost of repairing or replacing a roof. Compare roof loans plus other financing options.
By
and
Last updated on December 12, 2023
Edited by
✅ Fact checked and reviewed
Edited by
✅ Fact checked and reviewed
Many or all of the products featured here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money.
Replacing or repairing a roof, whether it's a cosmetic update or a necessary fix, can be an expensive project.
Homeowners spend an average of $9,714 on roofing projects, according to the U.S. Census Bureau's 2021 American Housing Survey. Delaying the work can lead to even costlier repairs and unsafe living conditions.These lenders offer roof loans to help you finance the project.
Compare personal loans with other financing options to find the least expensive one.
Why trust NerdWallet
- 35+ personal loans reviewed and rated by our team of experts.
- 20+ years of combined experience covering personal loans and financial topics.
- Objective, comprehensive star rating system assessing 20+ categories and 70+ data points.
- Governed by NerdWallet's strict guidelines for editorial integrity.
NerdWallet's personal loans content, including articles, reviews and recommendations, is produced by a team of writers and editors who specialize in consumer lending. Their work has appeared in The Associated Press, USA Today, The New York Times, MarketWatch and many other national, regional and local publications. They have been cited in publications including The Harvard Kennedy School, and appeared on NerdWallet's "Smart Money" podcast as well as local TV and radio.
Why trust NerdWallet
- 35+ personal loans reviewed and rated by our team of experts.
- 20+ years of combined experience covering personal loans and financial topics.
- Objective, comprehensive star rating system assessing 20+ categories and 70+ data points.
- Governed by NerdWallet's strict guidelines for editorial integrity.
NerdWallet's personal loans content, including articles, reviews and recommendations, is produced by a team of writers and editors who specialize in consumer lending. Their work has appeared in The Associated Press, USA Today, The New York Times, MarketWatch and many other national, regional and local publications. They have been cited in publications including The Harvard Kennedy School, and appeared on NerdWallet's "Smart Money" podcast as well as local TV and radio.
Limited-Time Offer
EXCLUSIVE OFFER
AD
Don't miss out on a better rate
Get a 0.50% discount on your next loan from SoFi, NerdWallet's 2024 Best Personal Loan winner. Offer expires 4/30/24. Click on "View details" for offer terms*.
SoFi Personal Loan
5.0
NerdWallet rating
Est. APR
8.99-29.99%
Get a 0.50% discountLimited-time offer
Loan amount
$5K-$100K
Min. credit score
None
on SoFi's website
View details
Roof Loans to Finance a New Roof
Lender ▾ ▾ | NerdWallet Rating ▾ ▾ | Est. APR ▾ ▾ | Loan amount ▾ ▾ | Min. credit score ▾ ▾ | Learn more |
|---|---|---|---|---|---|
Limited-Time Offer SoFi Personal Loan Visit Lenderon SoFi's website on SoFi's website Read Reviewon NerdWallet on NerdWallet | 5.0 /5 Best for Co-signed or joint roof loans with low rates | 8.99-29.99% Get a 0.50% discountLimited-time offer | $5,000-$100,000 | None | Visit Lenderon SoFi's website on SoFi's website Read Reviewon NerdWallet on NerdWallet |
Upgrade Visit Lenderon Upgrade's website on Upgrade's website Check Rateon NerdWallet on NerdWallet | 🏆Top 3 most visited 5.0 /5 Best for Roof loans for bad credit Rate discount | 8.49-35.99% | $1,000-$50,000 | 560 | Visit Lenderon Upgrade's website on Upgrade's website Check Rateon NerdWallet on NerdWallet |
First Tech Credit Union Personal Loan Check Rateon NerdWallet on NerdWallet | 5.0 /5 Best for Joint or co-signed roof loans for members | 8.99-18.00% | $500-$50,000 | 660 | Check Rateon NerdWallet on NerdWallet |
LightStream Visit Lenderon LightStream's website on LightStream's website Check Rateon NerdWallet on NerdWallet | 4.5 /5 Best for Large roof loans with long repayment terms | 7.99-25.49% | $5,000-$100,000 | 660 | Visit Lenderon LightStream's website on LightStream's website Check Rateon NerdWallet on NerdWallet |
Best Egg Visit Lenderon Best Egg's website on Best Egg's website Check Rateon NerdWallet on NerdWallet | 4.5 /5 Best for Secured roof loans | 8.99-35.99% | $2,000-$50,000 | 600 | Visit Lenderon Best Egg's website on Best Egg's website Check Rateon NerdWallet on NerdWallet |
LendingPoint Check Rateon NerdWallet on NerdWallet | 4.5 /5 Best for Fast roof loans | 7.99-35.99% | $2,000-$36,500 | 660 | Check Rateon NerdWallet on NerdWallet |
PenFed Credit Union Personal Loan Check Rateon NerdWallet on NerdWallet | 4.5 /5 Best for Roof loans for members with good credit | 7.99-17.99% | $2,000-$50,000 | 700 | Check Rateon NerdWallet on NerdWallet |
Universal Credit Visit Lenderon Universal Credit's website on Universal Credit's website Check Rateon NerdWallet on NerdWallet | 4.0 /5 Best for Roof loans with credit-building tools | 11.69-35.99% | $1,000-$50,000 | 560 | Visit Lenderon Universal Credit's website on Universal Credit's website Check Rateon NerdWallet on NerdWallet |
Our pick for
Co-signed or joint roof loans with low rates
Limited-Time Offer
EXCLUSIVE OFFER
AD
Don't miss out on a better rate
Get a 0.50% discount on your next loan from SoFi, NerdWallet's 2024 Best Personal Loan winner. Offer expires 4/30/24. Click on "View details" for offer terms*.
on SoFi's website
on NerdWallet
SoFi Personal Loan
5.0
NerdWallet rating
Est. APR
8.99-29.99%
Get a 0.50% discountLimited-time offer
Loan amount
$5,000-$100,000
Min. credit score
None
Our pick for
Large roof loans with long repayment terms
Visit Lenderon LightStream's website
on LightStream's website
Check Rateon NerdWallet
on NerdWallet
LightStream
4.5
NerdWallet rating
Est. APR
7.99-25.49%
Loan amount
$5,000-$100,000
Min. credit score
660
Our pick for
Roof loans for bad credit
Visit Lenderon Upgrade's website
on Upgrade's website
Check Rateon NerdWallet
on NerdWallet
Upgrade
5.0
NerdWallet rating
Est. APR
8.49-35.99%
Loan amount
$1,000-$50,000
Min. credit score
560
Our pick for
Roof loans with credit-building tools
Visit Lenderon Universal Credit's website
on Universal Credit's website
Check Rateon NerdWallet
on NerdWallet
Universal Credit
4.0
NerdWallet rating
Est. APR
11.69-35.99%
Loan amount
$1,000-$50,000
Min. credit score
560
Our pick for
Secured roof loans
Visit Lenderon Best Egg's website
on Best Egg's website
Check Rateon NerdWallet
on NerdWallet
Best Egg
4.5
NerdWallet rating
Est. APR
8.99-35.99%
Loan amount
$2,000-$50,000
Min. credit score
600
Our pick for
Fast roof loans
Check Rateon NerdWallet
on NerdWallet
LendingPoint
4.5
NerdWallet rating
Est. APR
7.99-35.99%
Loan amount
$2,000-$36,500
Min. credit score
660
Our pick for
Roof loans for members with good credit
Check Rateon NerdWallet
on NerdWallet
PenFed Credit Union Personal Loan
4.5
NerdWallet rating
Est. APR
7.99-17.99%
Loan amount
$2,000-$50,000
Min. credit score
700
Our pick for
Joint or co-signed roof loans for members
Check Rateon NerdWallet
on NerdWallet
First Tech Credit Union Personal Loan
5.0
NerdWallet rating
Est. APR
8.99-18.00%
Loan amount
$500-$50,000
Min. credit score
660
» MORE: Compare home improvement loans
What is a roof loan?
A roof loan is a personal loan you use to pay for a roof repair or replacement. This type of loan is funded all at once and then repaid, with interest, in fixed monthly installments.
Roof loan amounts are from $1,000 to $100,000, and annual percentage rates range from 6% to 36%. Repayment terms are typically two to seven years.
Most roof loans are unsecured, meaning there is no collateral for the loan. Instead, a lender reviews your credit and finances to decide whether to offer you a loan and at what APR.
The largest loans and lowest rates are reserved for borrowers with good or excellent credit (a score of 690 or higher). Some lenders offer home improvement loans for bad credit (a score below 629), but you can expect a higher interest rate.
Roof loan pros and cons
A roof loan is a good option if you don’t have enough equity to borrow against your home and you don’t want to max out a credit card.
Consider these pros and cons of roof loans:
Pros
No collateral: Personal loans don’t require you to pledge your home or another asset and risk losing it if you can’t repay the loan.
Fast funding: With some lenders, you may get your funds the same or next day after approval, while others may take up to a week.
Lower rates than credit cards: Especially for borrowers with strong credit, personal loans can have lower rates than most credit cards.
Cons
Higher rates than home equity options: With no collateral backing the loan and shorter repayment terms, personal loans have higher interest rates than home equity loans and lines of credit.
No tax benefits: Unlike home equity financing, you can’t claim tax deductions for using a personal loan on a home improvement project, such as a roof repair.
How to get a roof loan
Get a cost estimate: Get a few quotes for the roof’s cost so you know how much to borrow. You receive a personal loan in a lump sum, so you can’t request more if you underestimate.
Check your budget: Review your income and expenses to determine how much you can afford to repay each month. Use a home improvement loan calculator to see what loan amount, APR and repayment term you’ll need to fit the payments into your budget.
Pre-qualify and compare: Many lenders let borrowers pre-qualify to preview loan offers. There’s no impact to your credit score, so you can pre-qualify with multiple lenders to find the least expensive loan.
Apply: Once you choose a lender, it’s time to apply for a personal loan. Tip to move things along: Gather documents like W-2s, pay stubs, bank statements and a government-issued ID before starting the application. Expect to hear from the lender within a day or two.
» MORE: How long does it take to get a personal loan?
PRE-QUALIFY ON NERDWALLET
Other ways to finance roof repairs and replacements
Home equity loan
A home equity loan is a second mortgage that works similarly to a personal loan: You get the funds in a lump sum and repay them in fixed monthly installments. Good credit isn’t required to qualify, but you need to have equity built up before you can borrow against it.
Your home is collateral on a home equity loan, so you can lose it if you don’t make payments. These loans usually have lower rates and longer repayment terms than personal loans, meaning the monthly payments are lower.
» MORE: Compare home equity loans
Home equity line of credit
A HELOC is a credit line that you can draw on as you need it, typically for 10 years. This type of financing can have low rates and repayment terms of 20 years, so monthly payments are low. You can get a HELOC with fair credit, but your home’s value must be at least 15% more than what you owe.
HELOCs make sense for projects that last a long time or come with surprise expenses. Your home is collateral for this type of financing, and the lender may require an appraisal as part of the underwriting process, which could add a couple of weeks to the funding timeline.
» MORE: Compare HELOCs
Credit cards
Because of their high APRs, credit cards are best for low-cost repairs that you can pay off quickly. If you can pay for the roof in 15 to 21 months, consider a 0% interest credit card that has a promotional period during which you pay no interest. You will likely need good or excellent credit to qualify.
» MORE: Best credit cards for home improvement
Government-insured loans
Home improvement loans insured by the Federal Housing Administration require lower minimum credit scores than conventional mortgages. FHA-backed options are:
FHA 203(k) standard loans can cover repairs that cost at least $5,000. The process involves refinancing your existing mortgage with an FHA 203(k) loan and rolling the roof replacement costs into the new mortgage.
FHA Title 1 loans are fixed-rate loans designed for home improvements. Loans up to $7,500 are unsecured, while those $7,500 and higher are secured by a mortgage or deed of trust on the property.
Roofing companies
Your roofer may offer in-house financing or loans through a third-party financial company, such as GreenSky or Ally. Rates and terms depend on the roofing company and your credit score.
Carefully read the loan offer’s terms and conditions and compare it to other options to get the best deal.
Roof financing tips
Check your homeowners insurance: A roof damaged in a storm may be covered under your homeowners insurance policy. You may have to pay a deductible before the insurance coverage kicks in.
Home warranty coverage: If you’ve purchased a home warranty, or your home is new and covered under home warranty, it may cover roof repairs due to leaks.
Shop around: Compare estimates from multiple roofers to get a competitive price on materials and labor. The estimates should include all expected costs, plus a warranty that covers any defects in roofing materials or labor.
» MORE: Roof replacement cost: How to save money
Last updated on December 12, 2023
Methodology
NerdWallet’s review process evaluates and rates personal loan products from more than 35 technology companies and financial institutions. We collect over 50 data points from each lender and cross-check company websites, earnings reports and other public documents to confirm product details. We may also go through a lender’s pre-qualification flow and follow up with company representatives. NerdWallet writers and editors conduct a full fact check and update annually, but also make updates throughout the year as necessary.
Our star ratings award points to lenders that offer consumer-friendly features, including: soft credit checks to pre-qualify, competitive interest rates and no fees, transparency of rates and terms, flexible payment options, fast funding times, accessible customer service, reporting of payments to credit bureaus and financial education. Our ratings award fewer points to lenders with practices that may make a loan difficult to repay on time, such as charging high annual percentage rates (above 36%), underwriting that does not adequately assess consumers’ ability to repay and lack of credit-building help. We also consider regulatory actions filed by agencies like the Consumer Financial Protection Bureau. We weigh these factors based on our assessment of which are the most important to consumers and how meaningfully they impact consumers’ experiences.
NerdWallet does not receive compensation for our star ratings. Read more about our ratings methodologies for personal loans and our editorial guidelines.
NerdWallet's Roof Loans to Finance a New Roof
- SoFi Personal Loan: Best for Co-signed or joint roof loans with low rates
- LightStream: Best for Large roof loans with long repayment terms
- Upgrade: Best for Roof loans for bad credit
- Universal Credit: Best for Roof loans with credit-building tools
- Best Egg: Best for Secured roof loans
- LendingPoint: Best for Fast roof loans
- PenFed Credit Union Personal Loan: Best for Roof loans for members with good credit
- First Tech Credit Union Personal Loan: Best for Joint or co-signed roof loans for members
