Thinking of putting in a swimming pool? You’re not alone — according to end-of-year 2022 research from HomeLight, when money is no object, homeowners are more likely to choose their dream pool over other high-end home touches like luxurious walk-in closets, home theaters, or wine cellars. 

But for most of us, money is very much part of the decision-making process. We researched pool loans to find the best lenders based on interest rate, customer experience, maximum loan amount, and other important factors — here are our top choices.

Credible evaluated the best personal loan lenders for pool loans based on factors such as customer experience, minimum fixed rate, maximum loan amount, funding time, loan terms, fees, discounts, and whether cosigners are accepted. Credible’s team of experts gathered information from each lender’s website, customer service department, directly from our partners, and via email support. Each data point was verified by a third party to make sure it was accurate and up to date.

Pool loans are a type of personal loan used to pay for a swimming pool. These loans often offer lower interest rates than credit cards, with Federal Reserve data showing that the rate for a 24-month personal loan from a commercial bank was 11.48% as of May 2023. Compare that to the average commercial bank interest rate on credit cards for May 2023, which was 20.68%. 

The total cost of your own pool project can influence the cost of your pool loan. Factors such as location (of both your home and the pool itself), the materials you use, the size of the pool, and any extra features you add on will impact the total price tag — and thus the amount of money you’ll need to borrow. 

Swimming pool installation costs in Miami average around $49,995, according to one contractor, while a Scottsdale, Arizona, contractor says its base price for a custom in-ground pool is $55,000. Though personal loan amounts usually top out at about $100,000, how large of a loan you qualify for will depend on a multitude of factors.

There are two types of pool loans to consider:

Check out: What are the common uses for a personal loan?

Here are some of the most important upsides and downsides to keep in mind.

Here are some things to keep in mind to boost your chances of being approved for a pool loan with attractive terms:

Read more: How to improve your personal loan application

Here are the steps you should take to apply for a loan:

1. Get a pool estimate: Get multiple quotes, but don’t necessarily go with the lowest bid. Make sure you’re working with a reputable and qualified contractor. 
2. Prequalify with lenders: When you prequalify, you submit basic financial information to a lender and it gives you an estimate of how large of a loan you might qualify for and at what interest rate. Prequalifying generally requires a soft credit pull, which doesn’t affect your credit score (though submitting a formal application will trigger a hard pull, which does affect your score). It’s important to note that prequalification is not an offer of credit, and your final rates may be higher. Many banks, credit unions, and online lenders now offer quick and simple online prequalification processes — apply with multiple lenders so you can see all of your options. 
3. Compare lenders: After you’ve prequalified with multiple lenders, compare the loan terms. Look at interest rate, fees, payment terms, lender reputation, and other important factors. 
4. Pick the best option: After comparing loans, choose the one that works best for you. The loan payment should fit easily within your monthly budget, the interest rate should be competitive, and the fees should be reasonable. 
5. Complete your application: Finalizing your application will often require government ID, proof of income, and other documentation. Once you’ve completed all the paperwork and been approved, carefully read the fine print before you sign the contract.
6. Get your funds: Personal loans are often disbursed within a week of finalizing the application. Once the money arrives in your bank account, you can start the pool installation process. Don’t forget to start making your monthly payments according to your loan terms — consider automating them to ensure you don’t miss the due date.

Here are some other ways you could fund a pool:

However, unlike a credit card, lines of credit have a draw period, where you can take out funds up to a certain amount during a predetermined period, which is typically 5-10 years. Once the draw period is over, you’ll start making your monthly payments during the repayment period.

The credit score required to qualify for a pool loan will depend on the lender. Many reserve their best rates for those with a FICO credit score above 670, but some personal loan providers have a minimum qualifying credit score of 550. You may be able to qualify for a pool loan with a credit score on the lower end if you have a cosigner or put up collateral, but it’s often best to wait and improve your credit score before taking on more debt.

Yes, you can use a pool loan for other home improvement projects — generally speaking, you can use the funds from a personal loan for just about anything. But given the cost of debt, it’s best to use your pool loan for projects that add to the value of your home.

The time frame for loan approval will depend on the lender, but generally ranges from one business day to a week or two.

Whether or not your pool loan comes with prepayment penalties will depend on your lender and the terms of your loan. Review your personal loan paperwork to see if your lender charges penalties for paying off your loan early.

Yes, you can get a pool loan if you have a mortgage on your home already. Unless your financial picture and credit score are bad enough to make lenders consider you a risky investment, personal loans are likely still an option for you. Review your credit score, debt-to-income ratio, and the amount of money you’ll need to borrow to determine how likely it is that you’ll qualify for a pool loan with a competitive interest rate.