Paying for Foundation Repair: Financing Options for Homeowners

Foundation repair can create a financial obstacle for many homeowners. Not everyone has enough cash in the bank to cover the costs of fixing foundation damage and restoring the structural stability of their home.


Are your financial resources a challenge? Don’t let that stop you from having the foundation repairs you need. Failing to repair a settling or damaged foundation can lead to significant structural damage that compromises the safety and value of your home.

Instead of allowing the damage to continue, fund your foundation project with one of the many available financing options.

Use Your Home Equity to Fund Foundation Repairs

Have you considered leveraging the equity in your home? Borrowing against your home’s equity could provide you with the cash you need for foundation repairs.

A home equity loan can be a good option, as it provides you with a lump sum of money for the repair project. These fixed-rate loans have terms that range from five to fifteen years, and the payments and interest rate remain the same for the lifetime of the loan.

You could also opt for a home equity line of credit, or HELOC. This financial instrument is similar to a credit card, in that you are approved for a spending limit that you can access when you need it. Unlike a home equity loan, the payments for a HELOC are not typically fixed. Your payments will vary depending upon the amount borrowed and the current interest rate.

This financing option may be preferable if you anticipate needing funds for other home repairs in the future.

Finance Your Foundation Repair with a Government Loan

If you don’t have enough equity in your home to fund the repairs, you may be eligible for a government-backed home improvement loan.

The Federal Housing Administration (FHA), a part of the Department of Housing and Urban Development (HUD), offers Title I loans that can be used for home improvements and foundation structural repairs.

Or, if you have a limited income and live in an eligible area, you may qualify for a Section 504 Home Repair loan through the Rural Housing Service (RHS), a division of the U.S. Department of Agriculture (USDA). This program also provides grants for foundation repair projects to homeowners age 62 or older.

Other Ways to Pay for Your Foundation Repair

Can you qualify for an unsecured, interest-free credit card? Charge only your foundation project on the new card and pay it off over the course of a year. In essence, you’re financing your project by breaking up the expense into 12 equal, monthly payments.

You could also consider applying for a personal loan at your bank or credit union. Or, check with your foundation repair contractor. Many offer financing options that make your project more affordable.

The professional foundation repair and restoration team at Atlas Piers understands that structural settlement is a concern for many homeowners throughout Utah, Nevada and Wyoming. Contact us today to schedule a complimentary inspection and estimate for your residential foundation repair.

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