Swim Spa Financing: How Does It Work?

Kenneth Wilson

Swim spas are amazing! You can get the whole experience of swimming without even having a lot of space. To top that off you also get the benefits of relief from pain and also a great way to work out. However, for all their perks, these do come at a very expensive price tag. So, you might wonder how you can finance your purchase. So, let’s take a look at swim spa financing.

There are multiple ways to finance your swim spa: starting from bank loans to even pool dealers or financing companies. Depending on which method you choose, the procedure will slightly differ. But it usually involves getting a pre-approval, buying the swim spa once you have your loan approved, and then paying it back with interest over a fixed period of time.

This is a great way to get the benefits of a swim spa without having to wait years and save up for it. You don’t have to spend too much at once, and you can pay it back in small amounts at a time. It is very convenient for most people. However, there are different ways you can do this. So, let’s go into detail about how spa financing works.

How Swim Spa Financing Works?

The spa financing procedure is pretty straightforward. The first step would be to decide what kind of financing you want. Then you apply for it (usually online, but can also be done in person). Once your loan gets approved you can select what kind of interest plan you want and also the duration over which you will pay your loan back. That’s pretty much it.

Whether you get your financing done from a bank or an independent dealer, the process overall is the same. The most important thing to keep in mind here is the interest rate. This is because the higher your interest rate, the more your swim spa will ultimately cost you.

You can either get a secured loan or an unsecured loan. With a secured loan, you will have to put up an asset as collateral. This will allow you to get a much lower interest rate. On the other hand, if you get an unsecured loan, you won’t have to put any collateral so your assets will be safe. However, you will be looking at much higher interest rates. So, choose wisely.

5 Ways to Finance Swim Spa

Now that you know how exactly financing a spa works, let’s take a look at the different ways you can finance your spa. This will help you decide which is the best option for you.

1. Home Improvement Loan

You can apply for a home improvement loan from your bank or a credit union. Once you get approved, you will receive a set amount of money in a lump sum. You will be paying back with regular installments of principal and interest over a set period of time.

Since it is an unsecured loan, expect higher interest rates. Though these are much lower than most credit cards. You can also choose between variable and fixed interest rates.

2. Home Equity Line of Credit

This is a secured loan that uses your home as collateral. You can borrow up to 65% of your home’s market value and there is no fixed payment schedule. Pay interest only on the sum that you use.

The interest rates will be lower. However, you might need to pay legal and appraisal fees during the application process.

3. Personal Line of Credit

This type of credit is unsecured and is like keeping a tab at a restaurant. You can keep adding up until you reach a pre-established maximum value. The great thing about this is you can continue to use your line of credit even after you’ve paid your swim spa off.

You will only pay interest on the amount you use. Furthermore, the amount might only interest only as it is decided by the lender.

4. Refinancing Your Mortgage

If you want a secured loan, you can go to the lender who has your mortgage and add more money to the amount you owe on your mortgage. You will be paying the interest that you have for your mortgage and you can borrow up to 80% of your home’s value.

These interest rates will usually be much lower since these are mortgage rates. But you may need to pay legal fees.

5. Financing Through Pool Dealers

Certain pool dealers and companies also offer loans through independent third parties. These are unsecured and you will have to pay the loan back in fixed sums over a certain period, on a fixed timetable.

This is a great option for people who might not have enough credit scores to apply for a good loan.  These dealers also sometimes offer interest-free periods as well.

What Credit Score Do You Need to Finance a Swim Spa?

You should have a credit score of 640 or higher to qualify for zero equity hot tub financing. The higher the better. You can still finance your swim spa if your score is lower, but that will usually mean a higher interest rate.

You can also apply with a co-applicant if your credit score is too low. It really depends on the lender, at the end of the day. You should always check things out first to see what the lenders are looking for.

Is it Worth it?

Yes, financing your swim spa is completely worth it. With a finance plan, you can quite easily get a top-of-the-line swim spa at a much more affordable price range. (Related: Ultimate Relaxation In Your Backyard: Hot Tub Types and Costs) You can even upgrade your swim spa with additional accessories and gadgets along the way with the money you’ll save.

Swim spas are very convenient because they save space and are much more useful than a regular swimming pool. You can use the high-pressured currents to even work out and also as a way to relieve muscle aches and relax.

It’s a multi-purpose pool and has a lot of perks. And being able to afford it at a much lower price is a deal you should not miss out on!


So now that you know all about swim spa financing, you can go ahead and start looking at models you like. Put in a pre-approval application so you can get your finances sorted out as soon as possible.

Once you get approved, you’ll be on your way to having a lot of fun in your new swim spa!

Kenneth Wilson
August 24, 2021

Kenneth Wilson

Retired contractor. Currently residing in Southwest Florida. Now in semi-retirement, I write and manage this blog focused on helping home owners make savvy decisions when it comes to finding contractors and getting their projects done. I also operate remodeling design service for homeowners.

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