Ultimate Guide to Landscaping Loans

Your outdoor area can prove to be a haven, especially if you spend most of the hours cooped up with your work. Unless your job actually has you working outdoors, you will want that bit of green space to improve your mood. For remote workers, fresh air outdoors can even improve productivity.

That being said, creating the perfect outdoor space can be very expensive – especially if you have big plans. Without proper budgeting, you will feel that financial hit very hard. So, rather than taking the money out of your monthly paycheck, you may want to go for landscaping loans instead. As it is paid in installments, it is often much easier to bear.

Average Cost For Backyard Landscaping

The cost of landscaping will usually depend on the project’s complexity. The bigger your yard, and the more work you will have to do, the more it will cost you in the end. On average, it can cost between $3,000 and nearly $16,000 to landscape a new home. The final cost will be determined by the size of your property and the additions that you want to make.

For instance, while a maintenance job may be somewhere around $300, a bigger installation can start at $4,000. On average, landscapers charge between $4 and $12 per square foot if they are offering basic or intermediate landscaping services.

Do Landscaping Companies Offer Financing?

Some landscaping companies can offer to finance homeowners, but this will mostly depend on the project. If it is a smaller project, such as trimming some bushes or updating a wooden deck, you might not get the loan. However, for a bigger project such as a swimming pool, you may be able to get your hands on a loan.

Many other companies can offer landscaping loans to those wishing to give their home an upgrade. That being said, you have to be very careful when you choose a loan, as some may have very high rates. Even borrowers with good credit may find it difficult if they don’t choose the lender carefully.

5 Best Landscaping Loan Options

It can be rather challenging to find a good lender, especially when you do not have much experience with getting these types of loans. If you are in a bind and don’t know where to start, here are a few suggestions.

Lending Club

Lending Club is a great option if you are looking for joint loans. With a minimum credit score of 600 and an estimated APR of 6.34%, you can get the money directly into your account. It also allows you to use debt consolidation loans to make things much more manageable.

LightStream

LightStream requires a minimum credit score of 660, but the APR starts around 4.99%. There are no fees that you need to worry about, and if you go for autopay, then you can also get a rate discount. It is a good option for string credit owners that want an affordable loan.

Upgrade

If you have a minimum credit score of 560, Upgrade allows you to borrow anything between $1,000 and $50,000. You can use the mobile app to make the repayments, and you can also get many rate discounts. Loans can be taken on terms going from 2 to 7 years.

Best Egg

If you have a minimum credit score of 600, then you may want to consider Best Egg. It offers a variety of loan amounts, going from $2,000 to $50,000, depending on how much you need. APR starts at 7.99% as well, making it a great option if you have a big project ahead of you.

Rocket Loans

Rocket Loans has fairly competitive rates, with the APR starting at 5.97% and a 0.3% discount if you set up autopay. You will need a minimum credit score of 640 to qualify, but once you do, you can get anywhere from $2,000 to $45,000. This is a good option no matter if you have a big or a small project ahead of you.

Pros and Cons of Landscaping Loans

If you are planning to take a landscaping loan, you should know that there are several advantages and disadvantages to it. You should weigh everything to determine whether they are an appropriate choice for your needs or not.

Pros

If you have a decent credit score and a steady source of income that you can rely on, then a landscaping loan can prove an easy source of income. The funds will not take long to reach your account, and you can make fixed payments that are easier to cover. This way, you won’t have to spend more than you can afford from your monthly paycheck.

There are many companies out there that allow you to pre-qualify for a loan before you make a decision. This way, you can compare more of them and choose the one that fits your budget the most. It will not affect your credit score in the least, and you will be able to compare interest rates much easier.

Cons

The main issue with landscaping loans is that they have higher interest rates compared to other options (i.e., saving money ahead of time). Lenders need security, which is why they will charge an extra fee for lending the money out to you. The lower your credit score, the higher the interest rate will be.

Also, you do not get any tax benefits with a landscaping loan. If you get it done for business purposes, then you will not be able to deduct them upon tax season. For instance, other loans such as home equity loans may be deductible when the season comes.

Landscaping Loan Alternatives

If you do not want a landscaping loan, there are other alternatives that you can go for. These include:

Cash

If you are not in a hurry, try to save up cash before you go up for financing. This method is interest-free – or even brings interest, if you decide to save that money in a savings account. Therefore, it is the cheapest way for you to pay for your landscaping projects.

Credit Cards

If you have a good credit score, then maybe you may want to opt for a credit card. It has higher rates than the average loans, but if you have a smaller project, this can help you cover the expenses. Plus, if you pay off the balance each month, this can actually help build your credit in the long run.

HELOC or Home Equity Loan

A home equity loan has a lower interest rate, with longer repayment terms, making it a better option if you want to save money. The only issue with this type of financing is that you need to put down your house as collateral. However, if you make the repayments when they are due, there should not be any issues. A home equity loan is a good option when you have a huge project ahead of you.

Read More

• Soft Inquiry Personal Loans: What They Are + Your Options
• How to Get a Personal Loan with No Cosigner
• No Prepayment Penalty Loan: The 3 Best Options
• The Ultimate Guide to Loan for Pilot Training
• Online Loans with Monthly Payments
• Personal Loan with a Cosigner

Final Thoughts

Landscaping loans can be very useful when financing your outdoor upgrade. The best part is that once you are done, you will have a beautiful place to spend some relaxing time in. Just make sure that you choose the best loan for your budget.

Frank Gogol

I’m a firm believer that information is the key to financial freedom. On the Stilt Blog, I write about the complex topics — like finance, immigration, and technology — to help immigrants make the most of their lives in the U.S. Our content and brand have been featured in Forbes, TechCrunch, VentureBeat, and more.

See author's posts