Arizona’s summer months can be brutal, with the temperature consistently hitting triple digits. Having a swimming pool conveniently in your backyard is nearly a must for Arizona homeowners.
Public pools or water parks were always an option for Arizona residents who didn’t have a pool in their backyard. But, let’s face it, after COVID entered into our lives, the days of family outings to public pools and waterparks are slowly fading away.
Swimming pools were once a staple of Arizona residential properties, but not anymore. A recent study of single-family homes in the Phoenix metropolitan area showed that nearly two-thirds (63%) of homes do not have a swimming pool.
Installing a swimming pool into your backyard is an expensive venture. However, depending on the right circumstance, a pool can increase the property’s value by at least 7%, according to Houselogic. This article will delve into the average cost of building a pool in Arizona and the avenues you can take to finance this home improvement project.
How Much Does It Cost To Build A Pool In Arizona?
According to the most recent data from HomeAdvisor, the average cost to build a pool in Phoenix, Arizona, is between $9,500 and $32,000. The overall cost may fluctuate depending on a variety of factors. Inground pools are generally more expensive than above-ground pools. The average cost to build an inground swimming pool is nearly $21,000 compared to an above-ground pool which can cost between $700 and $3,600.
Inground pools add more value to the home than above-ground pools do. Most homeowners and homebuyers prefer the aesthetics of an inground pool.
Above or inground and the type of materials may influence the overall cost, but the pool’s design can also drastically affect the cost. According to HomeAdvisor, the following are the most common types of pool designs and the average cost across the United States.
- Cocktail or Spool costs nearly $23,000 an average with labor. The name spool comes from a combination of ‘small,’ ‘spa’ and ‘pool.’ Generally, this type of pool comes with powerful jets, similar to a spa, but larger. Spools are great for homeowners with tight spaces or a limited budget.
- Lap and endless pools cost around $23,000 on the low-end and $44,000 on the high-end. Lap or endless pools are generally long and narrow with an artificially-generated current to provide the sense of swimming endlessly.
- Plunge pools can cost between $10,000 and $25,000 on average. They’re ideal for homeowners limited on space. These pools are generally not much bigger than a hot tub and can be incorporated into larger backyard landscapes.
- Saltwater pools generally cost between $12,000 and $67,000 to install. Saltwater pools require less day-to-day maintenance, and a lot of the cost is covered upfront. The main difference between a saltwater pool and a chlorine pool is the plumbing.
- Spas or hot tubs can run between $3,500 and $15,000 on average for a standard size. Labor costs may be associated with the installation, which costs between $150 and $500, depending on the company.
Additional cost factors in building a pool
Per HomeAdvisor, here are some additional cost factors to consider when building a pool in your backyard.
| Additional Cost Factors | Average Cost (U.S.) |
|---|---|
| Excavation | $400 – $1,500 |
| Size and Shape | $50 – $125 per square foot |
| Materials | $25,000+ |
| Heating | $1,800 – $4,000 |
| Filtration | $500 – $3,000 |
| Labor and Permits | $200 – $30,000 |
| Landscaping | $3,000 – $5,000 |
| Fence Installation and Enclosures | $600 – $14,300 |
| Pool Maintenance Cost | $500 – $4,000 |
| Covers, Water Features and Other Extras Including waterfalls and fountains | $600 – $20,000 |
Note: The figures above represent average costs across the United States. Prices may fluctuate depending on location and the contractor you choose.
For example, HomeAdvisor mentions the average pool maintenance cost can cost between $500 and $4,000 annually. The cost of maintaining a pool in Arizona can range between $85 and $125 per month. It’s important to shop around and find a contractor who can work within your budget.
Best Ways To Finance A Pool
SInce the initial funds required to pay for a new pool are high, many homeowners choose to borrow money for this home improvement project and pay it off over time. If you don’t have the funds to pay for it upfront, here are some of the best ways to finance the purchase of your new pool.
Home equity loan
A home equity loan allows you to borrow against the value of your home as collateral. You can think of a home equity loan as a closed-end second mortgage. Home equity loans are similar to personal loans because the borrower will receive a lump sum with a fixed interest rate, a fixed repayment timeline and a fixed monthly payment that will not change throughout the duration of the loan.
Depending on the financial institution you choose, terms can range from 5 to 20 years. Additionally, home equity funding with Arizona Central Credit Union allows qualified homeowners to access up to 100% of the home’s value for any such reason. If the borrower plans on doing a home improvement project such as installing a swimming pool, we allow qualified homeowners to access 120% of the home’s value.
Taking out a home equity loan can be a great way to finance your swimming pool project. However, there are some high-stakes risks involved as well. Since this type of loan uses your home as collateral, you may be subject to foreclosure if you fail to pay the loan.
Home equity line of credit (HELOC)
A home equity line of credit (HELOC) can be likened to a home equity loan with a slight twist. A HELOC allows homeowners to borrow money against the equity they’ve built up in their homes. HELOCs are based on the value of your home compared to how much you still owe on the mortgage.
A HELOC differs from a home equity loan since it’s a line of credit. HELOCs don’t have a set borrowed amount. Instead, it has a limit that you can borrow up to, similar to a credit card.
Furthermore, a HELOC generally comes with a variable interest rate based on prime. Your rate may fluctuate depending on the market. As a result, the payment can change throughout the duration of the loan.
Similar to using a home equity loan for pool financing in Arizona, borrowers who fail to make payments may have their house foreclosed. With that said, a HELOC can be a great option because they offer more versatility when financing swimming pool expenses.
Arizona Central Credit Union Can Help You Finance Your New Backyard Oasis
Are you ready to dive in headfirst? Now that you know the intricacies of pool financing in Arizona, you can select the best options for your home and your budget.
But before you plunge in, you should consider the short-term and long-term costs associated with upgrading your backyard with a swimming pool.
Once you’ve determined a preferred pool style that fits your budget, contact Arizona Central Credit Union today to learn how we can help you fund your new backyard oasis. We offer some of the best rates across the valley on home equity loans (pool loans), HELOCs and personal loans.
