Selling your home can be a major life transition, and when you have a pool loan tied to the property, things can get a little more complicated. Whether you financed a brand-new pool just a few years ago or you’re still paying off a loan from a major backyard upgrade, it’s important to understand how this debt affects your ability to sell. The good news? You’re not the first homeowner to be in this situation, and with the right information, it’s manageable.
In this article, we’ll break down pool financing options when you decide to sell your house. From dealing with liens to negotiating with buyers, you’ll get a clearer picture of your options—and avoid surprises at closing.
Is the Pool Loan Tied to You or the Property?
The first step is figuring out what kind of loan you have. Most pool loans fall into one of two categories: unsecured personal loans or secured loans (like a home equity loan or HELOC). If your pool loan is unsecured, it’s tied to you, not the house. This means you’re still responsible for the loan even after the house is sold.
On the other hand, if your pool was financed through a secured loan—especially one backed by your home—then that debt could affect the sale directly. In some cases, a lien may have been placed on the property, which must be cleared before the home can change hands.
Selling With an Unsecured Pool Loan
If you used a personal loan to finance your pool, you can breathe a little easier when it comes time to sell. You’re not required to pay off the loan before selling, but you do need to keep making your regular payments regardless of your living situation. Once the home is sold, the loan stays with you and not the buyer.
However, many homeowners choose to pay off their pool loan using the proceeds from the home sale. This simplifies their financial situation and avoids dragging the debt into their next home. If your home’s value increased significantly because of the pool, it might even help you come out ahead.
Selling With a Secured Loan or Lien
Things get a bit trickier if your pool loan was secured by your home. In this case, the lender may have placed a lien on your property. A lien is a legal claim that ensures the lender gets paid before the home can be transferred to a new owner.
Before listing your home, check your title report or consult with your lender or real estate agent to see if there’s a lien in place. If so, you’ll need to settle the balance during the sale process. Usually, this is handled at closing—your lender gets paid out of the sale proceeds, and the lien is released. But if the home sells for less than what you owe, you’ll need to make up the difference out-of-pocket.
Will the Pool Add Value to Your Sale Price?
This is a common question, and the answer varies depending on your location and buyer preferences. In warm climates or neighborhoods where pools are considered desirable, a well-maintained pool can boost your home’s value and attract more buyers. In other markets, the added maintenance and insurance costs might actually turn off some potential buyers.
If your pool adds value, it could offset the remaining balance on your loan, making the sale smoother. Just keep in mind that appraisers and buyers might not value your pool at the full amount you paid to install it.
Talking to Your Real Estate Agent and Lender
Before you list your home, have honest conversations with both your lender and your real estate agent. Your lender can clarify what’s owed, whether a lien exists, and what payoff options are available. Your agent, meanwhile, can help price the home appropriately and advise you on how the pool will affect marketability.
Sometimes, it’s also worth discussing the possibility of rolling any remaining pool loan balance into your next mortgage or using bridge financing, depending on your future plans.
Options If You’re Underwater on the Loan
If you owe more on the pool loan than the value it adds to your home—or more than your equity allows—you might need to get creative. Some sellers negotiate with buyers to split the cost of the lien payoff, while others bring cash to closing to cover the difference. In rare cases, a short sale might be an option, but this usually requires lender approval and is only pursued if you’re facing financial hardship.
Being proactive is key. The sooner you explore your options, the less stressful the process will be.
Plan Ahead for a Smooth Sale
Selling a home with a pool loan isn’t necessarily a dealbreaker, but it does require a bit of planning and transparency. Whether your loan is unsecured or secured by your property, knowing how it will be handled during the sale helps you avoid surprises and make smart decisions. With the right preparation—and the guidance of a knowledgeable real estate agent—you can sell your home, settle your pool loan, and move forward confidently into your next chapter.
Also Read-The Best Adventure Games
