Complete Guide to Financing Plumbing Work

Updated on April 9, 2024

At a Glance

  • When it comes to financing plumbing work, three options are available.
  • A home equity loan uses your home as collateral, offering lower interest rates but with the risk of foreclosure if you can’t repay.
  • A home equity line of credit (HELOC) functions like a credit card, allowing access to funds as needed, but also carries the risk of foreclosure.
  • Alternatively, a personal loan is an unsecured option, although with higher interest rates. Lenders like Upgrade, Upstart, and LightStream offer personal loan options. Plumbing companies like Hearth, Mr. Rooter, and Roto-Rooter may also provide financing services.

Plumbing can be expensive. If your house needs emergency plumbing repairs or upgrades, plumbing finance is one way to do that. Read on to learn more about your options.

3 Options for Plumbing Finance

Plumbing work can be expensive. There are several plumbing finance methods to fund this work outlined below.

Home Equity Loan

A home equity loan works by using your home as collateral. If your home equity loan application is successful, you receive the money as a lump sum. 

If you are approved, you begin paying back a home equity loan continuously until the end of the repayment period. Home equity loans tend to have lower interest rates than personal loans

However, using your home as collateral for plumbing finance is not a decision to take lightly. If you fail to make repayments, your lender could choose to foreclose on your home to recover the money you borrowed. Keep this in mind when deciding how to go about financing plumbing work on your home.

Home Equity Line of Credit

A line of credit is similar to a loan but works like a credit card. A home equity line of credit (HELOC) is a credit facility that uses your house as collateral. This allows you to get credit for things as you need them. A HELOC would work if, for example, you were unsure how much money you would need to complete all the plumbing work on your home. In this situation, a HELOC would give you access to the funds as and when you needed them, and you would only be charged interest on the money you used.

In other words, HELOC interest is based on the amount you have used from the facility. You pay it off on a rolling basis, just like paying off a credit card.

Using your home as collateral for plumbing finance is not a decision to take lightly. If you fail to make repayments, your HELOC lender could foreclose on your home to recover the money you borrowed. Keep this in mind when deciding how to go about financing plumbing work on your home.

Personal Loan

If you are (wisely) reluctant to put up your home as collateral for plumbing finance, there is another option you can explore: a personal loan. 

Most personal loans are unsecured. That means you do not have to provide any collateral. Instead of collateral, the lender relies on other information about you to predict how likely you are to repay the loan. Most commonly, this information is your credit score

Unlike a mortgage or auto loan, you can spend a personal loan on whatever you decide. There are many reasons people decide to get personal loans such as:

  • Emergency home or auto repairs
  • Medical emergencies
  • Starting a small business
  • Refinancing other, higher-interest debt (e.g. credit card debt).

Thus a personal loan is an attractive alternative to home equity-based financing for plumbing work on your house. In addition, many lenders offer a fully online loan application process, which is much faster than other types of loans. However, the lack of collateral means that personal loans on average attract much higher interest rates than other types of loans

You should carefully consider whether the increased cost of a personal loan is worth the peace of mind that your home will not be at risk due to the loan if you are unable to repay it.

Personal Loan Options for Plumbing Finance

With regards to plumbing finance using a personal loan, there are dozens of lenders you can choose from. Each has specific costs and perks associated with its products, and you should take the time to find the best option for your needs. A few of these are outlined below.


Upgrade also allows you to pre-qualify without a hard credit check. When deciding whether to approve your application, Upgrade considers how much of your income is currently ‘free’, among other factors. 

In other words, even if you have a bad credit score, if you have a significant amount of money every month that you don’t have to dedicate towards loan repayments and other expenses, Upgrade may approve your application.

If your application is approved, you could have the money in your account the next day. Then, you have between 24 and 84 months to repay it. Upgrade charges a $10 fee for late payments and an origination fee of between 1.85% and 8%.


Upstart is an online lender. Upstart gives loans to people with fair or bad credit scores. They do this by focusing on other factors, including your education level and employment status. The repayment terms for a loan from this lender are 36 or 60 months, with late fees of $15 (or 5% of the payment) for late payments. 

To check your eligibility, Upstart uses a soft credit check. If you are approved, you could receive the money in one business day. The origination fee varies between 0% and 8%.


Lightstream is a good option only if your credit score is very good. LightStream does not charge an origination fee or any fees for late payments. In addition, you can get a 0.5% discount on your interest rate if you arrange autopay repayments for your loan. If you are approved for a LightStream loan, you could have the money in your account the same day, then you will have between 24 and 144 months to repay it.

Plumbing Companies that Offer Financing

Another option you can explore for plumbing finance is your plumbing contractor. Some companies, like the ones listed below, offer financing, which may suit your needs.


Hearth is not a plumbing company but specializes in providing services to homeowners such as help with budgeting decisions and helping you secure various kinds of home improvement and repair loans.

Mr. Rooter

Mr. Rooter is a network of independently-owned plumbing companies in the United States and Canada. Through the network, these partners provide various financing services provided by third-party lenders. 

Contact your nearest Mr. Rooter partner for more information.


Roto-Rooter is a network of specialists famous for providing various plumbing services such as plumbing work, drain cleaning, and repair. In partnership with Synchrony Bank, Roto-Rooter offers the Synchrony Bank Home Design Credit card, which can be used to pay for home improvement and repair. Roto-Rooter also offers other financing options.

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Final Thoughts 

The most common plumbing finance solution is a personal loan. There are many different online and in-person lenders you can compare to find the one that’s best for you. You can also use your home as collateral, although this is quite financially risky. Alternatively, you can contact your local network plumbing company to see what financing options they offer.

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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.

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