HVAC repair and new HVAC installation alike can get expensive. Fortunately, there are financing options available to help mitigate the financial burden. Here are five of the most common ways you can finance your HVAC system.

How to Finance an HVAC Installation

1. HVAC Seller

Some HVAC manufacturers offer financing options. Many times, the seller will make arrangements through credit companies to establish a specific line of credit for their products, which you can repay monthly.

Unlike a credit card, these lines of credit only apply to the purchase of your HVAC installation and cannot be used for additional purchases, eliminating the possibility of building additional debt on this line of credit.

2. Home Equity

Most banks allow you to borrow against your home equity if the house’s market value is higher than how much you still owe. You can apply for a home equity loan—a type of second mortgage—to receive a lump sum or apply for a home equity line of credit. Since your home is being leveraged to secure the loan, falling behind could put you at risk of repossession.

3. Credit Card

A personal credit card can pay for just about anything these days, meaning you can use it for your HVAC installation. If your creditor offers a high enough limit, you can easily charge the whole cost with a single swipe.

Ensure you repay the balance quickly to avoid paying much more than the initial price due to high interest rates. Also, make payments on time to avoid maxing out your credit limit and damaging your credit score.

4. Personal Loan

Personal loans have higher interest rates than home equity loans, though you are not borrowing against your house. Where a credit card offers a choice of minimum payments, personal loans have specific repayment schedules.

5. Government Loan

The federal government has loan programs for making energy-efficiency upgrades to your home. They check credit score, debt-to-income ratio, and property value when considering applicants.

If you’re in the market for an HVAC installation in Greater Milwaukee, WI, look no further than Donovan & Jorgenson. They’ve been serving the area since 1985. To request an estimate or find out about financing available via The Home Projects credit card, visit their website.