Roof Replacement Financing in Florida: Loans, PACE, and Payment Options

A new roof in Pinellas County typically costs between $8,000 and $40,000 depending on material and home size. Very few homeowners have that kind of cash sitting in a savings account. The good news is that Florida offers more roof financing options than almost any other state, including PACE programs that are unique to a handful of states.

The bad news? Choosing the wrong financing option can cost you thousands in unnecessary interest, create lien complications when you sell your home, or lock you into unfavorable terms. This guide breaks down every option available to Pinellas County homeowners so you can make the smartest financial decision for your situation.

Roof Financing Options at a Glance

Home Equity Loans and HELOCs: The Gold Standard

If you have sufficient equity in your home, a home equity loan or home equity line of credit (HELOC) is almost always the best financing option for a roof replacement. The interest rates are the lowest available because your home secures the loan, and the interest may be tax-deductible since a roof replacement qualifies as a home improvement.

Home Equity Loan (Fixed Rate)

A home equity loan gives you a lump sum at a fixed interest rate with predictable monthly payments. This is ideal for a roof replacement because you know exactly what the project will cost and you want stable payments.

• Typical rates in 2026: 6-9% APR depending on credit score and loan-to-value ratio
• Terms: 5-30 years (15 years is the sweet spot for roof projects)
• Equity needed: Most lenders require at least 15-20% equity remaining after the loan
• Closing costs: 2-5% of the loan amount ($200-$1,200 on a typical roof loan)
• Funding timeline: 2-6 weeks from application to funds

For a $15,000 roof replacement financed over 15 years at 7.5%, your monthly payment would be roughly $139. Total interest paid: approximately $10,020. Compare that to a personal loan at 14% over 5 years: $349/month with $5,940 in total interest. The home equity loan costs more in total interest due to the longer term, but the monthly payment is far more manageable.

HELOC (Variable Rate)

A HELOC works like a credit card secured by your home. You get approved for a maximum amount and draw from it as needed. This can work well if you are planning a roof replacement along with other home improvements.

• Draw period: Typically 10 years where you can borrow and make interest-only payments
• Repayment period: 10-20 years of principal and interest payments
• Variable rate risk: Your payment can increase if interest rates rise
• Flexibility: Only borrow what you need, pay it back, and borrow again

The main risk with a HELOC for a roof replacement is the variable interest rate. If rates climb significantly during your repayment period, your monthly payment could increase substantially. For a one-time expense like a roof, a fixed-rate home equity loan is usually the safer choice.

PACE Financing: Florida's Unique Option

Property Assessed Clean Energy (PACE) financing is one of the most distinctive options available to Florida homeowners. PACE allows you to finance energy-efficient improvements, including roof replacements, through a voluntary assessment on your property tax bill. Florida has some of the most established PACE programs in the country.

How PACE Works

Instead of a traditional loan, PACE financing creates a special tax assessment on your property. You repay the financing through your annual property tax bill over 10-30 years. The assessment stays with the property, meaning if you sell the home, the remaining balance transfers to the new owner (though this can complicate sales as we will discuss).

Florida PACE Programs

PACE Advantages

• No credit score requirement: Qualification is based on property equity and payment history on property taxes
• No money down: 100% of the project cost can be financed
• Long terms: Up to 30 years keeps payments low
• May be tax-deductible: As a property tax assessment, the interest portion may be deductible
• Quick approval: Many PACE programs approve within 24-48 hours

PACE Drawbacks and Warnings

PACE financing has significant drawbacks that every homeowner should understand before signing:

• Priority lien: PACE assessments take priority over your mortgage. This means your mortgage lender may need to consent, and some lenders refuse
• Selling complications: When you sell, the PACE balance either transfers to the buyer (which some buyers and their lenders reject) or you pay it off at closing
• Higher total cost: A 25-year PACE loan at 8% on a $15,000 roof results in over $19,000 in interest, making the roof cost $34,000+ total
• Contractor markup: Some contractors inflate prices for PACE-financed projects because homeowners focus on the low monthly payment rather than total cost
• Recent regulatory changes: Florida has tightened PACE regulations in recent years, requiring more consumer protections and ability-to-pay assessments

PACE is best suited for homeowners who cannot qualify for traditional financing and need a roof replacement urgently (for example, after storm damage or when an insurer threatens to cancel your policy). If you can qualify for a home equity loan, that is almost always the better financial choice.

FHA Title 1 Home Improvement Loans

FHA Title 1 loans are government-backed home improvement loans that do not require equity in your home. They are specifically designed for home improvements like roof replacements and are available through FHA-approved lenders.

• Maximum loan amount: $25,000 for single-family homes (no equity needed for loans under $7,500)
• Terms: Up to 20 years
• Credit requirements: More flexible than conventional loans, with some lenders accepting scores as low as 500
• Collateral: Loans over $7,500 require a lien on the property
• Interest rates: Fixed rates, typically 7-12% depending on the lender and your credit profile

FHA Title 1 loans are underutilized because many borrowers and even some contractors do not know about them. They fill an important gap for homeowners who bought recently (limited equity) but have decent credit and need a roof replacement.

Personal Loans (Unsecured)

Unsecured personal loans from banks, credit unions, or online lenders do not use your home as collateral. This means there is no risk of foreclosure if you fall behind on payments, but the tradeoff is higher interest rates and shorter repayment terms.

Personal Loan Comparison

Personal loans work best for smaller roofing projects (under $15,000) where you can pay off the balance within 3-5 years. For a $12,000 roof at 10% over 4 years, expect monthly payments around $304.

Pro tip for Pinellas County homeowners: local credit unions like Suncoast Credit Union and GTE Financial often offer lower rates than national banks, especially if you have an existing relationship. Their home improvement loan rates can be 1-3% lower than online lenders for well-qualified borrowers.

Contractor Financing: Convenience vs. Cost

Many roofing contractors in Pinellas County offer in-house financing or partnerships with lending companies. While convenient, contractor financing requires the most scrutiny of any option on this list.

How Contractor Financing Typically Works

The contractor partners with a financing company (like GreenSky, Mosaic, or Service Finance) that provides the loan. You apply through the contractor, often getting approved the same day. The lender pays the contractor directly, and you make monthly payments to the lender.

The 0% APR Trap

Many contractors advertise "0% financing for 18 months" or similar promotions. These are deferred interest plans, and they work very differently from true 0% interest:

• Deferred interest means: Interest accrues from day one but is waived if you pay the full balance before the promotional period ends
• If you have any remaining balance: You owe ALL the accrued interest from the original purchase date, typically at 22-29% APR
• Example: $15,000 roof at 0% for 18 months. You pay $14,500, leaving a $500 balance. You now owe $500 plus approximately $5,000 in retroactive interest

If you use a 0% promotional plan, set up automatic payments that will pay off the entire balance at least two months before the promotional period ends. Do not cut it close.

Insurance Proceeds for Storm Damage

In Pinellas County, many roof replacements are partially or fully covered by homeowners insurance following storm damage. Florida's coastal location means hurricane and severe thunderstorm damage claims are common. If your roof was damaged by a covered peril (wind, hail, fallen trees, flying debris), insurance should cover the replacement cost minus your deductible.

How Insurance-Funded Roof Replacement Works

1. Document the damage with photos and video immediately after the storm
2. File a claim with your insurer promptly (Florida law has specific filing deadlines)
3. The insurance company sends an adjuster to inspect the damage
4. You receive an initial payment (actual cash value minus deductible minus depreciation holdback)
5. Hire a licensed roofing contractor to do the work
6. After completion, submit invoices to receive the depreciation holdback (recoverable depreciation)

For detailed steps on navigating the claims process, see our complete guide to the roof insurance claim process in Florida.

Financing the Gap

Even with an insurance payout, you may need additional financing to cover:

• Your deductible: Hurricane deductibles in Florida are typically 2-5% of your home's insured value ($6,000-$15,000 on a $300,000 home)
• Upgrades: If you want to upgrade from shingles to metal roofing, insurance covers like-for-like replacement
• Code upgrades: Florida Building Code changes may require improvements not covered by insurance
• Depreciation holdback: Until you complete the work and submit documentation, the insurer holds back a portion of the payout

Credit Cards: Only for Small Repairs

Using a credit card for a full roof replacement is almost never a good idea. At 18-29% interest, a $15,000 balance making minimum payments would take over 30 years to pay off and cost over $30,000 in interest alone.

However, credit cards can make sense for:

• Small, urgent repairs under $2,000 (like emergency leak patches)
• Using a 0% intro APR card (true 0%, not deferred interest) IF you can pay it off within the promotional period
• Earning cashback or points on a portion of the project if you have cash to pay the bill immediately

Choosing the Right Financing: Decision Framework

The right financing option depends on your specific situation. Here is a straightforward decision framework:

If You Have 20%+ Home Equity and Good Credit (700+)

Get a home equity loan. Period. You will get the lowest rate, potentially tax-deductible interest, and predictable payments. Shop at least three lenders, including your primary bank, a credit union, and an online lender.

If You Have Limited Equity but Decent Credit (620+)

Look into FHA Title 1 loans first. If the loan amount is under $7,500, you will not even need a lien on your property. For larger amounts, compare FHA Title 1 terms against personal loans from credit unions.

If You Have Low Credit (Under 620)

PACE financing may be your best option, but go in with eyes open about the total cost. Get multiple contractor bids to ensure you are not overpaying, and choose the shortest term you can afford to minimize interest. If your roof is not urgent, spending 6-12 months improving your credit score before financing could save you thousands.

If You Have Storm Damage

File your insurance claim first. Use insurance proceeds to cover the bulk of the cost, then finance only the gap (deductible, upgrades) using whichever method above fits your credit and equity situation.

Payment Plan Red Flags to Watch For

Unfortunately, the roofing industry attracts some predatory financing practices, especially after storms when homeowners are desperate. Watch for these warning signs in Pinellas County:

• Full payment required upfront: Legitimate contractors require 10-30% down, never 100%. Florida law prohibits contractors from collecting more than 10% or $1,000 (whichever is less) as an initial deposit for projects over $10,000 without a specific payment schedule
• Pressure to sign immediately: "This price is only good today" is a high-pressure sales tactic. Reputable roofers give you time to compare
• No written contract or financing terms: Everything should be in writing. If a contractor is vague about financing terms, walk away
• Unusually low monthly payments: Extremely low payments usually mean extremely long terms and massive total interest
• Assignment of Benefits (AOB): Be cautious about signing AOB agreements that give the contractor control over your insurance claim. Florida has restricted but not eliminated problematic AOB practices
• Financing only through their lender: If a contractor refuses to let you use your own financing, they may be getting kickbacks from their lending partner

How to Save Money on Roof Financing

• Improve your credit score before applying: Even a 20-point increase can drop your rate by 1-2%, saving thousands over the loan term
• Get multiple bids: The price difference between Pinellas County roofing contractors can be 30-40% for the same scope of work. A lower project cost means less to finance
• Choose the shortest term you can afford: A 10-year loan at 7% costs dramatically less in total interest than a 25-year loan at 7%
• Make extra payments: Even $50-100 extra per month can shave years off your loan and save thousands in interest
• Time it right: Roofing is slightly cheaper in Florida's slower season (late spring, early summer before hurricane season peaks). Lower project cost means less to finance
• Consider material ROI: A metal roof's insurance savings can offset higher financing costs over time

Real Cost Comparison: $18,000 Roof Replacement

Here is what that same $18,000 roof costs over the life of different financing options:

The same roof costs anywhere from $24,000 to over $58,000 depending on your financing choice. This is why taking the time to explore your options and secure the lowest possible rate matters enormously.

Florida-Specific Financing Programs and Resources

Beyond the standard options above, Florida homeowners may qualify for additional assistance:

• My Safe Florida Home Program: Provides free wind inspections and matching grants up to $10,000 for hurricane hardening improvements including roof upgrades. Eligibility requires a homestead exemption and home insured value of $500,000 or less
• USDA Rural Development Loans: If your Pinellas County property is in an eligible rural area (some eastern portions of the county qualify), USDA Section 504 grants provide up to $10,000 for home repairs for low-income homeowners over 62
• Pinellas County Housing Programs: The county periodically offers home repair assistance for income-qualified residents. Check with Pinellas County Community Development for current availability
• Energy-efficient roofing tax credits: Metal roofing and certain cool-roof products may qualify for federal energy efficiency tax credits under the Inflation Reduction Act, providing up to $500-$1,200 in credits

Frequently Asked Questions

What is the best way to finance a roof replacement in Florida?

For most Florida homeowners, a home equity loan or HELOC offers the lowest interest rates (typically 6-9% in 2026). If you lack equity, PACE financing lets you pay through property taxes with no credit check. FHA Title 1 loans are another option for homeowners with limited equity. The best choice depends on your equity position, credit score, and how quickly you need the work done.

Can I use PACE financing for a new roof in Florida?

Yes. Florida is one of the most active PACE states. Programs like Ygrene and PACE Funding Group allow homeowners to finance roof replacements with no money down and no credit score requirement. Payments are added to your property tax bill over 10-30 years. However, PACE liens take priority over your mortgage, so your mortgage lender must approve the PACE assessment.

Does insurance cover roof replacement in Florida?

Homeowners insurance covers roof replacement when damage is caused by a covered peril like hurricanes, hail, or fallen trees. It does not cover normal wear and tear or roofs that have simply reached the end of their lifespan. In Pinellas County, storm damage claims are common, but you must file promptly and document damage thoroughly.

What credit score do I need for a roof financing loan?

For home equity loans, most lenders want a 660+ credit score. Personal loans typically require 580-640+, though rates improve significantly above 700. FHA Title 1 loans accept scores as low as 500. PACE financing has no credit score requirement at all since repayment is tied to property taxes.

How much does a roof replacement cost in Pinellas County?

A typical roof replacement in Pinellas County costs $8,000 to $25,000 for asphalt shingles on an average-sized home, and $15,000 to $40,000+ for metal roofing. Factors include roof size, pitch, material choice, and whether the old roof needs full tear-off. These numbers directly impact which financing option makes the most sense.

Are there any red flags with contractor financing plans?

Yes. Watch for deferred interest plans where 0% APR jumps to 22-29% if not paid in full by the promotional deadline. Also avoid any contractor who requires full payment upfront, refuses to provide written financing terms, or pressures you to sign same-day. Legitimate contractors in Pinellas County will give you time to review terms and compare options.