You won't be able to apply for a loan secured on your home to raise funds for your foundation repairs if you don't have any equity in it. No bank would entertain your proposal. As such, you're going to have to find some other way to pay for the work that needs doing, and you'll need to be snappy about it; problems with your foundations can cause damage to the structure of your home.
If you've had any work carried out on your foundations before, there'll be a good chance the company you used will have given you a warranty. Check through the paperwork you were given by any foundation repair company you've hired. Contact your real estate agent or seller if you've just bought your house. Some foundation repair companies offer transferable guarantees. You should have received information about this with your closing papers when you bought your house if the previous owners had any work carried out, but it will be worth getting in touch to make sure this wasn't overlooked.
Check your home insurance policy documents. Although water seepage is rarely covered by home insurance policies, you may be able to make a claim if the damage to your foundations was caused by burst pipes or any other issue that emanated from within your home. Contact your insurance provider if you're unsure as to whether you're covered or not.
Contact your local Housing and Urban Development or Department of Agriculture office to find out if you're eligible for any grants or low-cost loans to help you sort out your foundations. You'll typically only be eligible for support if you claim certain benefits or are on a very low income.
If you have no savings to pay for your foundation repairs, you're going to have to apply for an unsecured loan or load the cost onto your credit card. The former will probably be the best option as you'll pay less interest. Check your credit file for errors before you make an application to give yourself a better chance of qualifying for the most competitive loans on the market. Make sure you use a foundation repair firm that offers a comprehensive guarantee when you have any work done.
- Concrete Network: Important Tips When Hiring a Foundation Repair Contractor
- Edens Structural: Our Foundation Repair Guarantee
- Insure.com: Does Homeowners Insurance Ever Cover any of the Cost of Foundation Repair?
- Department of Agriculture: Rural Home Repair Loan and Grant Program
- Department of Housing and Urban Development: Home Repairs: Kansas
- Department of Housing and Urban Development: Home Repairs: Iowa
- Department of Housing and Urban Development: Home Repairs: Indiana
- Sam Royds/Photodisc/Getty Images
- Alternatives to FHA Financing
- My House Is Sinking & the Walls Are Cracking: Is This Covered by Homeowners Insurance?
- Who Will Give You a Mortgage on a House That Needs Structural Repairs?
- Can You Add in a Home Improvement Loan with a First-Time Home Buyer Loan?
- House Insurance Alternatives
- FHA Minimum Property Standards
- Getting a Mortgage With a Cracked Foundation
- Grants for Home Additions for the Handicapped