As homeowners look to improve their properties in today’s economic climate (see Three reasons higher interest rates can make renovating cheaper than moving), contractors who offer flexible home improvement financing stand to benefit significantly. Financing can not only enable more homeowners to afford renovation projects, but it can also help contractors close more sales and improve customer satisfaction.
Here are five ways offering home improvement financing can help contractors elevate their business:
1. Enables customers to afford necessary repairs
Many homeowners lack sufficient cash on hand to undertake much-needed home repairs. Offering financing options not only enables them to afford those renovations but also provides them with a plan for when future renovations or upgrades are needed.
2. Reduces customer stress with seamless financing
It can be stressful and confusing for customers to arrange financing on their own. Offering point-of-sale financing can enable dealers to walk customers through various options and reduce stress by making the experience seamless.
3. Helps expand your customer base
Offering financing can help homeowners better manage the cost of their renovation projects by spreading out their payments over time. This may allow more potential customers across the credit spectrum the ability to afford to renovate their homes and take on projects they might otherwise find too costly.
4. Increases referrals and repeat business
Satisfied customers are more likely to upgrade to premium offerings and share their positive experiences with friends, family, and colleagues.1 Proactively offering financing options that fit your customer’s financial plans can also help lead to repeat business.
5. Offers an affordable alternative to moving
Financing a home renovation project can often end up costing less than buying a new home. According to a 2023 Angi Research & Economics survey on the State of Home Spending in the U.S., 40% of homeowners said undertaking home renovations was more affordable than purchasing a new home, while 30% said they plan to renovate rather than move in 2024.2
Contractors who can support their customers by offering financing may benefit by attracting a larger share of this business.
Discover how Aqua’s competitive financing solutions can make more of your customers’ renovation dreams a reality. Contact us today at:
800-234-3663, option 4, ext. 6094
[email protected]
