Replacing a roof not only prevents damage to the interior of your home, but it’s also a way to reduce your insurance rates, bring an older home up to code, or even be able to qualify for a tax credit. It’s an investment that will protect your home, your belongings, and your loved ones from the elements.

    Budgeting for a roof replacement is important for homeowners who have roofs that are older than 15+ years. When working on a budget, you need to understand that the price of materials and labor for a new roof can cost thousands of dollars. As you plan, a good rule of thumb is to add 10% to the cost of material and labor.

    I suggest immediately making changes to your monthly spending habits to accommodate the roof replacement well before you need it. Here’s what you need to do when budgeting for a new roof.



    1. Get a Roof Inspection

    Getting a roof inspection allows you to get detailed information on possible replacements or repairs. Without a proper inspection, you won’t have the necessary details to accurately budget. The technician can examine aspects such as the roof decking, flashing, vents, and more while providing photos or diagrams of any damaged areas. They can also give you a projected timeline before issues get worse. This allows you to budget and prepare rather than being surprised by an emergency roof problem later.


    2. Ask for an Estimate

    Ask a roofing company for a free estimate. This provides insight into the work scope, materials used, and projected labor hours.

    You should get no less than five estimates before committing. Multiple estimates allow you to compare prices and material options proposed. Variables like replacing decking versus reusing existing decking can significantly impact your budget.

    Once you have your estimates, avoid choosing a roof contractor or company solely on rate. Compare experience, licensing and insurance status, reviews, warranty details, and how well they explain the scope to you. If you need a place to start, check out our Top 8 Best Roofing Companies (2023).


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    3. Consider the Materials

    It’s important to research materials you plan to replace beforehand. Asphalt shingles are often the least expensive, but wood, concrete, or metal are also options. Pricier alternative materials like slate, copper, or tile asphalt provide added benefits like longer lifespans, better energy efficiency, and storm resilience.

    Understand the up-front cost difference and long-term tradeoffs around maintenance, repairs, energy savings, and durability. This allows realistic budgeting when getting a quote.


    4. Save Over Time

    Unless you need to replace your roof immediately, try to save money over a few months after getting estimates. Financial advisors recommend saving at least 1% of home value yearly for repairs like a new roof. For a $150,000 home and an average $8,500 to $14,000 roof replacement, that means $1,500 monthly to afford it in under one year.

    Since that aggressive saving is unrealistic for many, planning 5+ years out can help you build sufficient savings. Contribute any amount possible monthly, even small sums. Explore all offerings from roofing companies, as some have lending partners to help qualified homeowners fund repairs.


    5. Time It Right

    Schedule tear-off and replacement during milder spring or fall weather to get the roof’s full life span. Avoid winter temperature extremes or summer heat, which can significantly impact installation quality and materials. 


    6. Understand the Warranty

    Get full warranty details on your new roof when requesting estimates. Many shingle manufacturers provide at least a 30-year limited material warranty. The best roofing companies also guarantee their workmanship for 5 to 10 years post-installation.

    Today’s Homeowner Tips

    Make sure to read the fine print on your warranty and ask any questions before choosing a roofing company. Some warranties only cover defects, not normal wear. Get guarantees that faulty applications will be redone without charges soon after work concludes.


    So, Is Budgeting Important for Roof Replacement?

    Properly budgeting for scheduled roof replacement is vital. Like saving for other priorities, dedicating funds and preventative planning means you can address roofing issues before damage occurs. Failing to budget could mean hasty, emergency fixes that may not be well done or come with a warranty. Ignoring leaks also risks interior damage.

    Understanding current conditions, choosing durable materials, getting fair pricing, saving over time, and scheduling strategically avoids surprise expenses as materials deteriorate. Making roof replacement part of long-term financial planning allows for properly maintaining assets, protecting interiors, gaining efficiency upgrades, and facilitating future sales.


    FAQs About Roof Replacement Budget

    Should I take out a loan to pay for the new roof?

    Only take a loan if you get favorable interest rates and comfortable repayment terms. Always compare offerings from lenders and roofing companies.


    How do I access home equity to pay for the work?

    If sufficient equity exists, you may be able to get a home equity loan or line of credit for roof repairs and replacement. However, carefully consider risks and consult a financial advisor beforehand.


    What steps could potentially reduce roofing costs?

    • Negotiate pricing across multiple bids
    • Consider durable yet more affordable materials
    • Buy supplies at wholesale rates
    • Utilize any available tax incentives, rebates, or installer discounts
    • Schedule work during slower seasons for better pricing


    Should I replace my roof before selling?

    A newer roof can positively impact home value. Weigh costs against potential pricing bumps from buyers. Talk to your realtor to see if an update makes financial sense or will offer a significant return.


    Editorial Contributors
    avatar for Doug Sluga

    Doug Sluga

    Doug Sluga is a professional roofer and carpenter with ten years of experience in residential and commercial construction. His expertise spans the breadth of the roofing trade from minor repairs to laying shingles to framing trusses. These days he spends most of his time writing about roofing and the roofing industry.

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    photo of Lori Zaino

    Lori Zaino

    Lori Zaino is a freelance writer and editor based in Madrid, Spain. With nearly two decades of editorial experience, she’s written and edited for publications like Forbes, CNN, Insider, NBC, Newsweek, The Points Guy, The Infatuation, and many others. Having just completed her first home renovation, she’s more interested in home improvements than ever, dedicated to bringing you fresh and accurate content to help you update your living spaces.

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