Financing For Driveway Paving

Almost every house needs a driveway. A beautiful driveway adds a spectacular curb appeal to your property. However, constructing a new driveway or replacing your existing one, can be an expensive home improvement project. The smart way to go about it is by considering financing for paving and getting the work done through convenient funding programs.

The fact is, if your driveway has big cracks, potholes, or looks weathered, it can take away from your property’s value. Repaving the driveway to make it flawless is a smart decision. 

But, how do you pay for the new driveway? If you’d rather save your cash and savings for a rainy day, you could explore the various competitive driveway financing options available near you. Want to know more about financing for paving, installing a driveway, and the cost to pave a driveway? Read on.

A new driveway doesn’t just make your entryway more attractive, it also adds value to your home and makes winters much more manageable. Additionally, a good driveway can be a boon when the time comes to sell your house. Keep in mind that nothing ruins your curb appeal like a shoddy, aged driveway. 

You can choose from the various driveway materials available in the market — gravel, flagstones, asphalt, or a cement driveway. The most popular driveway materials are asphalt and cement as they’re known for their overall durability as well as easier snow removal. 

Once you zero in on the material, the next step is to determine how many square feet of driveway you’ll need to cover. This will help you evaluate your new driveway’s cost.

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How much does it cost to pave a new driveway?

The average cost to construct a new driveway runs to about $4,425, with most homeowners paying between $2,380 and $6,480 for the home renovation. That is to say, you can expect to pay between $2 and $15 per square foot for the paver materials and installation. Of course, depending on the type of driveway.

Keep in mind that the main expenses of putting in a new driveway are the driveway type you choose, its installation, the cost of materials, driveway dimensions, labor costs, and maintenance. For example, a concrete driveway averages $3,000 while an asphalt driveway averages $4,600.

You will need to consider other cost factors in mind, including the condition of the land and whether you’re repaving your existing driveway or installing a brand new one.  

Repaving an existing driveway usually costs less. Repaving an asphalt driveway costs about $1 to $3 per square foot while specialty driveways such as a brick or cobble driveway can cost significantly more money. 

While you’re planning to put in a driveway, keep in mind that the best time to repave or construct a new driveway is at the end of summer when the temperatures have cooled down but are still warm enough to avoid freezing during the winters. 

How much does it cost to pave a 100-foot driveway or a 200-foot driveway?

The size of the driveway you want can impact your total renovation cost. For example, paving a 100-foot asphalt driveway costs approximately $400, a 100-foot concrete driveway costs around $600 while a 200-foot asphalt driveway is $800 and a 200-foot concrete driveway is $1,200 approximately.

Read more: How much is a yard of concrete

Does paving a driveway improve my home value?

Paving or repaving a driveway can be a wise investment. If done correctly, it can increase or maintain your resale value. What’s more, it increases your property’s curb appeal and helps sell your home faster. 

Even an ordinary driveway can recoup 50% to 75% of its cost. More expensive paver driveways such as brick and cobblestone driveways can get you an ROI of almost 100%, sometimes even more. In addition, a well-installed asphalt driveway can last 20 to 25 years.

The best types of driveways

To help you choose the best driveway for your property, we’ve listed a few of the most popular driveways among homeowners.

• Concrete driveway: Most common driveway, affordable, and long-lasting.
• Brick or stone driveway: Stylish, expensive to install but comes with a variety of color options.
• Asphalt driveway: Easy to install, affordable but requires resealing every four years or so.
• Gravel driveway: Inexpensive, can be an easy DIY project, helpful with water runoff.

Read more: Crushed asphalt

Should I pave the driveway myself?

You may be able to pave a driveway yourself, but it’s always a good idea to hire a professional paving contractor. While paving a driveway is not a really complicated project, it does require the necessary equipment and lots of labor work — usually by more than one person. Homeowners should avoid attempting a DIY paving job. The work is best left to paving experts. 

In any case, it’s a wise decision to hire an experienced, licensed driveway contractor who will make sure the building site is prepared and ready for the driveway installation.

Can you finance a new driveway?

Yes, you can. Financing for paving helps you with convenient monthly payment options to pay for your driveway over a certain loan term. A driveway paving or repair can cost you thousands of dollars. Oftentimes, homeowners can’t afford such a lump sum amount. Financing can give them access to loans easily and instantly. 

Fortunately, you can choose the best financing for driveway paving options that suit your requirements. Paving finance loans are available for all credit types — even for financing with bad credit or no credit history. 

Most homeowners use an unsecured personal loan to finance a new driveway or repave their old driveway. On a successful home improvement loan approval, the funds can reach you as soon as 24 hours.

Read more: Rainy day fund

What is the best way to finance driveway paving?

There are various loan options available, the most convenient ones being a personal loan or using a credit card.

Financing for paving through an unsecured personal loan

A personal loan is perhaps one of the easiest and fastest ways to finance a driveway. Personal loans typically have no requirement for any collateral or home equity — making it a safer loan for the borrower. Having said that, you need to compare the various loan offers available and get the best deal. 

Want to apply for a loan? Kukun will make financing for driveway paving easier and manageable — regardless of whether you have good credit or bad credit. 

A personal loan allows you to get funding up to $100,000, which you have to pay back over a fixed loan term — usually 7 to 12 years. The best part about this type of loan is that you can use the funds for just about anything — including driveway financing. What’s more, if you repay the loan within the specified terms, it may increase your credit score.

Financing for paving through a credit card

Using a credit card for financing your driveway paving is a good idea only if you can be sure of repaying the loan amount quickly. There are several credit card companies that are willing to offer you reward points or cash bonuses for using their credit card. However, keep in mind that credit cards typically have high-interest rates. Moreover, if you spend an amount close to your credit card’s available limit, it may end up bringing down your credit score. 

Do asphalt and concrete companies finance?

Yes, asphalt companies do offer driveway financing options to their customers. These loans are unsecured loans, and the limit is usually around $100,000. Some of them offer loans that can be closed early without any prepayment penalties. 

Similarly, concrete companies offer loans to their customers as well, for things like concrete driveways, concrete patios, stamped concrete, and other projects. Like asphalt company loans, these are also unsecured loans, meaning they do not require your home or any other collateral for the loan to be approved. 

In fact, some of these loans are available without even needing a source of income, tax returns, W-2s, or other proofs. This means even those with less than perfect credit can apply and get approved for these loans. However, as with all unsecured loans, expect the interest rates to be higher than secured loans, and for the repayment, the window to be smaller as well.

Is a personal loan better than financing through an asphalt or concrete company?

Personal loans are a fairly common choice when people consider financing options for repaving driveways or for getting new driveways. These unsecured loans are fairly easy to apply for, and the disbursal happens within a day in most cases. 

The interest rates and loan terms if you opt for a personal loan depend on the lender and your credit score. If you have a credit score of 750 and higher, you will be able to choose from the best lenders, rates, and terms.

Interest rates for personal loans can vary from 5% to a whopping 36%. Loan maturity is usually between two to seven years. 

If you choose financing through a driveway company, you are again choosing an unsecured loan. However, a lot of driveway financers offer customers zero percent loans on their services for a short repayment period. However, if you are unable to repay the loan in that window, you could be charged interest rates of more than 20%.

With both of these options, your financial health is the biggest deciding factor. If you take a personal loan but have less than perfect credit, you could end up paying high-interest rates and be forced to repay the amount you borrowed within a couple of years.

Similarly, if you choose financing through a driveway company, you might get a zero percent loan just as long as you can stick to the repayment schedule. However, if you fail to pay it back on time, you will once again be stuck paying a high rate of interest.

Is it cheaper to pave or concrete a driveway?

It is definitely cheaper to concrete a driveway. Paving a driveway costs between $10-$30 per square foot, while concrete costs just a fraction of that, between $4 to $8 per square foot.

Read more: Asphalt millings driveways

What is the cheapest option for driveways?

Costing just between $1 to $3 per square foot, gravel is the cheapest option for driveways.

Read more: Driveway extension

Can I asphalt my own driveway?

While asphalting a driveway could be a DIY project, it is definitely not a one-person project. So if you’re planning to asphalt your own driveway, make sure you have friends to help you get the job done.

You will also need to hire specialized gear to asphalt your driveway by yourself, such as a skid steer loader, a dump truck, a plate compactor, a roller, wheelbarrows, and asphalting, and tools.

The process of asphalting begins with entirely removing the old asphalt and disposing of it responsibly. A lot of asphalt suppliers often take back old asphalt. You will also need to remove the driveway base.

Next, replace the base with a combination of stone dust and small stones called dense grade, or with fine gravel.

Keep in mind while laying the base to incorporate a drainage slope measuring one inch per ten feet of width or length.

Actually laying down the driveway is a two-step process: the first involves laying down a binder asphalt and the second, laying down the top layer.

Are 2 inches of asphalt enough for a driveway?

Two inches is sufficient if your driveway hasn’t had much wear and tear, and only requires an overlay. It may even suffice for a new driveway, as long as the gravel being laid below is at least 6 inches thick.

Financing for driveway paving: How to apply

It’s important that you find the right loan option for your needs. Kukun offers financing that lets you apply for a loan easily — without letting the inquiry affect your credit score. Get a loan in one lump sum and pay for your paving without a hassle. Once paying for your paving material and labor costs are under control, you can build the kind of driveway you’ve always dreamt of! 

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Written by Ramona Sinha. January 8, 2021

Ramona is a content writer for Kukun. This experienced blogger uses simple and succinct words to decipher the complex phenomenon called life. An avid traveler, she’s a digital nomad at heart and an animal lover from the depths of her soul.