Home Equity Loans Advice
For young people like yourself, there will come a time when you will want to buy your own property. You'll no doubt have a mortgage but you may then find that you want to make some major home improvements to the property. It might be a conservatory or, perhaps, you want to extend the house to accommodate children more easily.
Secured Loans Advice
Whatever you wish to raise the capital for, a home equity loan (often referred to as ‘secured loans’ or ‘Home Loans’) will usually allow you to borrow more money and over a longer period of time in which to repay (usually up to a maximum of 25 years) than, say, an unsecured loan. The reason why lenders are usually generous and why a secured loan is easier to obtain is that your house is used as 'security' against the loan. In other words, the lender knows that they have a guarantee of getting their money back as they can force the sale of the home if the loan isn't repaid. Because of this, they can offer reduced interest rates and make the repayment terms longer as they are more certain that you won't miss repayments as the ownership of your home may be on the line if you do.
Any Purpose
There are no restrictions on what you can use the money for. It may be for other things like buying a new car, going on holiday or to consolidate other existing debts. It is also worth bearing in mind that you do not have to own your house outright to qualify. It's the equity in it that has to be worth more than the amount you wish to borrow. The equity is the difference between the home's market value and the unpaid balance of the mortgage and any other outstanding debt attached to the home.
For example, if your house is valued at £100,000 and you still have £60,000 to repay on your mortgage, you have £40,000 worth of equity against which you can borrow.
Borrowing Large Amounts
Secured loans are popular when homeowners want to raise larger sums of money and repay it back over a longer period.
They are especially popular with those with a bad credit history. For this reason, we have partnered with a bad credit secured loans company to give you the opportunity to get a great deal on a secured loan even with a bad credit record!
To apply for a home equity loan with free secured loans advice, please click here.