What is a Home Equity Loan?

Sometimes we need to have a certain amount of money to deal with a specific payment, regardless of its nature. However, we only have one guarantee as a guarantee: our house. In cases like this there is an ideal loan to be able to enjoy your money in just 48 hours: you have at your disposal the home equity loans. We tell you what they consist of.

Home equity loans

Home equity loans

If you need an urgent credit, with Lite lending company you can have it in a short space of time. Do you know home equity loans? It is a personal loan in which you use your home as collateral. That is, this will be the only guarantee that we will ask for, your property. So in order to apply for this type of loan you must have a property in your name.

They are quite recurring loans for those people who need to have a specific capital thus providing them with fast financing and where also traditional financing, through banking entities, is not an option that they can take into account. And why? This is because they have irregular, low income or have debts and banks believe there is a significant risk in lending them money.

Through home equity loans, it is the house that functions as collateral. This must be the property of the person requesting the loan or, at least, having it 80% paid. It should be borne in mind that these loans are totally different from the mortgage loans to use, since the purpose of the same is not to buy a home as an objective. If not, having capital, financing to cover other types of actions or activities.

The value of housing as a guarantee

The value of housing as a guarantee

An important aspect of these loans is knowing how much we can qualify for. For this it is essential to know the value of the home. You need to know the appraised value of the home on the one hand and subtract the amount that remains to be paid from the mortgage, if applicable. Although the maximums of these loans may vary, usually up to 300,000 euros can be requested if this is the value of the property in said appraisal.

One thing is to have a home with home equity loans, and it is that with these you can request much higher amounts than if you opt for a personal loan. Urgent loans ideal for people who need loans for an amount of great value or who find it difficult to find financing by other means.

However, justification of the reason why the client needs the money is not usually requested. Nor is it usually asked if the user has irregular income, so that people with economic difficulties but who have paid housing or 80% can request it. Home equity loans are a solution to the financial problems of many families.

In the same way, these loans are also suitable for people who are in delinquent files, as in National Association of Financial Credit Establishments, this being one of the few products that can be accessed for financing. The loans with mortgage guarantees do not look if the applicants have debts, nor the value of the debts since their only guarantee will be that they have a home in property.

Requirements needed

Requirements needed

To apply for these loans it is necessary to be of legal age, have a property owned or at least 80% paid and present a minimum required documentation, including the DNI, the documentation of the property owned and information on the appraisal of the home. This house can be a house or an apartment but also a commercial premises or an industrial building. The repayment of home equity loans can be up to 20 years.

If you need a home equity loan, Lite lending company wants to help you by offering you such an important and necessary economic solution. You can have your urgent credit in just 48 hours, without long paperwork, without excessive bureaucracy. We will only ask for a property as a guarantee and that you have your money quickly. Contact us without obligation, we want to help you. If traditional financing is not possible, our personal loans can help you solve those economic problems that bother you so much. 

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