Private lenders follow different rules from banks, and this allows them to issue home equity loans. While bank loans are approved according to credit scores, home equity lenders prefer using equity as a way of approving loans. We are a team of experienced lenders who have been offering home equity loans in Timmins for many years now.
These loans are offered at an interest rate of 7%-15% for a general period of one year. Standard home equity loans are actually first or second mortgages on a property that can be ended early if the customer so wishes. Paying early can be convenient, but there is a fine of three months interest fees to go with this decision. The terms may be strict but home equity borrowers still choose home equity loans that can be customized to their desires. Our home equity lenders in Timmins are ready to listen to you and recommend the most suitable product for you.
Examples of Tailored Home Equity Loans:
Our loan experts understand that everyone has unique needs and are therefore always prepared to include more options in the loan agreement. Feel free to discuss you are your circumstances with the officer so that they may deliver a home equity loan that is perfectly tailored to your needs.
The amount you receive ultimately depends on how much equity there remains in your property. To assess the risk posed by different borrowers, the creditors have to calculate a metric known as loan to value (LTV) ratio. It is obtained by dividing the total of debts on the property with its current selling price. In so doing, lenders hope to get a value that doesn’t exceed 85% LTV on the property. Our home equity lenders will issue loans on up to 85% LTV to make sure that they can get compensated if you default on the loan.
Our home equity lenders in Timmins offer such reasonable amounts that can be used to pay for living expenses or meet important financial goals.
Our loan experts in the city believe that the borrower knows how best to use their money and because of that, they do not place restrictions on how it should be used.
There are countless possible ways the loan money could be used but you must repay the debt on time and according to the agreement if you want to avoid dire consequences.
For both, it is evident that approval is based on equity (value of the property minus its debts) but that is where the similarities end. Home equity loans have fixed interest rates while those of an HELOC tend to fluctuate with time. The home equity line of credit is accessible whenever a client needs it but you must stay within the credit limit.