In the country, having a home in property has been part of our DNA and continues to be so today.
According to the latest data from the National Statistics Institute, 77.5% of households were owned by households during 2016. It is evident and undeniable that despite having lived through a financial crisis in which the “brick” became a nightmare for many, having a property in property is still for most people a very valuable asset. Not only because it represents the possibility of being able to obtain a return through its rental or sale, but the property itself can open the doors of a loan to us that we might not otherwise have access to.
Home Equity Loans
We are talking about those financing options whose payment guarantee is the property we own. This is a viable option even with those apartments, houses or commercial premises that are already mortgaged as long as the outstanding capital of the first loan is assumable with the new mortgage.
When obtaining financing –for any need– becomes a real challenge, the home equity loan is a very interesting alternative to consider. Having a home owned gives real financing options. Although it must be borne in mind that it is not the ideal option for small quantities or for those who do not recur at the end of the month, it is very useful for higher amounts, from around $ 5,000 and for specific situations of lack of liquidity.
Financing with a property owned as collateral has very positive aspects, such as that it does not imply the hiring of related products, unlike what usually happens with other types of mortgage. In addition, a very important point for many applicants is that it allows access to financing to those persons who are registered and unpaid lists. Thus, a fact that usually represents a direct barrier to credit, in this type of financing does not have to be.
Property owned, whether it is an apartment, a house, or also a commercial premises, therefore, opens financing possibilities, even for high amounts, reaching up to $ 300,000 with the possibility of establishing long repayment terms, –up to 20 years, or repaying the loan at one time when the house is sold, paying much less interest.
Home equity loans require responsible use. As in any financing method, it is important to have highly valued our present payment capacity and to foresee, as far as possible, our future payment capacity.
As with any financial product, it is essential to know how the loan works and put yourself in the hands of expert professionals who comply with all legal requirements and who are also committed to working with a code of good practice. In this sense, we guarantee the transparency and legality of all its operations and more than 2,000 clients in the country have already trusted its services.