What extra formalities do home equity loans require?

We want everything now. In our online purchases, in the supermarket and, of course, also when we ask for financing. For requests for small amounts, speed is a fact: in just 10 minutes we can have the money in our account. However, as the amount of money increases, the reception time usually does, too.

In mortgage loans, in addition to offering very high amounts, we must bear in mind that there must be some formalities beyond the usual ones that require other credits. We see what they are and how to carry them out.

Appraisal and registration, the passport to home equity loans

Appraisal and registration, the passport to home equity loans

The documents that a lender can ask us for when requesting financing are those that we all know: justification of income, a bank statement with the latest movements, DNI, income statement and employment contract.

However, in the case of home equity loans, some of these may be overlooked, as these types of loans can be granted even when the applicant has no income. This possibility occurs because the payment guarantee is a home.

We always recommend that, before requesting it, it is essential to have some income or know with total certainty that we will be able to respond to the loan installments. Otherwise, we run the risk of losing ownership of the house.

And although we save the delivery of some documents in this way, there are two that do not appear in other financing, but in mortgage loans. Are these:

  1. Appraisal report. This document will serve to know the value of the home that is intended to be put as a guarantee of payment. The bank or lender needs it to decide what amount to grant to the applicant. The person in charge of preparing this report will be an appraisal company and its average cost is over 300 dollars.
  2. Registry check. This note, which must be requested in the Property Registry, is used to find out if a home is free of charges (mortgage) or not. Its cost is about 20 dollars approximately.

Without presenting these two documents to the lender, we will not be able to apply for the loan. For this reason, although neither of them are particularly complicated and long-term procedures, we must take this into account when starting the application.

Who can expedite the loan application?

Who can expedite the loan application?

We assume that we are not talking about a quick loan, but even so, there are those who offer home equity loans more quickly. On its own website we can find information about the path the process takes:

  1. On the day of the request, they contact the user to start the process.
  2. In 2 or 3 days an appraiser values ​​the home to calculate the amount they can lend.
  3. In about 10 days everything is resolved and all that remains is to sign to be able to make the transfer that same day.

In addition, we have the peace of mind that we are dealing with a company with experience in the sector of home equity loans. As if that were not enough, its conditions are very attractive: we can get up to 300,000 dollars to return in 20 years with a TIN that starts from 8%.

P2p loans have advantages for consumers, but also for investors

Little by little, the ways to obtain financing are expanding. Nowadays, the companies in which we can request a loan go beyond the traditional banks to which, a few years ago, we had to go to ask for a loan. Now it is not necessary to scroll to inform us about the options that exist in the market, something that has been directly influenced by technological progress.

The Internet, in addition to serving as a platform to compare alternatives, allows us to access the money we need. P2P loans are the ultimate for consumers and investors.

What loans between individuals are in the market?

What loans between individuals are in the market?

Due to the success of crowdfunding in recent years, more and more platforms are in charge of connecting investors with people who need money to carry out projects such as renovating a home or buying a car.

An aspect that we must take into account if we have decided on loans between individuals is that they do not have the same interest for all people. The cost we will pay for having the money in our account will change, in addition to the project, due to the financial profile of the applicant. Therefore, it is important that we are aware of the price we are going to pay for it.

The advantages of resorting to P2P loans

The advantages of resorting to P2P loans

Below, we show some positive aspects of loans between individuals and that benefit all parties involved in the process through this type of financing:

Advantages for borrowers

Advantages for borrowers

P2p loans have the following advantages for consumers looking to access financing through crowdfunding:

  • We avoid contracting other related products that can be included in the case of banks.
  • It is not necessary to travel to request them, all management is done online.
  • There is the possibility of getting a very competitive interest.
  • Opportunities to get large amounts to start a business.

Although these are the advantages they have for people who ask for a loan, there are some others that the investor can benefit from.

Advantages for investors

Advantages for investors

However, a P2P loan also has a series of opportunities for people looking for projects in which to invest their money. Here are a few:

  • Profitability higher than that obtained by a person with a bank deposit.
  • In some cases, it is the investor himself who decides at what price he lends his money.
  • Platform mediation makes the process safe and the investor is backed up if something goes wrong.
  • Using the platforms is simple and intuitive, so it is not a problem to access it and choose which project to invest in.

If we are thinking about requesting a loan through crowdfunding, the first step is to access the company’s website. There you will find the form in which we must enter our personal data and the financing we need. From here, all the risk analysis begins to know if our application has been approved and, if so, what will be the interest assigned to us.

With the minicredits all the unexpected of the vacations have solution

If we are one of those who are already finishing the holidays, it is possible that some unforeseen event has changed our days of disconnection. A car breakdown, an activity that we thought we had booked or an air conditioning breakdown as soon as we get home are some expenses that can take away the calm that you have achieved during the summer. If we are in this situation and we do not have liquidity to solve the problem, mini-credits may be the solution we are looking for.

Workshops and breakdowns are solved with online mini loans

Workshops and breakdowns are solved with online mini loans

Going through the workshop can be a must in some cases. None of us are free from a loss of oil or a flat tire. It is an annoyance that can be especially annoying if it happens to us in the middle of the holidays. However, not the only setback that can occur while we are away for a few days taking advantage of the high temperatures.

If we manage to overcome the holidays, breakdowns can occur even at the same time that we cross the door of our house. Surviving the summer without air conditioning is practically impossible. Therefore, the failure of the apparatus that keeps us alive during these months will make us sweat in several ways. We will not only have to endure the heat, but also the visit of a technician to repair it and whose assistance is not exactly cheap. If the numbers do not come out, we can request financing through mini-credits.

Get mini credits from anywhere

Get mini credits from anywhere

Although we think that where we are may be a problem to access money, it is not. We can get mini loans online in a few minutes from any device with an Internet connection. Therefore, a mobile phone will be enough to solve any setback that occurs to us on our return from vacation.

In addition, the fact that these products are contracted through the Internet, makes companies look for ways to attract new customers. Therefore, we can take advantage of it to look for promotions of mini loans online without interest. If we opt for this option, we will return only the amount we have requested, avoiding any additional cost if we meet the conditions of the lender.

Although we avoid the average interest of 1.1% that the mini-credits have, we will have to pay an additional cost for delay in the event that we do not meet the term that appears in the contract. In this case, resorting to financing will no longer be totally free. For this reason, it is important that the refund date coincides with the moment when we have income in the account again.