Top Tips on Finding the Cheapest Secured Homeowner Loan!

Alex Parsons Alex Parsons | Secured Loan Expert

You have likely heard it said that your home is the most important investment you will ever make. If that is true, and we believe that it is, it makes sense to leverage that investment as a financing tool for other things. You can do that through a secured home loan from a reputable lender. There are many lenders throughout Great Britain willing to loan you substantial amounts of money based on the equity in your home.

One of the main advantages of a secured homeowner loan is that it can be used for virtually any purpose. By comparison, a car loan can only be used to purchase a new or pre-owned vehicle. It would not do you any good if you needed the money to pay for something else.

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So, what can you do with a low cost secured loan? Here are just a few suggestions:

  • Home Repairs/Renovations – When you use a secured loan to repair or renovate your home, you are leveraging the equity in your home to improve its resale value. In turn, the higher resale value increases equity. In essence, you are using the power of equity to increase the value of your investment.
  • Education Expenses – Sending a child to university is expensive by any measure. If scholarships, grants and other funding sources do not pay the entire cost, a secured loan is a great way to make up the difference. Provided you have good credit and an acceptable loan-to-value ratio, a secured homeowner loan might be the most cost-effective way to cover these expenses.
  • Holiday Travel – There are times when people are presented with once-in-a-lifetime travel opportunities that they do not want to miss. For example, perhaps you want to travel overseas for the next Olympic Games. A secured loan can make it possible at a cost that fits well into your monthly budget.
  • Medical Costs – When the free services offered by the NHS do not meet your needs, private medical care can be expensive. A secured homeowner loan can pay for elective medical procedures, private care, or even medical tourism abroad.

These are just some suggestions for how you might use a secured loan taken against your home. However, the possibilities are nearly limitless. If you need cash for any long-term financing need, consider a secured homeowner loan from one of top lenders offering them across Britain.

How They Work

The definition of a secured loan is one that is offered based on the borrower providing some sort of collateral. The collateral secures the lender's interests by giving them some sort of tangible property they can repossess and sell if necessary. In most cases, secured loans in the UK require a home as collateral. That is where equity comes in.

The equity in your home is the difference between what the property is worth on the retail market and how much you still owe on your mortgage. This is considered real value in the eyes of the lender. Whatever your equity is, you will be able to borrow up to that amount with a secured loan.

The positive side of this is that it allows homeowners to take advantage of equity to finance other things. The negative side is the very real possibility of losing your home. If you default, your home could be taken and sold to cover your debt. If the sale price does not cover the total of your mortgage and the secured loan, you will still be responsible for paying off the remaining debt.

A low-cost secured homeowner loan might be the right solution for you if you need large amounts of cash and a long-term repayment option. Nevertheless, be choosy when deciding on lenders. There are enough differences between them to make it worthwhile to compare loan products before accepting a loan offer.

Free Professional Advice

If you lack the time or the experience to property compare secured loan products don’t worry because our professional secured loan experts will do the work for you. Our advice is always free and our experts have the technology at their fingertips to scour our 700 loan options to find the most suitable deals to suit your personal circumstances in a few minutes.

We can help you source the best deals, compare the offers available and choose the most suitable for your requirements. Our experts can then submit a fully effective application to the lender on your behalf ensuring that your case contains all the information the lender will need to make a timely decision. We work for you and not the lender so your best interests are always at the forefront of everything we do. We are always 100% transparent so you will always be informed of all the costs of any loan before you make any decision to proceed. Just call our friendly team today.

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