Borrow on houses – housing loan

If you own a house to borrow on this can be an option if you need to get money for something. It can be anything from paying a trip, buying a car or renovating.

Housing loan

Housing loan

Regardless of what the money is going to go to, this is most definitely the best option if you want to borrow more money. However, there are certain things that must be fulfilled in order for it to be an opportunity.

First, you must of course own a house that can be used as collateral for the loan. Furthermore, the loan-to-value ratio of this home must not be too high. At the moment, the banks have a requirement that says that a home cannot be mortgaged at more than 85% of the value. Thus, there must be space under this for the thinking loan.

This means that it is usually people who have owned a house for a number of years and have been able to repay all or part of the debt that can avail this opportunity.

Of course, the economy must otherwise be in good condition for a bank to accept a loan application. If that is the case then there are a number of great benefits to borrowing money in this way. It is usually easier to get approved as there is security behind the loan which is positive in the eyes of the lender. Then the biggest advantage of all is that even if you choose to buy a car or just use the money for regular consumption, it is a mortgage that you obtain.

Mortgages that normally have the clearest interest rate on all loans we private individuals have the opportunity to apply for.

Mortgages that normally have the clearest interest rate on all loans we private individuals have the opportunity to apply for.

If you already have a loan on the house, it is the same lender that you have to turn to since there is only one lender at a time that you can have mortgages with. Thus, you have no opportunity to choose the lender with the lowest interest rate, although there is often no such difference between the different lenders. If you do not have a loan on the property since before, it is free to choose between all lenders.