Customers could finance home improvements through a home equity loan. Should you offer this financing option?
One of the biggest benefits of being a homeowner is the ability to use a home equity loan and borrow against your home equity for your own benefit. There are many different ways that you can utilize the money that you get from your home equity loan. What are some of your options?
How Does Home Equity Work?
One of the most common ways to access your home equity is to use a home equity loan. The amount the lender offers to you will depend on a variety of factors, including your current debt-to-income ratio, your credit score, your income, and your loan-to-value ratio. We can work with you so that you understand exactly how much equity you can access and the various things that you can use it for.
Home Improvement Projects
Home improvement projects are one of the most popular ways to use a home equity loan, as you can use the equity in your home to increase the value of the property. Some of the most common projects that homeowners start to tackle include things like remodeling the kitchen, finishing the basement, or even creating an addition. For this reason, it may be wise for your home improvement company to offer a home equity loan as a financing option.
College Education
When you need a large amount of money to fund something, like your child’s college education, you can use a home equity loan. While student loans are one of the most common ways that people fund their education, there are many different reasons why people choose to use a home equity loan instead. This unusual strategy could work!
Debt Consolidation
Another way to use a home equity loan is consolidating debt that has high interest. Paying off debt with high interest rates is a top financial priority for many people, and using your home equity to do so is a possibility. If you have a large amount of unsecured debt and are struggling to make payments and bring the amount down, consolidating that debt under a lower interest rate can be a great idea.
Tap Into Your Home Equity with Pure Finance Group
Thank you for your interest in Pure Finance Group. We’re so excited you’re here. For more information on how our lending services can help you with your home financing needs, give us a call (410-401-4957) or fill out the form on our contact page today. If you have a question about any lending services we provide including home improvement loans, we are here to help answer all your questions. Just give us a call (410-401-4957) or contact us today. To keep up-to-date with the latest financing tips and solutions, keep in touch with us on Facebook and LinkedIn!