Homeowner loans as the name suggests are a form of loan for which only homeowners are eligible to apply.
Until the recession some homeowners opted for unsecured loans, and these loans were often granted as the lender had the security to some extent because if the borrower fell badly behind in his repayments, the loan lender was able to take out a form of secured decree known as an inhibition.
An inhibition, as it is a form of security is placed on the Land Registery, and if the homeowner wants to sell up and move house the inhibition has to be payed off and the funds at last go to the loan granter.
There is little availability of loan funding at present, and as such unsecured loans are extremely difficult to come by and only those and such as those have any hope of obtaining an unsecured loan. It is really ony salaried individuals who have held the same position for a few years that have any hope of receiving an unsecured loan.
This means that the best and in fact probably the only way for a homeowner to obtain the loan required nowadays is by the means of a secured homeowner loan. The secured homeowner loan is secured against the equity of a property.
Things before the recession and during the recession are very different There used to be 125% equity plans which allowed loans to be granted of 25% more than the property was worth. First Plus was the secured loan lender who introduced this plan.These plans were usually available up to a maximum loan of 60,000.
There is no longer availability of the 125% plan and it is completely dead and buried, and unlikely to ever appear again at any time in the future.The maximum LTV is now 70% and 80% for self employed and employed secured homeowner loan borrowers respectively.
In the past it was sometimes too easy to obtain a secured homeowner loan, and now it has gone to the opposite extreme, and homeowners with completely good credit ratings can now find it difficult to obtain a homeowner loan.
What is required is for a new secured homeowner loan lender to enter the market who is prepared to lend homeowners with good credit ratings secured loans of up to 90% LTV or the end of these excellent homeowner loans could be near. - 30462
Until the recession some homeowners opted for unsecured loans, and these loans were often granted as the lender had the security to some extent because if the borrower fell badly behind in his repayments, the loan lender was able to take out a form of secured decree known as an inhibition.
An inhibition, as it is a form of security is placed on the Land Registery, and if the homeowner wants to sell up and move house the inhibition has to be payed off and the funds at last go to the loan granter.
There is little availability of loan funding at present, and as such unsecured loans are extremely difficult to come by and only those and such as those have any hope of obtaining an unsecured loan. It is really ony salaried individuals who have held the same position for a few years that have any hope of receiving an unsecured loan.
This means that the best and in fact probably the only way for a homeowner to obtain the loan required nowadays is by the means of a secured homeowner loan. The secured homeowner loan is secured against the equity of a property.
Things before the recession and during the recession are very different There used to be 125% equity plans which allowed loans to be granted of 25% more than the property was worth. First Plus was the secured loan lender who introduced this plan.These plans were usually available up to a maximum loan of 60,000.
There is no longer availability of the 125% plan and it is completely dead and buried, and unlikely to ever appear again at any time in the future.The maximum LTV is now 70% and 80% for self employed and employed secured homeowner loan borrowers respectively.
In the past it was sometimes too easy to obtain a secured homeowner loan, and now it has gone to the opposite extreme, and homeowners with completely good credit ratings can now find it difficult to obtain a homeowner loan.
What is required is for a new secured homeowner loan lender to enter the market who is prepared to lend homeowners with good credit ratings secured loans of up to 90% LTV or the end of these excellent homeowner loans could be near. - 30462
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