If you are thinking about refurbishing, it is often associated with questions about loans. It often costs a lot to renovate the house, rebuild the hut or save the farmhouse on the farm that is collapsing.
Home improvement loan with or without security
If you have considered and rejected the alternatives of using your savings or borrowing money from some of your loved ones, we are here to help you.
It is possible to take out a home loan without collateral (acts as a consumer loan) or home loan with collateral (extension of the mortgage). Unsecured home loans have higher interest rates and shorter repayments. On the other hand, you have full freedom to repay the entire loan at any time.
With home improvement loans
You extend the mortgage and get the lower interest rate and longer repayment period for this loan.
However, you must make sure that you have not already borrowed 85% of the value of the property, as this is the limit for extending the loan. It often costs a lot to renovate the house, rebuild the hut or save the farmhouse on the farm that is collapsing. Pay the invoices on time so that there are no unnecessary extra costs.
Some tips before moving on with the home improvement loan
- Think about what the renovation will cost. Get a quote from craftsmen, or make an honest estimate yourself.
- Compare lenders and interest rates. There are many lenders. We are committed to providing you with loans you can afford after making your thoughtful choices.
- Once you have applied for a loan, you should think through the costs again. You do not want to start a project that costs more than it tastes.
- Once the loan is paid off, you can start running and refurbish. Pay the invoices on time so that there are no unnecessary extra costs.