Homeowner Loans

How does a homeowner loan differ from non-homeowner loan?

Homeowner loans are essentially the same as secured loans in that they are devised for use by homeowners exclusively. Homeowner loans are usually required when the customer is seeking to borrow a large amount, and would prefer to repay the loan over and across an extended term.

Homeowner loans are far less risky for the lending company than a non-homeowner loan for the simple reason that security is arranged, which takes the form of the customer’s home. In return for the offering of security, homeowner loans are synonymous with value, and represent the cheapest group of loan products available to UK borrowers.

The only down side for borrowers who choose to proceed with a homeowner loan is that should the debt be defaulted upon, or request for payment be refused, the lending company is duly entitled to reclaim all outstanding funds, which in extreme circumstances could even mean the borrowers home.

Non-homeowner loans in comparison, are not required to be secured against anything, and therefore do not present the same level of risk for the borrower. However, you cannot borrow as much as with a homeowner loan, and the monies are required to be repaid much sooner.

Ways in which a homeowner loan can be of benefit

Because you can borrow so much more with a homeowner loan, and because you can extend the term to a greater degree, most borrowers tend to use this specific type of loan to fund a major home improvement, which has the potential to add additional value to their home. Of course, homeowner loans do not have to be used in this way, as they can, in principal, be used for just about anything. We would, however, suggest that any applicant who is looking for a relatively small advance, should first weigh up the options presented to them along the standard personal loan route. Typically, personal loans are far more practical if you’re planning to pay for a holiday, buy a new car or make any other kind of small purchase, as they are less risky for you as a borrower.

Why use cheap loans to source your homeowner loan?

We have access to a massive range of homeowner loan products, and are able to supply an over the phone quotation to you in minutes. We do not charge you for use of our service, nor obligate you to take a loan if you’re unhappy with the quotation that we provide. We can also offer alternative, non-homeowner focused products if you’d prefer. Features of our homeowner loans products can be found below:

• Exceptional starting rates
• Repayment holidays (on selected plans)
• Cash back incentives (on selected plans)
• Fee, and obligation free quotations
• Loan values from £5000 - £500,000
• Maximum term of 25 years
• Loans for any purpose
• All credit related circumstances considered