Do you have to have good credit to get a home equity loan? I've lived in my house almost two years and am interested in getting a loan. What are they looking at?
2007-05-10 15:49:02 · 5 answers · asked by Elliot A 1 in Business & Finance ➔ Renting & Real Estate
The first thing they look at is the EQUITY you have in the home. (That's why they call these loans home equity loans) If, in those two years, the value of your house has appreciated reasonably, you may be able to draw out some additional equity. Be prepared to have the house appraised by an appraiser of the lender's choice, as well as have your credit checked. Remember, even if you have equity in the home, but have a lousy record at making monthly payments, they are not going to trample down your door to give you money.
2007-05-10 15:54:46 · answer #1 · answered by acermill 7 · 1⤊ 0⤋
Yes...you need good to average credit for a home equity loan. The main thing they are looking at is how much your house is worth and how much is own. A loan normally works like this. If you house is worth 300,000.00 and you only owe 225,000.00 then you would be able to get a loan for 75,000.00.
2007-05-10 15:52:35 · answer #2 · answered by SNK 1 · 1⤊ 0⤋
Yeah... They're looking at debt-to-income ratio (including credit card debt), stability of your job, the actual amount of equity in your home, and your current credit rating. Your credit rating determines your interest rate.
2007-05-10 15:53:35 · answer #3 · answered by CinderBlock 5 · 0⤊ 0⤋
If you plan to pay back the money , you can ask for a loan at Prosper. More information at http://www.acreditlibrary.com/prosper.html . You can also try your luck at online charities, people may send donations. More information at http://www.laodn.org/
2007-05-11 03:44:48 · answer #4 · answered by chrisstophe1975 2 · 0⤊ 0⤋
Get some tips from this site, hope you find useful
http://www.mortgageloan.nmaskuri.com
2007-05-10 16:18:32 · answer #5 · answered by Nora 3 · 0⤊ 0⤋