Home Improvement Loans
Why Use Unsecured Personal Loans For Home Improvements?
Whether you’re adding a swanky patio to your home or just changing the siding, you know it’s going to cost you thousands of dollars. What you may not know is that you can benefit in many ways by taking out a personal loan to pay your contractor for the work. Home improvement loans are simple when you use personal loan lending networks or peer-to-peer lenders. These options allow you to borrow money for almost any reason. The beauty is that it does not use up the equity in your home as it is unsecured. Using an unsecured personal loan for a home improvement project is a smart move both economically and personally.
Why Use an Unsecured Personal Loan for Home Renovations?
Instead of tapping yourself out all at once, you can apply for a personal loan and repay it over time. That way, you and your family have the funds to function in other areas of life while you are creating your new dream house. Furthermore, being an unsecured personal loan means you do not have your assets on the line if something major happens.
Peer-to-peer loans or lending networks that match you to lenders can get you funded for up to $40,000. If you are looking at updating your kitchen or bathrooms for example, this could give you a low rate and fixed payment to cover the work needed.
What Benefits Do the Unsecured Personal Loans Provide?
An unsecured personal loan used for home improvements can benefit you in more ways than you can imagine.
For one, it gives you the opportunity to improve your credit score and establish financial clout as you repay the loan.
Secondly, it does not tie up your personal assets or your home. Unsecured personal loans for home improvements can have repayment terms up to five years or longer depending on the lender’s available terms. Additionally, you could allocate some of the funds to pay down existing debt or to use on other projects.
Do You Have to Have Equity in Your Home?
There is always the option to borrow on your home vs taking out a unsecured personal loan. The only issue with this is that if you would lose your job, the equity loan could also cause you to lose your home if you cannot pay it back. With an unsecured personal loan, this is not the case as there are no assets being used to secure it. So for a home improvement loans option, the unsecured personal loan can be a smarter idea.
There may be some tax benefits to an equity line of credit, but is it worth the risk? Peer-to-peer loans are funded by individual investors through the lending platform. You will find some really great P2P lenders available that can meet your needs. You can also find good lending networks that match you to personal loans. They use their networks of lenders, which can include peer-to-peer, banks or other lending options to get you a low rate personal loan.
How Do I Apply For an Unsecured Personal Loan?
You apply by completing a simple online personal loan application. You will need to fill out some basic personal information and verify employment. The online application is easy to fill out and funding your personal loan is quick. The money is direct deposited into your account.
To compare and apply for an unsecured personal loan online check out our Top 10 Personal Loans for 2017.
This will give you a better idea of your lending options. Once you decide on a lending option, just click on the get started button to be taken to their secure site to get approved.