In the recession, the secured loans market was hit badly. But there has been recent news that secured loan lenders are slackening off their criteria, and one lender is increasing their loan to value to 85%
Before the recession, there were over twenty secured loan lenders in the market. During the recession many of the lenders left the market completely, and the other lenders tightened their criteria and reduced their loan to value.
There has also been good news announced that house prices are also increasing, which is a really good news, as secured loans are based on the available equity in your property.
Before the recession happened, there were secured loan lenders willing to lend up to 125%, but this was reduced to 80% This has now been increased to 85% which is really good news.
The 85% LTV plan is a big step in the right direction as some of the existing secured loan lenders are no way near the 85% plan. So hopefully other secured loans lenders will see this fantastic news and maybe they will slacken off.
Homeowners who are looking to raise a large amount of finance should consider a secured loan. Secured loans can be used to borrow larger amounts and also you can take a secured loan over a longer period of time and keep your repayments down.
Secured loans have been around for many many years, and many homeowners have taken out secured loans. Secured loans can be used for a number of reasons. Many homeowners have taken out secured loans for debt consolidation
Homeowners that have adverse credit will have to have more equity in their property. Secured loan lenders are available and eager to lend, but they will want to see more equity than for those who have a good credit score. With equity margins increasing, and property values increasing this will be good news for homeowners with adverse credit as they will be able to look at a secured loan to sort their finances out.
Looking to find the best deal on secured loans and remortgages