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What is a home equity loan?
A home equity loan uses your home as collateral to secure the funding you need. You can apply for a loan and borrow against equity without impacting your existing first mortgage. Approvals are based on the level of equity accumulated in your home.
Credit and/or income are less important to your application. To determine the amount of equity in your home subtract any existing mortgages or liens from the estimated current value of your property.
Types of home equity loans
Mortgage loans and installment loans can be confusing. Home equity loans are simple, there are two types.
Type one, a fixed term loan given to the borrower as one lump sum. An interest rate is fixed and monthly payments are based on the amount advanced. Generally speaking, fixed rate home equity loans are easier to qualify for because they don’t require income or credit. The second type of home equity loan is a revolving loan.
Most often referred to as a home equity line of credit (HELOC). A HELOC is approved for a predetermined amount. Instead of advancing all of the funds at once, you access them as you need them, like a credit card. Payments are based on what you owe and credit can be re-used once it’s paid off.
Why take a home equity loan?
A homeowner may want to tap into their equity for many reasons. Home equity loans can be a great way to access cash fast. A home equity loan can be used for:
- Consolidating high interest debt such as payday loans
- Home renovations
- Pay outstanding debt for property tax arrears
- Stop a power of sale
- Rebuild your credit if you have a bad score
- Eliminate Canada Revenue Agency debt
The possibilities are yours to discover. Turnedaway.ca has made qualifying for a home loan easy.
I have equity and bad credit.
If you have home equity but bad credit, don’t worry. Turnedaway.ca’s lending partners approve loans based on the amount of equity in your home, not your credit score. Most of our home equity loans are for people who have been turned away for bad credit or for not meeting income requirements.
If you’ve been turned away by one of the major banks for any reason, we offer a wide variety of solutions to fit almost every circumstance. Not every lender has adopted the same tight restrictions the major banks are following. We still offer home equity loans based on common sense lending practices.
Why choose Turnedaway.ca?
We’ve been helping people obtain home equity loans for over 30 years. If you’ve been turned away by the bank for a loan in Canada, we can help find the financing you need.
Whether it was the amount you were applying for, credit issues or a lack of income verification, we have lending solutions for almost every situation. What you do with the funds you borrow is up to you. Use your loan to buy another property, consolidate high interest credit card debt or to pay off Canada Revenue Agency – your choice.
We’ve helped a lot of people. See what they have to say!
Marilyn & Bob T
We can’t thank you enough for all your help with our mortgage. We were skeptical about filling out an online application but we had tried several banks and due to our credit, couldn’t find anyone to help us. Getting a call within 15 minutes of submitting our application to go over the application put my mind at ease but my husband and I were both shocked to receive a call the same day with an approval. We are still amazed at everything you did considering how difficult the banks made our situation sound. Again, from the bottom of our hearts thank you so much!
Marilyn & Bob T, Whitby Ontario.
Dave & Sharon S
My wife and I felt completely lost and didn’t know where to go after being declined by our bank of 18 years. We were so relieved once you advised us there are still lenders that value a mortgage based on merits other than just your credit rating. We had never missed a payment on our mortgage for 18 years and to hear our bank say they couldn’t help us even though we owed virtually nothing on our home was heartbreaking. We couldn’t be more grateful that you helped out two complete strangers when nobody else would.
Dave & Sharon S, Ottawa Ontario
I can’t put into words how greatful I am to you regarding coordinating all of the activities in seeing my new mortgage go through. There are several reasons for the appreciation from my side but most importantly it will allow my daughter to continue to grow up in a home and neighborhood that she has identified as being very important to her.
I owned a home for almost 15 years and faithfully renewed at my bank every 5 years. About 14 years into my mortgage my job was terminated and I was forced to rely on credit cards to keep things going. Fortunately I found work after 7 long months but by then my credit had deteriorated and my bank wouldn’t help. I called turnedaway.ca after hearing one of their radio ads and I am glad I did. They bailed me out of a bad financial situation, got rid of all my credit card debt and got me down to one manageable mortgage payment.
John C, Toronto Ontario.