A Complete Home Makeover with a Home Renovation Loan Without Equity
Are you toying with the idea of improving, extending, redecorating or redesigning your home?
Renovations are an excellent way to breathe new life into your home and to increase its resale value. But the cost of home renovations usually tallies in thousands of rupees. Whatever home upgrade or home repair you plan to do, be certain that it isn’t going to be cheap. You might need a home improvement loan to make it happen.
If you do not have a lot of equity in your home, you may not get a home equity loan to carry out your home renovation plans. You may have to look at other finance options.
However, getting a loan for home improvement with no equity doesn’t have to be difficult, if you know where to look.
Types of Home Improvement Loan Without Equity
1. Personal Loan:
A personal loan offers you funds to make large purchases. It is an ideal loan option for one-time use. For example, installing a slate roof, building a new garage, or adding a family room.
It offers a lower interest rate as compared to a credit card. You have to pay the borrowed amount in a set timeframe. You can also customize the repayment plan according to your repayment capacity.
2. Personal Line of credit:
If your renovation plans are ongoing, a personal line of credit is perfect for you. For example, redoing the kitchen and bathrooms is an ongoing process and can spread over to the next year.
A personal line of credit allows you to withdraw money from your approved credit line as necessary and repay it as necessary.
A personal credit line is a product like a credit card, but with a lower interest rate. Once your credit line is approved, you don’t need to reapply every time you want to use the funds from your credit line.
MoneyTap is the solution for a home renovation loan without equity
MoneyTap incorporates the best of all three – a personal loan, a line of credit and a credit card to offer a product that is perfect for home renovation.
Here's how MoneyTap’s personal credit line offers a flexible solution for home renovations.
MoneyTap’s credit line is a perfect option because, with home renovations, you don’t know how much funds you’ll need to complete a certain project. With MoneyTap by your side, you have the peace of mind knowing it's available to you when the time comes.
MoneyTap offers an unsecured home improvement loan with a low interest rate that starts from 1.08% per month.
The online application process for MoneyTap’s personal line of credit is faster than a traditional home equity loan. It takes a few seconds to get an approval. You can get a personal loan of ₹ 35,000 to ₹ 5 Lakh.
MoneyTap disburses your home renovation loan in a matter of a few days once you receive the final approval. With a traditional home renovation loan, you may have to wait for a large number of days, thus delaying your home renovation project.
MoneyTap’s personal loan for home renovation is an unsecured loan. You don’t need to pledge collateral or guarantors to get the loan. So, no worry about losing your house if you are unable to make your monthly payments for whatever reasons.
MoneyTap’s personal credit line is active for life. As you start repaying the borrowed amount, your credit line will get replenished. So, when you need funds for another home improvement project, the line is ready to use.
Shiv Nanda is a financial analyst who currently lives in Bangalore (refusing to acknowledge the name change) and works with MoneyTap, India's first app-based credit-line. Shiv is a true finance geek, and his friends love that. They always rely on him for advice on their investment choices, budgeting skills, personal financial matters and when they want to get a loan. He has made it his life's mission to help and educate people on various financial topics, so email him your questions at email@example.com.