Loans are a main stay of life for many off and on in the course of their life.

There are dozens of reasons for requiring a loan.

The situation as regards loans is dependent to a great extent on whether the applicant owns his house or rents it either privately or from a local council.

For tenants unfortunately the choice is very limited to say the least, and a tenant is only eligible to apply for an unsecured loan as he has no security in the form of a property to put forward to secure the loan.

The situation for tenants has further deteriorated since the start of the credit crisis.

There was a prominent lender, namely Welcome Finance who did grant unsecured loans in addition to secured loans, but they have closed their doors.

Homeowners are in a very much stronger position and they still are able to obtain finance, although not as readily now as three years ago.

For homeowners the main choice when wanting to raise funds is between homeowner loans, otherwise called secured loans or remortgages.

Whether a homeowner is interested in secured loans or remortgages they are both virtually the same thing as both are secured what ever equity is in the property, and this means the difference between the mortgage and what the property is in fact worth.

Secured homeowner loans are a stand alone product that do not interfere with the current mortgage on the property.

Although they have nothing to do with the mortgage secured homeowner loans are registered officially as a security exactly as is the existing first charge.

On the other hand by arranging a remortgage the current mortgage is payed off and the remortgage takes its place with the extra money needed added to the previous mortgage balance.

Both remortgages and secured loans can be used for almost any purpose whether it is to fund home improvements, take an extra special holiday, pay for school or university fees, buy a car, a motor home, etc.

Remortgages have lower interest rates than secured loans while secured loans are faster to arrange.Meaning in fact that the whole thing is a matter of personal choice.

homeowner loans

Ever since the dawn of remortgages and mortgages, the interest rates attached to remortgages and mortgages have varied enormously during any given period.

The rising and falling in mortgage and remortgage rates has been one constant fact of life and twenty odd years ago between the end of1985 and1986 rates for these two home loan products rose so dramatically that it appeared as almost in one fell swoop people were paying twice as much one month compared to the previous month.

This mercurial nature of remortgages and mortgages make it important to decide when arranging a mortgage or remortgage if a fixed or variable rate would be better.

As the crystal ball is most likely nothing more than an old wives tale no one can really be 100% certain that the mortgage or remortgage taken out today will be the most suitable or cheapest tomorrow.

No one can with any certainly see what lies ahead either for mortgages or remortgages or what their own personal situation will be long before the end of their own mortgage period.

All one can do when taking out a remortgage or a mortgage is to hope that the right decision taken at the time remains constant in the future.

A mortgage broker can give all the choices available currently but even he does not have a crystal ball to ascertain the future of your remortgage or mortgage.

A fixed rate at least gives you a feeling of security for a number of years and may be the best option.

In the past ten or even twenty years fixed repayment remortgages and mortgages were available, but now the fixed period is normally between two to five years.

Rates can also be fixed for up to five years but the longer the fixed payment period period period is the higher the repayment is.

Looking to find the best deal on mortgages then visit Champion Finance’s site to find the best mortgage for you.

We are now well into the second year of the credit crisis in the UK, and many UK citizens has found their economic position very precarious.

Redundancies have been the main reason for this economic chaos. Many firms have stream lined their work force to cut down on over heads in the hope of emerging from the recession with their doors still open.

Obviously the whole of the UK work force has not suffered in this way, but even some people still in work are earning less now due to such things as working three or four days a week now instead of the usual five.

As everything else as regards finances constantly on the move every month, they felt that they owed it to themselves to have one aspect of their outgoings the same month after month.

What this one thing was , was the remortgage or mortgage payment.

This lead to the popularity of the fixed rate remortgage and mortgage.A mortgage is a home loan with which you purchase a property. A remortgage is when a mortgage is moved from one mortgage lender to another either to obtain a better rate of interest or to raise additional funds for a number of purposes.

With a fixed rate remortgage or mortgage the homeowner has the security of knowing exactly how much he will pay for his mortgage each month for a specific number of years which could be anything from one to ten years.

This allowed for some sort of financial certainly in uncertain times.

Now however some remortgage and mortgage lenders have reduced the interest rates for their variable products while at the same time keeping their fixed rates at the same rate as before.

Fixed rate mortgages were always more expensive that variable rates, but now the difference is greater than before.

This has lead to a slump in the demand for fixed rate mortgages and remortgages, and in September and October about 70% of mortgage applications are now for variable rates as the fixed rates are now considered as too expensive.

Learn more about remortgages. Stop by Champion Finance’s site where you can find out all about a remortgage and what it can do for you.

If a homeowner wants to obtain finance for a number of purposes there are two real options of doing this, and these two ways are either by means of a secured loan or a remortgage.

Both secured loans and remortgages are loans that are secured on the equity on a property, and therefore only people who actually own their property can apply.

Which is preferable depends on several circumstances, and there are occasions depending on personal circumstances when one is preferable to the other.

Secured loans should be the loan of choice for homeowners who are in the first few years of a tie in period with their current mortgage lender. During the tie in period there is an early repayment penalty if the mortgage is repaid with a remortgage.

This can cost the homeowner thousands of pounds in charges as the penalty can be from 2% to 5% of the outstanding mortgage balance. If you have a mortgage of say 300,000, the penalty would be from 6,000 to as much as 15,000. Therefore to remortgage in such circumstances would be an act of madness, and a secured loan would be the road to take.

If the loan funds are needed quickly, again the secured loan is the better alternative, taking half the time of the remortgage to arrange, from two to three weeks for the secured loan compared to four to six weeks if remortgaging.

If neither of the previous statements apply to you a remortgage could well be preferable as the interest rates for a remortgage are normally lower. At this moment in time if the homeowner has at least a 40% deposit interest rates of under 2% are currently available.

Secured loan rates now start at around the 9% mark which is good but still more expensive than the remortgage.

Therefore whether a remortgage or secured loan is better depends on the circumstances of the remortgage or secured loan applicant.

Want to find out more about remortgages, then visit Champion Finance’s site and find the best remortgage for your needs.

There are all sorts of loans out there both unsecured and secured and two very popular types of loans are remortgages and secured loans. Both secured loans and remortgages are only granted to those who own the property in which they live as they need to be secured against the equity in the property.

The fact that remortgages and secured loans are safely secured, lenders have more confidence that the customer will repay their borrowings and are therefore prepared to grant remortgages and secured loans at good interest rates.

Unsecured loans in general have much higher rates of interest than those attached to secured loans and remortgages. If a remortgage or secured loan borrower defaults badly in payments, and does not cooperate the lender as regards coming to an arrangement regarding repaying the secured loan or remortgage, the lender can repossess the property. With an unsecured loan this is naturally not a possibility, and if the borrower is a tenant the only thing that the lender can do is take out a default or a CCJ against the defaulting borrower.

If a homeowner does not meet the repayments on an unsecured loan the loan lender can register a sort of secured CCJ against the offender in the shape of an inhibition.

An inhibition is secured against the property of the non payer in exactly the same way as the mortgage. This all means that the property cannot ever be sold with an inhibition secured against it. The lender of the unsecured loan will then have to wait for the property to be sold sometime in the future before he can get the money back.

All these problems are what makes unsecured loans more expensive than secured loans and remortgages.As a homeowner requiring to raise funds for almost any purpose the only sensible way to borrow is by means of a remortgage or a secured loan.

If you are looking for a remortgage then visit our site to find the best remortgage for you.