Howdy there, partner! This is your boy, out of writing vacation, coming at you live for the question, “How long does it take to get home equity loan?” Well, as we all know, I am quite knowledgeable in the world of finance, ehem! So I most likely have the answer for that here in my little noggin!
Now some of you might even be wondering, “Frank, what the hell even is a gosh darn home equity loan?” Now do not worry about that, partner! I have got you covered. We will be delving right into that immediately, this is how long does it take to get home equity loan!
Home Equity Loan? What Is That?
Well, you see friends, when you have an asset such as a house or whatever other type of property, you will most likely be paying for a mortgage. Whether that be because you need it to finance your home, or you need to borrow money but all you have is insolvent property!
Now that the term mortgage has been properly defined, that is when equity comes in. You see, when you pay off your mortgage, you slowly gain equity in your home. Given enough time, a sufficient amount would have been accumulated that you, yourself, could tap into that equity through a home equity loan, or in other words, a home equity line of credit (HELOC).
So you might be wondering why the heck does that even matter? Since I suppose all you want to know is how long does it take to get home equity loan. But I assure you, this matters! Home equity loans are great for having that extra inch of financial freedom, whether you need to pay for renovations, student loans or whatever other thing you want, without necessarily destroying your savings account.
How Long Does It Take To Get Home Equity Loan?
Getting into the meat of the article, how long does it take to get home equity loan! Maybe this is a question you ask because you need money immediately, or perhaps you just really need to get a home equity loan. In either case, it will be quite important for you to know how long does it take to get home equity loan!
Truthfully, there really is not any definitive answers to that. Of course, I am not saying it could take anywhere from a second to forever! There is most definitely an estimate of how long it will take. It is just that it might be a bit random, depending on your lender.
And with how my articles go, this is most definitely the time where I will say, “unfortunately, it just really depends on your lender!” Because it really is such a situation, yet again, unfortunately. To be more specific, when you ask how long does it take to get home equity loan, you will be looking at anywhere from a week or two, up to months of waiting time!
Though to be fair, it is still quite a flexible timeframe, this is because the estimated waiting time is also heavily reliant on outside factors such as how well your home was evaluated along with the whole underwriting process.
The Process Of Getting A Home Equity Loan
There are a few key steps to a processing a home equity loan that is the main reason why we would even ask how long does it take to get home equity loans. So here is a very, very quick list on the things you need to do if you want to get yourself a home equity loan.
- Have The Appropriate Qualifications – this is pretty much self-explanatory, though it still highly varies from lender to lender. There are some standard and common qualifications that you need to meet, such as having a minimum of 15-20% equity in the property, having evidence that you are employed and very much capable of paying off loans, low debt-to-income ratio, and a high FICO score.
- Choose A Lender – after meeting the standard qualifications, you must now find yourself the proper lender that fits the bill that you want. They all have different benefits, and you can freely choose, so yeah, do that.
- Submit Your Application – after choosing, quite obviously, you need to get it processed. You can’t just say, “oh, I’ll take this lender,” and immediately have the transaction. You need to submit the appropriate requirements and your application itself.
- Get Your Property Evaluated – remember when I said this was an outside factor for how long does it take to get home equity loan? That is because it is an inevitability for your property, if you want to get a home equity loan.
- Underwriting – this is the official comparison of your financial profile and your home equity loan requirements. This is done by a licensed underwriter, and will ultimately determine whether you can get approval by having your creditworthiness as well as your borrowing history examined.
- Finalization – meet with your lender and other deemed essential parties to finalize your loan, have them sign your paperwork and then your funds will be arranged for disbursement. This usually takes around a week or so to accomplish. So basically, just waiting and waiting.
If you want to know how long does it take to get home equity loans, I am your guy! I am truly very sorry for having been absent for a while, it is just that I am currently busy with senior high school stuff and preparation for college. I will see you all again very soon, thank you for reading Home Air Quality!
Read also: “Identifying What Is A Consumer Loan (2022)”
Frank is a talented SEO writer specializing in finance. With a strong understanding of financial markets and a gift for crafting engaging content, he helps companies in the finance industry improve their online presence.