Read here about what we're doing to assist our customers during COVID-19
We search wider than the high street to find the most suitable loan product for you
Find loan products that let you borrow against the value of your home, up to a set percentage
Homeowner loans may offer lower interest rates than unsecured loans
Get offers based on your unique circumstances for a better range of choice
Searching for a homeowner loan through Norton Finance won’t affect your credit score
Alternatively, call FREE on 0800 694 5566 Open 24 hours a day.
A homeowner loan is a type of credit secured against the value of your property. You can use the value of your home as a guarantee you’ll be able to repay a loan by putting up your property as an asset, which can lower the interest rate you’re offered.
Unlike other loan products, a homeowner loan uses the value of your property to determine how much you can borrow, up to a set percentage of its value. The amount you borrow is secured against the value of your home. You’ll then pay off the loan each month over an agreed timeframe.
Applying for a homeowner loan can give you access to finance with more favourable terms. Because they use the value of your home as a guarantee, lenders will often give you access to lower interest rates and higher loan values than with unsecured loans.
It means you may be offered lower interest rates and more choice over the duration of your loan, giving you a more manageable monthly repayment.
Although putting your home up as security for a loan tends to increase your chances of landing better terms, this can be a huge decision that requires a big commitment and careful consideration.
If you fail to meet the repayments, your home may be used to recover the outstanding debt by lenders, so it’s vital you ensure you can afford the repayments before you apply for a homeowner loan.
Before you take out a homeowner loan, there are a number of things to consider to ensure it’s the right option for you.
Before you apply, you should be confident that you can manage monthly repayments. It’s especially important with loans for homeowners, considering you’re putting up your property as a form of security.
Think about your typical monthly income and outgoings. If your circumstances were to change, could you still afford the repayments? A secured homeowner loan may have a long repayment period, so you want to be sure you can afford your payments before you commit.
If you own all or part of your own home, you could be eligible for a homeowner loan. Even if you’re applying with poor credit or CCJs, or are self-employed or retired, we can help find the right loan for you. Read our guide to loan eligibility to find out more.
First things first, you’ll need to decide how much you wish to borrow and for how long. You can use our homeowner loans calculator to see what your repayments may look like. You can then begin your application online.
As well as your most recent mortgage statement, it’s best to make sure you have all the following details to hand:
SECURED LOANS - Rates start at 2.99% variable. Our range of products offers rates up to 65.2%, meaning we have the ability to help you find a loan that meets your personal needs and circumstances.
Representative example: Borrow £10,000 over 10 years at an Annual Interest Rate of 5.14% (variable) and you would make 120 payments of £122.71 per month.
The total amount repayable will be £14,725.20. This total includes a lender fee of £495 and a broker fee of £1,000, which have been added to the loan. Overall cost for comparison is 8.6% APRC representative. Maximum APR is 65.2%.
If you’re thinking about applying for a loan, you’ll probably have a few questions. We’ve answered some of the most common below.
Yes, you can move house while still paying off a homeowner loan. However, you’ll most likely need to pay off the outstanding loan balance. Some lenders may allow you to transfer the loan to your new property.
The maximum amount you can borrow against your home will depend on the amount of equity you hold in the house. This is determined by your home’s value and the percentage of that value the lender is willing to accept, plus any existing mortgage balance on your property. See our guide to things to consider before you apply.
How long will it take?
Once you apply for a loan, you’ll usually receive a decision in principle within 24 hours. The loan should then be finalised within about two weeks of applying.
How long are the repayment terms?
Repayment terms are flexible. We offer short term loans for homeowners which start from as little as one year, as well as long-term products which can last 30 years. The most important thing is that you’re comfortable with the time period.
What are the interest rates?
While homeowner loan rates can be as low as 2.99%, the rate you secure will depend on your history of personal finances, the value of your home and your current circumstances.
Do Norton Finance charge any loan fees?
We’re a broker, not a bank, so we make a full homeowner loan comparison search across lenders’ products to see how they stack up. Once a loan is secured, we take a commission payment from the lender and may also charge a broker fee. This is calculated at up to 12.5% of the loan itself, capped at £3,995. If a loan is unsecured, we won’t charge a broker fee.
A homeowner loan from Norton Finance can be used for a wide variety of purposes, including:
There are two main types of loan – secured and unsecured. Get to know the differences between both, ...
How much are homeowners spending in their first year to put their stamp on their property?
With house prices once again on the rise, and new properties becoming increasingly scarce, more peop...
