Go Back To Search Results Question is there anywhere i can get a home equity loan with bad credit? my boyfriend and i have bad credit but we own a $85,000 home with no mortgage. the house is paid for. we were looking into getting a home equity loan to pay some back bills off and do home improvements. is there anywhere that we could get a loan even with bad credit? By jmpoct03 Posted on 07/18/08 Total Answers 5 Answers- You will probably have to get a regular mortgage & not a home equity line. There are still some lenders that will do this, but your interest will be anywhere from 9.95% - 16.85%. You will probably be able to borrow less than 50% of the value of the home. I am a broker in MI , MN & IN. Email me if I can help. Answer by : Biggie @ Arbor Mortgage On Date 2008-07-18 06:49:08 You can get a new mortgage, the rate and terms depend on the severity of your credit derogs. Oh, and what state you are located in. I've been a mortgage broker for 25 years and one thing I know for sure - enough equity cures all credit problems. Let me know if you need any help. Answer by : Tony D On Date 2008-07-18 06:59:10 Then why do you want to put the house at risk by using it as an ATM machine? You DO NOT save any money paying off bills with the house...all you do is take unsecured debt and turn it into secured debt. Having a free and clear home is one of the most important assets a person can have. Please work an extra job or something to save up money for what you want to spend money on. I would highly, highly recommend that you not go that route, especially when you aren't even married...b/c marriage gives you LEGAL protections that you simply do not have, when you are living together. Answer by : Expert Realtor On Date 2008-07-18 07:05:37 There's not enough information to really be able to say. How bad is bad credit? What kind of income do you have? How long have you worked at your jobs? As for using your home as an ATM, there are pros and cons on this. It makes sense to get the money for home improvements this way, but please remember that home improvements do not always increase the value of your home, and seldom do they increase the value dollar for dollar. There's also -- how do I say this? -- there's the value to yourselves for meeting your obligations. Those old bills reflect some agreement you made with someone who loaned you money. Paying those bills is the right thing to do. If those old bills are the reason your credit is bad, or if making payments causes you to live off credit cards, yes, get an equity loan to pay them off. Then stop using them, and make the biggest principal reduction payment possible to pay off the mortgage. There may be some tax benefits to doing this too because the interest on the heloan may be deductible but credit card interest isn't. Call your bank and ask them what they think. If your credit scores are under 650, you'll probably pay more for a loan, under 620 you may not be able to get one at all. Answer by : daeve930 On Date 2008-07-18 07:17:43 It seems that you feel really screwed up of this problem. Hope you may found useful here.http://home-mortgage.online-tips4u.info/free-home-loan.htm Answer by : AMY G On Date 2008-07-18 13:21:20   Go Back To Search Results