Does your house need a makeover? You wish to enlarge? Yes, but renovation work, just like remodelling, often has a significant cost. To make your project a reality, opt for a construction loan!
Loan Financial accompanies you, advises you and offers you a cheap works loan, which you can take out online in just a few minutes. Focus on this type of personal loan!
What is a work credit?
The work loan is a type of personal loan that can be used for the completion of the work, i.e. it can only be used for the completion of the work. This borrowing solution is more and more popular with households who wish to embellish or renovate their home. All the more so since it applies to a principal residence as well as to a rental or secondary residence. Granted by a bank or credit institution, the credit works belongs to the category of consumer credit.
The credit works allows the borrower to finance works of any nature whatsoever. It can be for example :
– Maintenance work (roof, pipes, garden, car park, electricity…) ; – Development work (attic, kitchen, veranda, bathroom, etc.); – Extension work (extension by means of a veranda, raising the house, fitting out the attic, etc.) ; – Decoration work (painting, plastering, wallpapering…); – Energy renovation work (attic insulation, replacement of windows, improvement of the heating system…).
Good to know: the aid to which you are entitled
To save on your work, there is no shortage of aids and devices: tax credit for energy transition (CITE), 5.5% VAT, zero-rate eco-loan (or eco-PTZ), energy voucher, “prime coup de pouce”, property tax exemption, aids from the “Habiter mieux” programme of the National Housing Agency (ANAH)… Find out what you are entitled to!
Construction loan: a well-considered need for financing
Everyone has an idea for work, expansion or renovation at home long before it is carried out. Indeed, it takes time to canvass construction companies, to ask for an estimate, to have the necessary funds and to finally carry out the project. Asking for a loan for home work is only part of a long process that begins long in advance.
The importance of comparing offers
Whether they come from a credit institution or a bank, the offers in terms of works credit are very broad. However, each lender has its own rates, and these can vary from simple to triple, or even quadruple in some cases. Before taking out a works loan, it is therefore strongly recommended to compare several offers.
To do this, refer not only to the APR (annual percentage rate of charge) proposed by the lender (it includes the various costs, including any handling fees), but also to the repayment period and the total amount of the loan.
Is it worth insuring?
Although not compulsory, the insurance contract in the context of a construction loan nevertheless has the advantage of covering the borrower and his family in the event of a payment incident (death, disability, loss of employment, etc.). In concrete terms, the repayment of the loan is covered by the insurance company. It is therefore in your interest to weigh up the pros and cons, particularly according to your situation (financial, professional…) and the amount of the loan.
Note that you are under no obligation to take out an insurance policy with the bank or credit institution that grants you the loan. Again, it’s best to compare offers. Because from one bank to another, the amount of the insurance premium is very variable and can ultimately influence the repayment period of the loan and therefore its total cost.
In order to finance its work, there are other solutions than the works credit
The estimates of work are expensive and justify the recourse to a loan real estate work. You can benefit from aid or financing contributions such as the interest-free loan or the tax credit, which are triggered under certain conditions (see our guides on this subject). It is also possible for you :
– Take out a home improvement loan from your family allowance fund (CAF): limited to 1,067.14 euros, repayable in a maximum of 36 monthly instalments, with an interest rate of 1%. You must, however, be a beneficiary of a family benefit and wish to undertake repair, improvement, sanitation or thermal insulation work in your main residence in order to be eligible. – To finance all or part of your work using your home savings plan (PEL): the savings phase must be at least 4 years, and the property concerned must be used as your main residence.
To directly finance the work of your dreams, the works loan is a solution. Before applying for a construction loan, calculate your borrowing capacity, or more simply, make your simulation at the top of this page!
Construction loans: why choose Loan Financial?
Loan Financial is revolutionizing the consumer loan market. To finance all your construction projects, we offer you a new type of loan: loans are in fact financed directly by our community of investors (individuals, but also legal entities: companies, pension funds, insurers, foundations, etc.). Furthermore, Loan Financial has its own Credit Institution approval issued by the ACPR (Autorité de Contrôle Prudentiel et Résolution), allowing us to offer an alternative to the loan offers of traditional credit companies. Loan Financial has already granted more than 150,000 loans in Europe, for a total amount of more than 1 billion euros.
The advantages of Crédit Travaux at Financial
When it comes to credit, Loan Financial makes your life easier! Today it is one of the only loan platforms for individuals to offer a 100% online credit application, from simulation to the electronic signature of the contract, including the digital transmission of documents.
What’s more, the speed and simplicity of our platform now allows you to borrow from 1,000 to 50,000 euros in less than 24 hours*, in complete security, thanks to the protection of all data on the platform.
Construction loans at Loan Financial: how does it work?
To make your credit application, you just have to make a simulation directly on our platform, choosing the type of credit, the amount and the maturity you wish to obtain. Then, you will have to fill in the various information we will ask you for. At the end of this simulation, you will receive an answer in principle.
Then it’s very simple: just sign your contract electronically and upload your supporting documents to the dedicated portal, either from your computer or by taking a photo of them with your smartphone.
As soon as we receive your complete application for a construction loan, we will be able to give you a definitive answer within 24 hours*. Once you have received your final financing agreement, we will send you the funds in record time.
Finally, to put in place the most suitable works financing solution, take the time to accurately estimate the total amount of your works, whether they are related to renovating your home, fitting it out, or improving your home. Once you have done so, don’t hesitate to simulate your works credit using the free online tool Loan Financial. A few clicks will give you a precise idea of the cost of your personal loan!
The three key points to remember about the work credit:
– It is a so-called restricted consumer loan, intended to finance a principal, secondary or rental residence. – It concerns all types of real estate work. – Numerous aids can be granted in order to reduce the cost.