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LendingTree Review

Wednesday, May 18th

2022 Home Equity Loan Reviews

LendingTree Review 3.5 Star Rating


3.5 Star Rating

LendingTree is a service that matches you with home equity loan offers from their network of vetted lending partners. If you like the idea of comparison shopping for the best rates and terms, this site could be the right place to start. In fact, some of the other companies in our review may even come up in your LendingTree results list!

Choose Your Lender

Before you get started with this referral service, there are a few things you should know. First, because LendingTree doesn't actually fund your loan, you'll still have to take the extra steps of choosing a lender, completing their application process, and so forth. It's great that you'll receive multiple offers from companies competing for your business, and you can save some time and hassle by using this platform to get several offers with one inquiry. Just don't forget to factor in the time you'll need to invest in learning about the lender you select.

Share Your Information

Next, since LendingTree shares your information with lenders in their partner network in order to provide you with competitive offers, that means other companies will receive your contact information. We found complaints from more than a few people who said that using LendingTree resulted in a considerable amount of unsolicited calls and messages.

Best Home Equity Loans

Compare The Offers Carefully

Finally, this company discloses that the offers you'll get aren't necessarily the five best for you. LendingTree is compensated by their partners, and that financial relationship "may impact how and where products appear". That doesn't mean you won't get fantastic competing offers from trustworthy lenders here. In fact, you can actually see what other LendingTree users have said about each one, from the application process all the way through to the home equity loan servicing afterwards. Just make sure you do your homework and read all of the fine print on the rates and terms offered by the lending partner you ultimately choose.

Good Reputation With Some Minor Complaints

The Better Business Bureau gives LendingTree an "A+" rating and accreditation, making them a reputable option for your home equity loan search. While there are more than 200 complaints registered with the BBB, the majority of them are related to the unsolicited texts, calls and emails we mentioned earlier. Few people have anything negative to say about using LendingTree to get a great loan.

Great For Convenience, Just Do Your Homework

LendingTree is a good choice if you'd like to see several options for your home equity loan, especially from smaller lenders you might not hear of otherwise. The numerous issues people have with unwanted messages keep this service from ranking higher in our evaluation, but it's still a useful site for finding multiple home equity loans with one online application.

The 5 Best Home Equity Loans

Where Can You Go to Find the Best Home Equity Loans?

With interest rates at historic lows, it's a fantastic time to borrow money: to pay off credit card debt, invest in your child's education, make home improvements, or splurge on that big-ticket item you've always wanted.

There are two ways to take out a home equity loan: as a cash-out refinance of your current mortgage or as a standalone second loan. Depending on your circumstances - how much equity you have in your home, the terms of your current mortgage, credit score, and so on - you may find that one approach works better than the other.

The Best Home Equity Loans Compare Home Equity Loans Compare Home Equity Loan Reviews What are the best Home Equity Loans Best Home Equity Loan Reviews

Home Equity Loan FAQ

A home equity loan is basically a second mortgage. You borrow against the amount of money you have already paid into your residence (as opposed to how much is still owed to the mortgage lender, if any). For example, if you purchased your home for $300,000 and you still owe $200,000, you have $100,000 in equity. Your loan would be based on that $100,000 you have already paid off on your home. (This also assumes that your house is still worth the $300,000 you paid at the time of purchase.)
A home equity loan usually has a fixed interest rate and monthly payment, and you get the entire amount of the loan upfront as a lump sum. A HELOC, or home equity line of credit, lets you take out money as needed up to a predetermined credit limit. However, HELOCs almost always have variable interest rates, so you could be paying more in interest depending on when you withdraw the funds.
You'll likely get lower interest rates with a home equity loan compared with a personal loan - because you're essentially taking out a loan from money you've already paid into your home. Credit card interest rates are not only extremely high, but your credit limit might also prevent you from getting as much money as you need.
Most lenders require you to have at least 15-20% equity in your home. In other words, if your home is worth $400,000, you need to owe less than $320,000 to $340,000 in order to qualify for a home equity loan. Keep in mind that these calculations are based on the current appraised value of your property, not the purchase price.
It's possible that you could face foreclosure if you don't repay your home equity loan. If you're having trouble making payments, it's a good idea to reach out to the lender and ask for a payment arrangement. Being proactive can make a huge difference and may save you from foreclosure.
That depends on the loan terms. Some home equity loans have no prepayment penalty, while others assess early termination fees: usually a percentage of the remaining balance or a certain number of months of interest. If you think there's any possibility that you'll pay off your balance before the end of the loan term, be sure to choose a lender that offers home equity loans without prepayment penalties.
This is another case of "it depends" . First, tax laws can change from year to year, impacting whether or not you can deduct the interest paid on your home equity loan. In the past, the IRS has only allowed deductions when the home equity funds are used to "buy, build, or substantially improve" the home that secured the loan. Check with your tax professional for more information.
Yes. As long as you choose a reputable lender, there's no reason you can't safely and quickly apply for your home equity loan online. It can definitely save you some time and hassle, since there's no need to go into a brick-and-mortar location to fill out paperwork.
Compare the Best Reviews

Continued from above...

Shopping around for the best rates on your home equity loan is a wise idea - don't just go to your current lender and assume they'll give you the lowest interest rate or best terms! It's worth your time to consider multiple lenders; even a difference of a few tenths of a percent can save you thousands of dollars in the long run, and some companies will reduce their fees or eliminate them completely just to earn your business.

Fortunately, the internet makes it effortless to compare your options with just a few clicks of the mouse. Many lenders provide their rates upfront, so you'll know if they're worth considering before you even begin an application; others may do a "soft pull" on your credit history, so that they can offer personalized rates based on your specific situation. Plus, some lending platforms give you the ability to compare offers from multiple banks with a single online form, saving you time while connecting you with the best rates on the market.

As you decide which provider to use for your home equity loan, there are several factors that can guide your choice:

  • Transparency. How easy is it to see the current interest rates for home equity loans? Does the company disclose all of the fees involved with applying for a loan? Can you access this information without a soft credit check?
  • Ease of Use. Do you have to jump through a lot of hoops to get rates tailored to your needs and credit history? How complicated is the application? Can you complete the entire process online, or will you have to speak with a representative?
  • Reputation. What do other clients have to say about their experience with the lender? Does the company have a favorable rating with the Better Business Bureau?

TopConsumerReviews.com has reviewed and ranked the top options for home equity loans available today. We hope this information helps you get the money you need to pay down debt, start your home improvement project, or invest in a new business - the possibilities are limitless!

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