We all dream of a nice, pleasant and comfortable home so that, when we get there, we can say “home, sweet home”. Having the house of your dreams is a matter of making the right reforms and decorating it with the key pieces. However, how much does it cost to decorate a house?
Because the answer to how much it costs to decorate a house includes very different prices depending on the magnitude of the remodeling and, in general, a fairly high average that not all pockets can finance at once, there are bank loans to help us make Reality our dreams.
Requirements to obtain a loan
Before discussing carefully the conditions and characteristics of the loan, it is important to know the requirements that must be met to request it. Well, throwing yourself into the decoration without meeting the circumstances to be able to finance it would be like starting the house on the roof. The general requirements that requests for projects such as renovating and decorating a house are the following:
- Income stability : it is one of the first things that the bank will study to determine if the loan applicant is valid or not. The way to know if someone has stability in their income is by evaluating their payroll, pension or the required documentation to freelancers. For example, if the person has been working in the same company for a while, has an indefinite contract and a stable salary, a large part will be earned to be granted the loan.
- Capacity to pay : this requirement refers to the amount of salary that the loan applicant receives monthly and the ability to meet the payment obligations of a loan. It is important to distinguish this point from the previous one, since it is not the same to receive a payroll every month and that payroll is sufficient. That is, the bank here assesses whether the potential borrower, after paying the monthly amount of the loan, will have enough income to live, which is called: cash balance.
- Guarantees : the bank is likely to request a guarantee or guarantee that responds in case of non-payment. It would also fall within the guarantees to ask the client to take out payment protection insurance, so that the bank ensures the collection of the borrowed amount by transferring the risk to the insurance company.