Increased Demand for California Second Mortgages from Loaning Agents

A report issued by the Homeowners Foundation has indicated that there has been a sharp increase in California second mortgages from places other than banks - such as loaning agents. The demand for California second mortgages has increased by 13% and is now the 3rd most popular request from loaning agents, the report stated. The report was analyzing data which showed the move away from borrowing money from the established institutions like banks and the move towards more informal institutions like loaning agents.

Why Not Ask for California Second Mortgages from a Bank?

The Homeowners Foundation annual report also showed that people prefer to ask for second mortgages from a loaning agent as opposed to a bank for several reasons which included more flexible payment terms, lower interest rates and a more personal solution to their financial problems. The demand for California second mortgages has also increased because prices of home in California have rocketed and it is now a good time to refinance a property investment. California second mortgages were not the only loan requests on the rise - car loans and first mortgage requests have also increased.