In India, you don’t purchase a home; you fulfil your dream of having a dream home of your choice. But, not all are able to fulfil their aspiration of having an own nest primarily because of lack of funds.
Some people who are able to fulfil their dream save all their lives and are able to get a home in their retirement stage which means they are unable to enjoy fully. However, modern finances have made it possible to buy a home while you are still young.
Home Loan has made it easy to avail a quick and hassle-free fund to make way for your purchase of dream home.
The Housing Loan interest rates have gone down, and now you can avail a Home Loan at just 8.35% with a leading non-banking finance company (NBFC).
Although the Home Loan interest rates are lesser, you need to keep some things in mind to help you get the best Home Loan to suit your needs. Let’s have a look!
- Housing Loan interest rates
The first thing that you should consider if you have a House Loan in mind is the interest rate. You could see many lenders asking you to pay a higher Home Loan interest rate. Yes, some may ask for as high as 9-12%, so you should always assess how much you can afford, compare all offers on a third-party website and get a good deal. NBFCs are offering around 8.35% Housing Loan interest rates these days, making it affordable for you to avail.
- Your credit score
Among the many Home Loan eligibility criterion, having a strong CIBIL or credit score comes first as that’s what determines your creditworthiness. Thus, always try to maintain a better CIBIL score to get an affordable Home Loan with low interest rates.
- Loan tenor
Most of the banks and NBFCs offer a Housing Loan up to 30 years tenor. Go for service providers offering you with the longest tenor. Why? It will help your Home Loan eligibility to improve as you will get to pay lowered EMIs. Use the Housing Loan EMI calculator to know how much EMIs you will be exactly paying for availing a Housing Loan.
- Processing fees and additional charges
Although some financial institutes offer you a Housing Loan at a lower rate of interest, they charge you a higher processing fee along with other additional charges. The bundling of these charges makes your Housing Loan expensive on the whole.
Thus, before subscribing to a Housing Loan deal, it should be your duty to get all required information regarding processing fees, any hidden additional charges and more.
- Processing time for loans
Some financial companies take too long a time to process and approve your Housing Loan application, let alone the money disbursement to your bank account. Hence, apply to only such lenders who approve your application online instantly and disburse the money in one or two days.
The Bottom Line
Availing a Housing Loan is easy these days to help you buy your dream home. However, if you could take the discussed factors in mind, it will help you make your loan affordable and not a burden. Happy Home Loan application!