5-Things-to-Remember-while-taking-a-Home-Loan
- Home Loan

5 Things to Remember while taking a Home Loan

A house has a sentimental value in the hearts of everyone. Getting a space that you can call as your own is a wish many of us want to fulfill someday. But getting a house in 2018 is not easy. The property prices have risen tenfold since the past decade. Having the funds to own a house is not possible for many. Finally we look for lending options from Banks and NBFC’s. Our task looks simple but it is not. There is a variety of lenders that have attractive offers to lure you into taking the best home loan from them. Researching about such lenders that offer best interest rates on home loans is very important.

After researching about best interest rates being offered by a lender and choosing your dream home, your next task is to apply for a home loan that is best for you. But before you could do so, there are few things you must consider and remember. These points can help you make the right choice;

Down payment of the loan:

It is usual to pay a down payment of 10-15% of the property value. But instead of that, you should increase the down payment value by another 10-15%. The reason being that if you pay more than 25% of the property value, you can get the best home loan interest rate and pay a lower EMI value. Your loan amount will be low which will mean that all your monthly EMI’s will be low.

RERA regulations:

Apart from taking a decision on the down payment, you must also check if the said property in question has no legal issues. Check the builder’s details on the RERA website. This point applies for those people wanting to get the best home loan and are looking to purchase an under construction property.

A strong Credit profile:

When planning to buy a home, it is important to have a good credit profile. This helps you prove your credit worthiness to the Banks/NBFCs. If your credit score is very good, you can negotiate better terms with the lender. Hence please maintain a good credit profile. You can get better rates from different lenders.

Rate of Interest:

The rate of interest is just not a mere percentage. You need to read the words very carefully in your loan application. They might mention terms like “Fixed rate” and “Floating rate”. A fixed rate of interest in a best home loan would mean that you will pay the same EMI amount until the tenure ends. A floating rate of interest, in a best home loan will mean that you will pay fluctuating EMI amounts until the loan tenure ends. Hence be wise while choosing the best lender for your home loan.

Additional benefits:

Isn’t it good to feel that you get more benefits? Everyone likes that. Look for a lender that not only gives you the best interest rates on your home loan but also gives you better terms. These terms can be anything like interest free holiday, having your own relationship manager etc. In the end please find a lender that would make your loan repayment experience hassle free.

Buying a home is a difficult decision to make and hence with Ruloans, you will have nothing to worry. Compare the best loan options of different lenders and accordingly choose your best deal on home loans.

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