Most people in India work hard with their jobs in public or private sector jobs, run businesses efficiently for their livelihood, pursue their dreams and succeed in life. Of all the dreams, owning a house is the biggest dream of time. There are various ways of financing house but they prove costly affair in terms of interest rates, repayment and time to repay them. One of the most preferred ways is opting for housing finance from leading banks or finance companies in India. Housing finance sector is a boom with consistently rising population opting for finances to bridge up the cost of their house property, construction, renovation and more. The sector is segregated in two primary sections such as government & private banks and housing finance companies in India.
These finances facilitate the ownership of your dream home. You can visit online and search for high and low for the best home loan deals in India or grab the first offer that come your way. Once you take the loan you will need to repay home loan EMIs consistently. That's the most important factor for a borrower as well as a lender. In entire home loan process, home loan eligibility criteria is important as it decide the right amount you get qualified for.
Here are few tips to simplify housing finances for you:
Housing loan EMI is at the crux of entire repayment strategy. You will need to finalize an Emi that you can afford. If you’re young and single you can afford to contribute more towards your EMI and clear off the debt at the earliest. But, a married couple may have higher expenses. Borrower must ensure that EMI is lower than 30% of active monthly income through the house loan tenure.
There is several flexible repayments option for home loan in India. They allow you to start as per your affordability and adjust the rest of the funds accordingly. Although, housing finance companies cannot stop you from buying an expensive property, however, it is an individual choice after all. Buying a property with the high interest rate might be a risker options. Because if you’re unable to pay the debt on time, your property is likely to get seized by the bank. So, you must ensure that housing loan agreement is an economical and a profitable one. Else, you will have to pay a huge amount as interest over the long period of time. It can burn a big hole in your pockets.
It is extremely important that you have a good credit score rating to avail any form of loan. Before, lending out the loan, banks have a background check of your credit history through a Credit Information Company like CIBIL (Credit Information Bureau India Ltd.) and go through your repayment track record. You can always visit the government recognized site for www.cibil.com and get your credit report. The errors in your credit report can reduce your chances of getting a good home loan India offer. It is accessed by the bank’s credit department after you apply for the housing loan for inputs on your credit history.
In this Internet based era, you no longer have to visit banks or financial companies, fill-up lengthy forms, submit forms with relevant documents and wait for months to check if your loans have been approved or not. Your loan application is done at the touch of your button right from home or offices. You can visit comparison sites to compare loans with the best of the interest rates, low processing fees, EMIs and flexible repayment option. Most banks and financial companies have taken a step ahead and have introduced mobile apps via which you can not only check your home loan eligibility, but can also make EMI payments, track your outstanding balance or check the interest rate applicable on your home loans.