What is the process to choose a home loan in your city?

By -
home loan


Applying for home loan has never been easier, which you have estimated for your plot purchase & house construction .For taking home loans you have to do a lot of hard work .So we are covering here some points which will be helpful for you to choose the best home loan.



Guide for home loan:-
The people who are buying home loan for them this article will help to guide to choose the best home loan.


home loan guide


Making List of financial institutions:- Make a list of banks or financial institutions which have a branch in your city from where you can apply for home loans & easily repayment. You can search through online to know some of the details. But again you have to visit bank because loan requirement is always different for different person.


List of different banks


Search for details:-Then approach different banks and financial institutions to know their details of providing home loans. for this different banks have different schemes .Ask them for what is the amount of loan they can give you for your home construction. Generally it is 80-85% of the total construction expenditure. Another thing is important for you to know are EMI & interest rate. Also check the administrative & processing charges too. And also enquire about fixed & floating interest rates.

Eligibility:-TO get your home loan there are certain eligibility criteria .The eligibility to get a home loan mostly depends upon your credit score, your repayment capacity.

Credit score:-A credit score is a numerical expression based on a level analysis of a credit file, to represent the creditworthiness of an individual. Lenders use credit scores to determine who qualifies for a loan, at what interest rate, and what credit limits. Generally the credit score lies between 300-900 & higher the score a person is considered to be more financially trustworthy. If the credit score lies between 350-650. However a credit score more than 700 is considered as good .The more the credit score you will be more eligible to get your home loan. The factor that determine the credit score are Payment history which accounts for 35% weightage of credit score, length of credit history accounts for 15%,new account weights for 10%,account owed weights 30%,Types of credit in use weights for 10% of the total credit score.

credit score

Repayment period:-Decide your repayment period for your home loan. Generally longer the repayment period smaller will be the EMI. Remember that EMI should not exceed 50% of household income.

loan amortization
Then shortlist the banks:- Then shortlist the banks by looking their loan policy, which includes the amount up to which they can give loan, their EMI structure ,their interest rate, other terms and conditions regarding repayment of loan & loan sanction.

However choosing banks is not only helpful for you to get a home loan, you must be prepared to get a home loan by previously calculating the credit score.

After shortlisting ask the banks for the documents required to apply for home loan. And after applying check your status whether your home loan is sanctioned or not.
When you are sanctioned with a home loan you are also eligible for a tax rebate. So check out the tax concession you are eligible for, according to your sanctioned amount of loan.

 Here we have given you a idea regarding what is the process to choose a home loan .So share your experience in choosing home loans in comment box.

Comments

  1. StarloansMarch 19, 2020 at 8:35 PM

    Now a days our govt. are providing home loan and there are some other companies also who provide loan services. as we also provide secured homeowner loans UK at affordable prices. for more info visit our website.

    ReplyDelete
  2. SMART TOWKAY PTE. LTD.November 6, 2020 at 9:11 PM

    I have seen some posts on this website and I think that your blog is very interesting and has lots of excellent information. we provide loan broker Singapore at affordable interest rate. to know more visit our website.

    ReplyDelete
  3. Ellast EvesonApril 15, 2021 at 1:42 AM

    This comment has been removed by the author.

    ReplyDelete
  4. Canadian Approval CenterJuly 15, 2021 at 4:44 AM

    I admire this article for the well-researched content and excellent wording. I got so involved in this material that I couldn’t stop reading. I am impressed with your work and skill. Thank you so much.Credit Approval Winnipeg Loan Site

    ReplyDelete

Post a Comment

Popular posts from this blog

Advantages and Disadvantages Porotherm Brick and it's applications.

By -
Image
Like every other industry, the construction industry is growing with the development of technology. Porotherm clay brick is one of them. Porotherm bricks are new-age bricks which advancing the building construction Industry. Basically, porotherm clay bricks are perforated bricks either horizontally or vertically. They are performing better than normal clay bricks. Previously people are very much sceptical about using or trying new items. But now people are eager to try new material which will benefit them in terms of strength and thermal Insulation. It is sustainable as it is made up of clay. Advantages of porotherm brick:-   One very important component of building construction is the wall which constitutes a half area of it. So it is most important the bricks used in the wall should be of good quality.   The temperature of the rooms of the house depends upon the material used in the construction. If we are using red bricks they will have a different impact su
Read more

Kota Stone Flooring : Advantages and Disadvantages

By -
Image
Kota Stone  is a fine-grained variety of limestone ,  found at Kota. It is a district of Rajasthan. It is available in different colours, shapes, sizes. The greenish-blue and brown colours of this stone contribute to its popularity. Such as brown, grey, black etc. It is very much used in India especially in Govt. Buildings. It’s hardness, non-porous, shine feature makes it popular to use as flooring. It does not have the finish like marble and tile but still, it provides shine. It is available in both polished and non-polished form. Also, it can be used indoors and outdoors. IT is great for pathways, driveways, commercial buildings. Characteristics of Kota stone flooring:- Kota stone flooring is very hard, non-porous, non-slippery stone. Also, it is a natural stone. As it is made up of calcium carbonate not resistant to acid. Advantages of Kota stone flooring:- Strong:-  In outdoor we need strong floors. For car ways, driveways where w
Read more

CONSTRUCTING YOUR HOUSE? – 10 SIMPLE TRICKs TO FINALIZE YOUR CONTRACTOR.

By -
Image
  . It often happens like this that you are planning to construct your house and one of your relatives comes in and tells you that Mr. XYZ is a known contractor of mine, you can give him your work and get your work done. From that date, till you start your construction work, you never ever try to find a contractor or do some research on the internet. It’s no brainer that you have given the work based on the relations, so by default you trust him. But nowhere is it written that he will complete the construction project with flying colors. It’s quite obvious in our Indian customs, where relatives are kept as the top priority. Again where is it written that if your relative’s contractor will fail, then will he come for your financial rescue? I guess you know the answer very well. So don’t take chances and rather go for a systematic approach. Via this process, you won’t be affected rather remain in the peace of mind. You need to consider these mentioned points while deciding a Contractor
Read more