Home Loan Tips :There are many things to keep in mind before taking a home loan. Before taking a home loan, it is necessary to observe many things carefully. No matter how low the interest rate is offered to you.
Home Loan Tips in 2022 :
Rate of Interest:
It is easy to get impressed by the interest rate. Most lenders do most of the work by pressing you to offer interest. Although this outward appearance may be deceptive because many times in such offers, the rate is revised again and again and increased, and there are many hidden charges, that make you disappointed. It is important to understand whether the interest rate is floating or fixed. If it is floating, then it is important to see the benchmark value. A floating rate means that interest will fluctuate depending upon the market. Fixed-rate means it will never change even if there is a change in the market.
Loan amount and Documentation:
The bank needs a few documents for the sanction of a home loan. We have separated it into two types for better understanding.
The first one is all legal documents of the property and the second is personal documents. You have to keep your documents up to date. So banks can able to provide you loan easily. Documents are very necessary for the sanction of a loan. Loan amount fixed by the bank on basis of monthly salary. Bank will give a 50% loan from your monthly gross income. Suppose your monthly income is 50,000/- bank will easily provide you a 25lakh of home loan for 20-25years.
Also Read : LIC HFL Loan Interest rate in 2022
How to save more money :
As per the guidelines, borrowers have to pay a down payment of 20% of the property cost. Suppose your property cost is 25lakh you have to pay 5lakh down payment and rest amount bank will provide you a home loan. But here you can save more money by paying more down payment and taking a small amount of home loan where you can save a lot of money in the form of interest.
Read all documents carefully :
The bank and the finance company will give you a lot of documents for your signature before sanction and disbursement of the loan amount. It is difficult to read all documents but to read as much as possible. Carefully read those letters written in very small letters this might be written against you.
Take Joint Home Loan :
There is a benefit in taking a joint home loan. When co-applicant added with the applicant the sanction of the loan amount increased because lenders while sanctioning a loan look at all income of both applicant and co-applicant. If the property is in the name of ladies and this lady is an applicant then some banks decrease the rate of interest 0.5% to 1%. Except for these benefits, some states also provide 1% less registration cost if the property owner is a lady.
