Six things to remember before taking a Home Loan
Owning a house near or at the heart of the city can be an expensive affair. But you can easily turn such a dream into reality by taking a home loan. After choosing the property that you want to buy, you need to approach a lender and request for a loan.
Even though taking a home loan might seem to be a tedious task, in reality it isn’t. All you need to do, is clear a few queries from the lender and opt for the home loan. All you need to keep in mind is:
- Affordability- Always check whether the EMIs and down payment are within the budget you have, i.e. whether you can afford them or not.
- Interest Rates- Any good home loan guide will tell you that you should compare interest rates being offered by multiple lenders in order to get the best deal for yourself.
- Selecting the best lender- Compare and assess several lenders on the basis of terms and conditions and which suits you best.
- Loan Tenor- When it comes to understanding home loans in India, keep in mind that the loan tenor is of prime importance. A longer tenor may equate to lower EMIs but higher interest costs overall. A shorter tenor may lead to higher EMIs but you will pay lesser interest on your loan.
- Credit Score- Your CIBIL score should be at least 750 and above in order to impress lenders. The credit score is evaluated by every lender before approving your loan application.
- Read the Agreement Carefully- Always read the loan agreement and other terms and conditions carefully in order to avoid any issues later on.
You can consider a Bajaj Finserv home loan which comes with several advantages like competitive interest rates, online approvals within 5 minutes, fund disbursal within 72 hours after verification, 3 EMI Holiday and top-up loans over and above your home loan amount.