Buying your own house fills you with immense pride and satisfaction. Right? However, buying a house is also a huge investment that many cannot afford. This is where home loans play a pivotal role in many people’s lives. Getting a home loan allows you to get necessary financial assistance from financial lenders to fulfill the dream of owning a house. Apart from a sense of accomplishment, a home ends up becoming a major aspect of your investment portfolio.
Home Loan for Residents of India
A resident of India can get a home loan from 1 lakh INR to 20 lakhs INR. Typically, financial lenders offer up to 85% of the overall property cost. Moreover, for property valued between Rs.20 lakhs and Rs.75 lakhs, the loan to property ratio is generally kept at 80%.
And, for property beyond Rs.75 lakhs, the lenders can grant up to 75% of the overall costs. Borrowers can pay back their loan amount comfortably in Equated Monthly Instalments. Additionally, salaried individuals can have 30 years of the maximum loan tenure
You can use the home loan calculator to determine the amount of loan you can acquire based on certain information. For a residential plot, one can acquire a loan of around 75% of the overall value of the plot with 15 years of maximum tenure.
Home Loan NRIs as well as PIOs
Similar to Indian residents, Persons of Indian Origin and NRIs (non-residential Indians) can acquire a home loan for a minimum of Rs.1 lakh. The loan to property ratio for NRIs and PIOs is similar to the Indian residents, but the loan term is shorter. Applicants holding a professional qualification can have loans with 20 years of period. Other people can get a home loan for 15 years.
Home Loan for Pensioners
Age is not a restriction to not apply for a home loan. Even retired individuals who have a stable pension can acquire a home loan. Prior to retirement, an individual who is above the age of 50 years can apply for a housing loan.
To acquire a loan, a minimum of 30% of the overall loam needs to be paid out to the benefits of retirement. The rest of the amount can be repaid from the income derived from the pension. Term of the loan in this category lasts for 15 years or until he or she turns 70 (whichever arrives first).
Home Loan for Women
Contrary to men, women get a home loan with a lower rate of interest. A woman requires to be either an applicant or a co-applicant to leverage the benefits. A home loan provides great assistance to people who want to buy their own house. Financial lenders come up with distinctive offerings that are designed to complement different financial requirements. In fact, today, you can apply for home loans online and get your application approved without any hassle. Make sure you evaluate the terms and conditions of different home loans and choose the best offering for yourself. Being informed about different aspects of home loan helps you to make a decision that provides long-term benefits.