Home Loan In India How to choose A Best Lender
Posted by rupee on Friday, March 22, 2013 Under: Home Loans
Getting a hand on home loan or housing finance in India is not a difficult task provided that borrowers follow underlying terms and conditions of a lender properly. Although the entire loan sanctioning procedures consumes too much time, still there is a huge popularity of such loan in India among potential customers.
Getting home loan involves fulfilment of documentation and eligibility criteria of different banks in the country such as hdfc, icici, sbi and PNB. Almost all the banks have similar and identical documentation, except some minor changes. This requires any borrower search extensively to choose a lender with affordable housing loan offers.
Before choosing a lender, ensure that it maintains absolute transparency regarding terms and conditions and other hidden charges applicable on the acquisition of housing finance. In other words, the prospective lender should maintain clarity in its loan so that there is no discrepancy between what bank offers and what you avail. In addition, most borrowers tend to make an advance payment over their outstanding housing finance. The concerned bank applies some charges over such prepayment.
Here, you should opt for a bank with zero prepayment charge on home loan. More so, a customer is charged processing fees thus requiring him/her consider choosing a bank that offers housing loan at zero percent processing charge. Alternatively, you should choose a lender with lowest interest rate on housing finance.
Generally, home loan in India is available on either of floating or fixed interest rate. Floating interest rate tends to be changeable according to fluctuating tendency of financial market. Hence, home finance on this interest rate is risky as it might hike or slump premium outgo followed by fluctuation in home loan rate in financial market.
On the other hand, fixed interest rate remains stagnant for certain years and hence it doesn’t affect premium outgo despite change in the rate of housing loan in the stock market. Hence, choose your option wisely as both interest rates have their respective pros and cons. Other than considering interest rate, you should also consider credibility of a bank.
Credibility of a bank matters most to ensure you get a best deal in terms of lower interest rate, ample loan with extended tenure and flexible repayment option. Just as a bank scrutinises a borrower’s credibility, you should also scrutinise credibility of a bank by taking into account its various features of housing loan. This way, you will be able to avail your loan without any hassle.
Home loan requires some extensive considerations before getting a hand on it. you should trust a bank with credible reputation in the market in terms of offering cost effective loan for your housing needs.
Getting home loan involves fulfilment of documentation and eligibility criteria of different banks in the country such as hdfc, icici, sbi and PNB. Almost all the banks have similar and identical documentation, except some minor changes. This requires any borrower search extensively to choose a lender with affordable housing loan offers.
Before choosing a lender, ensure that it maintains absolute transparency regarding terms and conditions and other hidden charges applicable on the acquisition of housing finance. In other words, the prospective lender should maintain clarity in its loan so that there is no discrepancy between what bank offers and what you avail. In addition, most borrowers tend to make an advance payment over their outstanding housing finance. The concerned bank applies some charges over such prepayment.
Here, you should opt for a bank with zero prepayment charge on home loan. More so, a customer is charged processing fees thus requiring him/her consider choosing a bank that offers housing loan at zero percent processing charge. Alternatively, you should choose a lender with lowest interest rate on housing finance.
Generally, home loan in India is available on either of floating or fixed interest rate. Floating interest rate tends to be changeable according to fluctuating tendency of financial market. Hence, home finance on this interest rate is risky as it might hike or slump premium outgo followed by fluctuation in home loan rate in financial market.
On the other hand, fixed interest rate remains stagnant for certain years and hence it doesn’t affect premium outgo despite change in the rate of housing loan in the stock market. Hence, choose your option wisely as both interest rates have their respective pros and cons. Other than considering interest rate, you should also consider credibility of a bank.
Credibility of a bank matters most to ensure you get a best deal in terms of lower interest rate, ample loan with extended tenure and flexible repayment option. Just as a bank scrutinises a borrower’s credibility, you should also scrutinise credibility of a bank by taking into account its various features of housing loan. This way, you will be able to avail your loan without any hassle.
Home loan requires some extensive considerations before getting a hand on it. you should trust a bank with credible reputation in the market in terms of offering cost effective loan for your housing needs.
In : Home Loans
Tags: home loan home loan in india choosing best home loan
