The price of property is skyrocketing in India. It’s immensely difficult to think about investing in a property through personal finance. There are many reasons behind this fact, like limited monthly income, uncertain expenses etc.. Undoubtedly, funding for home costs an arm and a leg. But still, it’s possible to buy a home. Yes, you can have it through home loan. You don’t need to take out mortgage. Neither do you need to take financial help from your relatives.
There are several home loan possibilities that you can grab on. Catch a cursory look over a few such possibilities:
- Home Loan, rather than personal financing:
Do you want to spend your hard earned money somewhere you get higher ROI? It’s an obvious desire if you save a fat amount out of your monthly savings. NRIs, generally, make money in hundreds of dollars every month. For such people, investing in property is a blockbuster idea.
Meantime, taking assistance to buy and sell property would be a better option. Sometimes, personal financing can impose tax. You can come out of the tax-trap through home loan. Apart from saving tax, you can buy a fixed asset that generates rental income.
- Flexibility in home loan repayment:
You can purchase a residence even through you’re a salaried employee. Won’t believe? It might be unbelievable but, home loan can make it possible. A few banks, like SBI, provide an option to pay interest only during the moratorium period. Later on, you can pay moderate EMIs. And, if you want, you can request for stepping up EMIs during upcoming years.
- Home Loan for retired army personnel:
If you’re a retired army or defence personnel, you can book a home on loan. Whether or not you live in India, you can borrow money to invest in a property. Many banks run lucrative schemes to lure such retired army officers. They facilitate every valid reason to take home loan, like lower rate of interest on loan and easy repayment options. A few home finance banks allow you to pay amount in a long run. SBI’s Shaurya home loan is its best example.
- Home Loan for retired government officers:
There are a few NRIs who prefer to settle with their kids abroad after completing their tenure in a government job. They can grab a golden opportunity to invest in a commercial or residential plot in India. Thereby, rental income would generate income for their livelihood.
There are certain financial institutions that facilitate loan to such government officials. Moreover, they offer the same benefits to the personnel of the public banks former officers. Such officers can spend their pension into a home. If the amount is short to pay off the wholesome amount, they can select a bank to borrow home loan.
What they should bear in their mind is the policies of that bank. So, if you’re one of those retired government officers, you should thoroughly go through the guidelines of the financial institution or bank. Some banks approve privilege home loan on the basis of some aspects. They can be your income, repayment potential and age. How many assets and liabilities you own and the cost of the proposed house-that bank would like to know these facts also.
- Pre-approval home loan:
Do you consider the cost before going to buy a home? It’s better to analyze prior to make such a big decision. There are a few real-estate agencies and fund providers that sanction home loan limits prior to purchasing any property. This is how you win an option to negotiate with the builder or bank. It would, in return, ask for your income details to assess whether or not it should approve your home loan. However, it probably charges processing fee at the time of sanction.
