Seeking Home Loan of 1 Crore or Above? Consider These Things

With Home Loan interest rates getting cheaper, many people nowadays are borrowing funds from banks or NBFCs (Non-Banking Financial Companies) to buy their dream home. If you can conveniently repay your loan timely without much a burden, availing this facility is a great idea. However, getting a loan in haste can lead you to financial troubles later on.

If you are seeking to avail loan quantum of 1 Crore or above, make sure you pay due diligence in choosing your lender and lending facility.

Consider these important things before availing a big ticket Home Loan to reduce your financial burden:

• Look at All Available Options

There are various banks and NBFCs offering numerous Home Loan deals. Many people prefer their own banking partner first when it comes to availing a loan. Although there is no harm in doing so, consider looking at other options as you can save a significant amount of money if other lenders are Offering Lower Interest Home Loans.

• Lower Interest Rate is Not Always the Cheapest

It is a pre-conceived notion that lowest interest rate loan offer is the best one to go for. Although interest rate is one of the most important factors to be considered when choosing a Home Loan, associated charges may make your loan offer more expensive than other options. You should consider other factors too like loan tenor, reputation of the lender, feedback of existing consumers, associated fees and charges (processing fee, pre-payment charges, broker fee, foreclosure charges, etc.) and terms and conditions of the lender.

• Make Use of EMI Calculator

EMI Calculator can help you understand how much EMI (Equated Monthly Instalment) you have to pay each month for the desired loan amount. Using this tool, you can plan your finances for the next few years accordingly. Not just loan EMI, but you can also calculate savings on transferring your Home Loan balance to another bank or pre-payment/ foreclosure of your loan.

Also Read: Why Should You Use mymoneymantra EMI Calculator Before Availing a Loan?

• Conduct a Deep Analysis of Your Finances

As you are about to take on a huge credit, you will have to pay EMI with interest each month from your pocket. Hence, it is advised to take a deep look at your existing financial standing as Home Loan is a long-term commitment. Once you have availed a loan, you can’t escape from its repayment. Doing so will hamper your credit rating and can lead you to legal and financial troubles.

Considering the above metioned points can help you get the best deal for a big ticket Home Loan. For easy comparison between all available options, visit mymoneymantra.com, a leading online lending marketplace having an association of over 100+ banks and NBFCs.