With the growing employment opportunities in India in the recent years, a large number of young professionals have managed to grab attractive positions at some of the biggest corporations. This has given them the confidence regarding their financial stability and also spurred them to buy their own home,but as they do not have enough savings for making an outright purchase, the situation becomes trickier. What makes their task further difficult is the rising real estate prices across the whole country. Due to this consistent rise in the property prices, the price for a house in a good neighborhood has climbed towards the higher end of lakhs, and in some cases have even crossed into crores. This rise though has failed to deter the determination of the young brigade of India.
If you are also one of the young aspiring professionals, then you need not be disheartened by the high prices of residential properties. With a stable job and consistent income, you can Apply for a Housing Loan and fulfill your dream of owning your house. There are a large number of financial institutions in India, who are offering Home Loans to help you buy a residential property.
A Housing Loanora Home Loan is one of the most popular financial products amongst young professionals looking to buy their own house. As it is a secured loan, the property purchased with the loan amount must be mortgaged with the lender while you continue living in it freely. If your age is under 30 years, then you can avail the maximum repayment tenure of 30 years,and the rate of interest could be around 8.45%, depending on the lender you choose.
With the rising demand for a Home Loan, a large number of lenders have now started accepting Home Loan applications online. You can log-on the website of the lender or access online financial marketplaces like MyMoneyMantra. Here you can compare various Home Loan products, their interest rates, terms,and conditions, calculate your eligibility, assess your EMI (Equated Monthly Instalment) payments and all other relevant financial information. You can then use this information to make an informed decision, which you will not regret later on.
As the new house that you will be buying would be your first home, it requires some preparation on your part, so that when you apply for the housing loan, you do not face any difficulties or issues. Here are some critical factors to be considered when you are planning for your first home:
After you have assessed your preparedness for buying a residential property with these guidelines, you need to start saving as much money as you can. This would require you to cut down on your expenses and maximise your savings because only then you would be able to realize the dream of owning your home earlier.
While you are saving money to be able to pay for the margin money, here are some vital points that you need to consider. This would help you get your loan application processed quicker:
Most lenders require stability of income to ensure that you will be able to repay EMIs on time. So, avoid job hopping and make sure that you are working in the same place for over 2 years and have a total work experience of over 3 years.
If you have any running Personal Loan or other debt, close them before you apply for a Home Loan. Make sure that your Credit Card utilisation ratio is below 40%.
Keep a close eye on your credit report and make sure that your credit score is more than 650. This would help you get lower interest rates and would increase chances of your application being approved.
You will need to provide a lot of documents to the lender for processing your application for a home loan. Make sure you have all the documents ready with you including ITR’s, Form 16, Bank Statements, Net worth statement, repayment schedule of existing loans and other documents as required by the lender.
As you have some time before you apply for a loan, make sure that you shop around and identify the best Home Loan product that meets your requirements.
Buying your own home is going to be the most cherished moment of your life, so start preparing as soon as possible and take care of your financial habits. This will help you get approved for the home loan without any hassles.
To apply online for Credit Cards, Secured Loans and Unsecured Loans, visit www.mymoneymantra.com, the leading online lending marketplace that offers financial products from 70+ Banks and NBFCs. We have served 2 million+ happy customers since 1989.