Availing a home loan helps you with funds to turn a long pending dream of owning a house into reality which you can call as your own personal space. With the help of loan money, buying a home becomes so easy. However, home loan gives you the potential of purchasing a property buy one must be ready for the monthly installment which he/ she has to pay until the fixed loan tenure after they “Apply For Home Loan“.

Sometimes, monthly installments might take up half of your monthly income which might affect your future financial planning. Therefore, it is important to plan your finances well in advance so that it becomes easy for you to repay your debt as well as to focus on other investments and savings. In this blog post, we have listed some factors which may help you to plan your EMI by keeping check on them.

Monthly earnings: This is the key factor which determines how much you will pay every month as it helps the lender in understanding your repayment capacity. Thus, always plan an EMI amount in a way that your daily expenses and investment won’t suffer anyway. An efficient layout of monthly installments will help you in reducing your debt burden.

In early years, one can opt for a higher installment as remuneration in the private sector usually gets a hike every year. Therefore, after a passage of time, you will have a considerable hike on monthly income and EMI seems to be lower when compared to earnings.

Monthly expenditure: The other important factor one needs to focus on is your monthly spending. Planning a monthly budget will always play a great role in this. Having a robust plan will help your repaying your installments without any stress. Sticking to your budget ad paying off your EMI is of great importance. The remaining funds can be utilized for maintaining an emergency fund or for daily expenses.

Loan tenure: Whether you “Apply For Home Loan Online“ or offline you have plan in advance about the loan tenure either you need it to be short or long. A longer tenure will help you reducing your EMI amount which will reduce the burden on your income where a shorter tenure will help you in saving lot of buck on interest payable, hence reducing your loan cost. Always secure a loan according to your requirement and repayment capability.

Rate of interest: At the end, the significant component one must check and compare is rate of interest on loan because a small difference in the interest rate will help you in saving a lot of money on chargeable interest which gives you opportunity to repay a lesser loan amount. There are numerous lending platforms where you can compare different lenders in order to grab a best loan deal. Choose a suitable lender and negotiate well to save the best for your future.

ShubhBank offers the customers with attractive rates of interest on Home Loan and also gives you wide range of loan benefits to save a lot of money.

Nowadays, interest rates on Home Loan are at all time low, therefore having a strong credit score as well as repayment capacity, you will be able to get a home loan at lowest possible interest rates. However, there are some other significant factors also to review before you “Apply For Home Loan“ which involves your income, CIBIL score and existing debts. One also needs to look after the price of house you are about to purchase.

Home Loan is a long term commitment for everyone, so it is always good to decide on best home loan deals for you which can be repaid easily and available at competitive rates of interest. One should review all these significant factors to ensure a pleasurable borrowing experience with financially stable life.

Know your budget: It is one of the fundamental things to look upon while planning a budget to purchase a home because it is necessary to assess your financial health before making a down payment. It will help you to prevent from debt burden in the future and keep your loan journey stress-free.

Start saving early for down payment: Buying a home is every individual’s dream, so it is important to plan your finances at an early age to save a specific amount for down payment. Your down payment could range from 20-25% depending upon the loan type and the lender you chose.

Setting a specific amount for your savings every month is a great way to reserve the money for your down payment. The other option to save an ample amount of money is to go for fixed deposits.

Keep an eye on Credit Score: A credit check is really important while applying for a home loan because if you have a good CIBIL then the chances of loan approval will become much higher. Most of the lenders offer you cheaper interest rates if you have a high credit score. Hence, it is advisable to check your credit score whether you “Apply For Home Loan Online“ or offline.

Check your loan eligibility: One can check his/her loan eligibility online through various lending websites free. The eligibility criteria may vary from lender to lender but the basic things you need to check on is your age, income source, credit score and repayment capability etc. if you meet all the requirements, you can easily avail a home loan at smart interest rates.

Documentation: When you apply for a home loan, you have to obtain and submit some required documents which will decide the speed of your loan processing. If all the documents come in hand, you are going to get a fast loan disbursal in your bank account.

Compare best loan offers: Never get tempted for low or similar interest rate loans. There are number of other things that can influence your borrowing cost. To exemplify, there are some elements linked with loan amount such as processing fee, hidden charges and so on. You must consider all the aspects of the loan terms and conditions before finalizing the loan deal.

Do you believe in common perception that self-employed people never gets an easy approval on home loan? But to your surprise, lenders lend to self employed with a predefined set of terms and conditions. Every lender has some specific set of criteria which a borrower has to fulfill to get their home loan approved. Self employed individuals such as doctors, lawyers and businessmen can “Apply For Home Loan“ easily.

There are number of lenders in the market who offer customized loans according to your needs and budget. Lenders will evaluate your repayment capacity bases upon income tax returns and balance sheets of your business to approve your loan application. However, home loan is a biggest commitment so lenders feel risky to approve an application of self-employed person as he/she doesn’t have a well defines source of income.

In this blog post, we have mentioned some steps which can ensure lender to approve your home loan applications which are listed below:

Add a co-applicant to your application: If you are self employed then adding a co-borrower will strengthen up your eligibility and can help you to get an easy approval on home loan. When you add a co-borrower in your loan application, lender may get confident to lend you a desired amount as lending institution will now has a two person to repay the loan amount.

Make co-borrower a co-owner of home: If co-borrower who applied for a loan with you also be a co-owner of your home, then your chances to get loan approval increases automatically because lenders approve home loans to such applicants quickly but you need to fulfill the prescribed eligibility criteria for that.

Have a guarantor with you: When you “Apply For Home Loan Online“ or offline, try to have a guarantor to ensure your home loan application get approved by the lender as it reduces the risk factor of the specific lender about the repayment of loan quantum. A loan application signed with a guarantor will assure the lender about the repayment because if in some situation, borrower fails to repay the loan, lender will recover the outstanding amount from the guarantor.

Well, the eligibility criteria and norms may vary from lender to lender but to get risk-free, every lender will ask some basic set of documents from a self-employed individual while availing a home loan which is mentioned below:

• Identity Proof

• Bank statements of current and saving s account

• PAN card

• Educational qualification or degrees.

• Address proof.

• ITRs of last two years.

• Proof of business Entity.

• Audited financial statements of business by a chartered accountant.

Everyone dreams of having their own dream house in which he/she can live with his/her beloved ones. When a person gets stable with his/her earnings in business or has enough savings to pay a down payment for a home loan, then getting an approval for a loan against home is not a big concern for you. Hence, following the above mentioned steps, one will surely get an easy approval on home loan.