Dream home on your mind? Think about the home loan instantly! After you have decided on your property you need to apply for the home loan instantly.
But before you go on, stop and analyze what it needs to get an approved home loan. Unlike other loans, a home loan has been the most stingy and difficult to get approved due to its long tenure and high amount.
To get a pretty home for your loved ones, scan the four essential things you need to check. Starting from the home loan interest rates to installment, you need to focus on each element precisely.
A home loan can be easily rejected or it can be a burden later on hence, consider the essentials before you step in.
Listed are the main 4 essentials which will give you an insight into a home loan. An approved loan can light up your life instantly.
1. Consider your budget and EMI: Budget plays the main role when it about a purchase or a financial expense. When you plan to buy a home you need to make a budget.
Do not burden your pockets by choosing something which exceeds your financial limit. Remember, you take a loan but you also need to repay it with extra interest rates.
Decide the down payment based on your future expenses. Do not pay all the savings as a down payment. Also, by paying a good amount you can have a less installment burden for every month.
Plan your tenure in such a way so that the easy installments are easy. They should not collide with your regular expenses. You can check the home loan EMI calculator to get a detailed EMI amount.
Plan your budget and installments, so that you can enjoy your new home without financial strain.
2. Check Credit score: Credit score plays a very vital role in determining your credit health. It is not just a mere three digits. It depicts a lot about your financial capabilities.
The lender will at first look for your documents, credit score, and the credit report to approve your loan.
The credit score is the representation of your past repayment and debt management. You can always check your credit score online and keep track.
However, before you approach any home loan lender you need to check your score and if you find a less score, try and work it out.
3. Documents required: A detailed list of the document will be needed when you apply for a home loan. Every lender will provide you a list of documents they would need to process your loan.
Before you apply, keep handy all the original documents. Check the list of all the documents that you would need to present at the table.
- Income Tax files where you have your tax returns for 2 to 3 years.
- Pan card, for the authenticity verification you will need the original pan card.
- Aadhar Card original copy
- Your bank statement containing 6 to 1-year transaction details.
- Your three months’ salary slips
- Property papers
- Application filled form with signature and photograph
4. Identify the Right lenders: Shop the right banks and lender to take the loan. A lot depends upon the lender and bank you are taking from.
Tenure, loan amount, approval, and disbursal time depends on the lender you choose. Wrapping up, consider all of the above 4 elements before you opt for a home loan. A home loan is a staircase to your dream home.
Take into account all the factors and build your home.
