A home loan is a feasible way of attaining your goal of owning a home. With it, you don’t have to sacrifice other dreams or assets. Also, with the government putting more impetus on housing for all, the interest rates are at an all-time low, and the process is hassle-free.
Choosing the best housing loan online can be quite a task for most of us, but most providers have started providing home loan EMI calculators for you to gauge your eligibility within minutes.
Instead of finding yourself at sea, you can use a trustworthy home loan calculator to eke out the best option for your family.
In today’s article, we discuss things to look for while comparing and choosing the best housing loan for yourself.
Things to remember while comparing and applying for the best housing loan online
Look into the interest rates.
One of the most critical aspects while comparing loan options available to you is the interest rate. It is imperative to understand that the higher the interest rate, the higher the periodic outflow. Your loan can come in any of the three rate options –
- Fixed interest – Here, the interest rate stays the same throughout your loan tenure.
- Floating interest – Here, the interest rate depends on market fluctuations.
- Hybrid Interest – Here, your loan carries a mix of fixed and floating rates.
You can use an efficient home loan EMI calculator to understand if the rate is feasible for you.
Processing fees can be an unassumed burden.
Your loan request and documents require processing before you get the requisite sanction. The lender charges you a processing fee for carrying forward these processes. Most of them follow a rate-based fee, and the rate varies from one vendor to another.
The LTV or Loan-to-Value ratio is derived by dividing the amount received by the lender divided by the property’s total value. The remaining value is the down payment, which you will have to bear. Most lenders finance up to 90% of the property value, but the general rate hovers around 80%.
Know if it offers portability
It is one of the most ignored features of a loan. Portability allows you to shift from one property to another seamlessly. It protects you from paying exit and application fees and going through the entire process again.
Look if the lender provides after-sales service.
Most buyers are willing to pay a higher interest rate if the lender offers impeccable after-sales service. It is imperative to understand that the loan application is merely the start. One of the most critical aspects while considering a loan product from a lender is to look for genuine reviews about their after-sales services.
Get an insight into your loan repayment – use the CRED Home Loan calculator.
CRED offers a versatile home loan EMI calculator for all your housing loan requirements. Click here and understand your home loan eligibility within minutes using our calculator.