Home Loan

  • My CIBIL score is 500 which is low, can you help me in getting a home loan and what is the procedure?

    Although the CIBIL score is low, I would recommend to take professional advice from our Home Loan expert team. The loan eligibility depends on various factors including the recent payment history.

  • What is the difference between fix rate and floating rate home loan?

    Fix Rate is the Interest rate which is fixed by RBI and it does not change. Floating rate home loan means that interest keeps on changing with current scenario and the home loan will be flexible.

  • How will my Equated Monthly Installment be calculated?

    The EMI consists of the principal amount and the interest on the principal amount. It is calculated by taking into account the loan amount, the time frame for repaying the loan and the interest rate on the borrowed sum. The EMI may be subject to change when interest rate changes or a part-payment of the loan is made. Every month, part of the EMI is adjusted towards the interest payable and the balance is adjusted towards repayment of the principal.

  • Who can be a co-applicant?

    Co-applicants need not be co-owners. Usually, co-applicants are husband, wife, father, son & mother but not daughter and sister.

  • When can I apply for a home loan?

    You can apply for a home loan at any time once you have decided to purchase or construct a property, even if you have not selected the property or the construction has not commenced.

  • How can I get a loan to construct a house and at what rate of interest?

    You can get a loan to construct a house depending upon your eligibility criteria. If you wish we can forward your details to our “Home Loan” expert team so that they can get back to you in 24 – 48 hours.

  • I have two housing loans on two different properties. Can I get tax rebate for both the loans?

    Probing: 1. Are both the properties are self occupied or let-out? If both properties are self occupied: Response: You can get the following benefits, On interest part: upto 2 lakhs & on principal part: upto 1.5 lakhs. Probing 2. If both properties are let-out. Response: You can get the following benefits, On interest part: unlimited & on principal part: upto 1.5 lakhs. Probing 3. If one property is self occupied and other is on let-out. Response: You can get the following benefits, On interest part: () & on principal part: upto 1.5 lakhs.

  • What are the repayment period options?

    The maximum period over which one can pay the loan varies for every bank, and is also different for every scheme. Your residential status also makes a difference. If you are a resident Indian, you could avail of a loan for duration of 5-30 years. Few banks offer a 20-year repayment period, generally at a higher interest rate. As a Non-Resident Indian, you can only avail of a loan for a maximum period of 7 years.

  • Do I need to furnish any security to get a home loan?

    In majority of the cases, the property to be purchased itself becomes the security and is mortgaged to the lender till the entire loan is repaid. There might be some lenders who may ask for additional security such as life insurance policies, FD receipts and savings certificates.

  • What is a reverse mortgage loan? It is beneficial for a senior citizen?

    Reverse mortgage is a type of mortgage in which a homeowner can borrow money against the value of his home. No repayment of the mortgage, principal or interest, is required until the borrower dies or the home is sold.

  • I took a home loan of Rs 15 lakh from HDFC bank for 20 year sometime back. My salary is increased by 50% since then. Should I increase the EMI amount now?

    It would be economically prudent to raise your EMI.

  • When usually banks change the home interest rates?

    According to the RBI norms, banks can make changes with the interest rates.

  • Can I get a home loan with my brother and how much tax benefits I can get?

    Yes, you can get a home loan with your brother as a co-applicant. For TAX benefits you need to contact your CA. (Note: Brothers can be co-applicant, however, brother and sister cannot be co-applicant for purchasing a new property.)

  • What documents are required to get home loan, if customer is NRI?

    If you are of India origin who lives outside the country then you are eligible to invest in India. Documents required if customer is NRI are: 1. Copy for the Salary Slips for latest 6 months certified by HR/Accounts Dept or Original Salary Slips. 2. Bank Statement for Latest 6 months of Salary Account in abroad. 3. Bank Statement for Latest 6 months of NRE/NRO Account in India. 4. Job Continuity Proof for last 3 yrs like Appointment Letter or Contract Letter. 5. Pan Card & Passport Copy with Vaild Visa. 6. Current Residence addresses proof in abroad and in India. 7. One photograph of all the applicants attached with Hdfc Nri application form with sign. 8. Last Qualification certificate 9. GPA Holders Current Residence addresse proof. 10. Admn. Fees Cheque leaf from NRE/NRO Account . 11. Credit Rating report with scores. 12. In case of any Loan, kindly provide us the details long with the sanction letter or the amort chart. 13. P 60 / W2 ( Tax documents like ITR /form 16) 14. Property Paper ( Allotment letter / application form ) OR Pre-approval letter Note : Self attest all the documents and photograph on the front side. Important Points : 1. If u don’t have the NRE/NRO Account then you have to open a NRE/NRO Account. 2. You have to give the General Power of Attorney of any of your Relative. 3. If the customer is present in India: Kyc documents (ID & Residence proof) can be notarized from India with proof of date of arrival & departure to be submitted along with the file or else OSV can be done if customer is going to avail disbursal himself. If customer is not available in India: KYC documents ( ID & Residence proof) are to be duly notarized from local notary republic OR attested by authorized official of Indian embassy or India Consulate or Trade Commissioner wherever he is residing present

  • If someone calls for home loan transfer from one bank in kashmir to delhi, then what to do?

    In scenearios where customer had taken a home loan either through us or outside, agent will inform the customer that he can forward his details to the Home Loan expert team and they will get back to you shortly.

  • How Annual Percentage Rate (APR) works in loans or Credit Cards?

    Interest rates, typically stated as a yearly rate, are called the annual percentage rate (APR). While taking a loan, APR would include any fees or additional costs associated with the transaction. On most credit cards, you can avoid paying interest on purchases, if you pay your balance in full each month.

  • I wish to take a business loan against property. Should I get the property valued before applying for the loan?

    Banks always evaluate your property based on the prevailing market rate. You need not worry as far as the valuation of your property is concerned.

  • Can I pay part of my home loan in cash mode?

    Generally, paying by cash is not acceptable by any scheduled bank. However, in case of a home loan default, banks may recover the amount in cash.

  • Do I get tax benefits on the loan?

    Yes, you are eligible for tax benefits on the principal and interest components of your Home Loan under the Income Tax Act, 1961. As the benefits could vary each year, please do check with our Loan Counselor about the tax benefits which you could avail on your loan.

  • I live in the US and would like to buy property in Surat or in Ahmedabad. How much down payment is required? How do I get loan for the rest of the amount?

    Probing: May I ask if you are of Indian Origin? Paying minimum 20% forward payment is the general norm while buying a home. For rest of the amount, you can take a home loan. For more details you can call our home loan experts @ 8030196296. They are available from 8.30 am to 7.30 pm except all tuesdays and 2nd & 3rd Wednesday of the month.

  • What factors should be kept in mind when comparing interest rates on home loans from different banks?

    Two basic factors that play an important role while comparing interest rates on home loans is the base rate and the spread or the margin of the bank.

  • Can one sell the property even when the home loan is outstanding?

    Yes, but it is only possible in the case when the buyer also takes the loan from the same lender ( same bank ) or you get the loan repaid before going ahead with any legal transaction.

  • What is the % of loan an NRI can get to buy property in India?

    You can get max 80% home loan of the propery value as per the RBI norms.

  • When is my EMI due?

    The EMI will be due on a fixed date each month. This date will be notified when your loan is disbursed.

  • What is the time required for home loan disbursement?

    On an average, loans are disbursed within 3-15 days after satisfactory and complete documentation and completion of required procedures.

  • Can I apply for a loan to XXXX bank to repay a Home Loan availed by me from another Bank / Housing Finance Company?

    Yes, you can apply for a loan for repaying a Home Loan availed by you from another Bank / Housing Finance Company or even your employer. For more details you can call our home loan experts @ 8030196296. They are available from 8.30 am to 7.30 pm except all tuesdays and 2nd & 3rd Wednesday of the month.

  • How should a person decide on how much loan he should take? Should a home loan amount be twice your gross annual income or should it be less than that?

    Banks generally give you a maximum loan, which is in the range of 40-60 times of your monthly net income.

  • How can I calculate my Home Loan Eligibility?

    The formula to calculate home loan eligibility is : Monthly income/2*111.

  • Does a bank cross checks if the down payment is paid to the seller?

    Yes, they do. It is necessary for a bank to know that the payment is going in the right channel.

  • Are interest rates for commercial properties the same as housing loans?

    They are not the same. You can go through the websites of different banks to get an idea about the different rate they charge. Also if you wish, I can forward you details to our home loan experts so that they can get in touch with you. Request you to share your name and contact number.

  • How do banks calculate the EMI amount?

    Bank generally calculate the EMI amount on reducing interest rate method. To get a better clarity on this, you can check any Loan to EMI calculator. There are plenty of websites that can solve your EMI calculation worries. For More details, you can call our home loan experts @8030196296. They are available from 8.30 am to 7.30 pm except all tuesdays and 2nd & 3rd Wednesday of the month.

  • I am 24 years old and have started working 8 months back. I earn Rs 35,000 per month. Will I be able to get a home loan of around Rs 10 lakh?

    Home loan eligibility depends on several factors. However, for assistance, please call our home loan experts @ 8030196296. They are available from 8.30 am to 7.30 pm except all tuesdays and 2nd & 3rd Wednesday of the month.

  • If I apply for a home loan with a bank and the loan processing fees cheque is bounced, do other banks deny loan to that person in future?

    A cheque bounce generally happens if you have an insufficient balance and this is not the sole criteria to decide your eligibility. To be on the safer side, clear your bounce record.

  • Can NRIs get loan to buy property in India?

    Yes, they can get loan to buy property in India buy they need to have NRE account in India.

  • My monthly salary is Rs 43,000 and have a personal loan of Rs 3 lakh. Am I eligible for a home loan?

    Please mention the EMI you pay for your previous loan. The bank will calculate your next loan based on that.

  • Can I convert my floating rate loan to a fixed rate loan or vice versa?

    Yes, the floating rate can be converted into fixed rate and vice versa.

  • My friend and I plans to construct an apartment. Can we get a joint home loan?

    Banks do not provide joint loans between friends.

  • Can I take loan on a property which is owned by my wife?

    You can take home loan on the property which is owned by your wife but you need to be co applicant with your wife.

  • What is the maximum loan % a person can get on a property?

    You can get max 80% home loan of the propery value as per the RBI norms.

  • What is refinancing?

    Refinancing is the process in which an existing loan on a property is paid off with the proceeds from a new loan. Usually, the new loan is of the same size and the same property is used as the collateral. To decide whether this is economical, the savings in interest must be weighed against the fees associated with refinancing. Refinancing is also done to reduce the term of a mortgage or to switch between a fixed-rate and an adjustable-rate mortgage.

  • When can I take disbursement of the loan?

    You can take disbursement of the loan once the property has been technically appraised, all legal documentation has been completed and you have invested your own contribution in full.

  • What is the IT benefit/ rebate for second house on home loan?

    You can avail the benefits under Sections 80C and 80E of the Income Tax Act. For further query/assistance, please call our home loan experts @ 8030196296. They are available from 8.30 am to 7.30 pm except all tuesdays and 2nd & 3rd Wednesday of the month.

  • Do we need to pay service tax on prepayment of home loans?

    Service tax is not required on prepayment of home loans.

  • How do I foreclose my home loan? Will there be any charge for the foreclosure?

    Before bank process a foreclosure, all outstanding dues must be cleared. So you should check and clear any remaining amount that may be payable towards your home loan by requesting a foreclosure statement from your bank. Once all outstanding dues have been cleared, submit a foreclosure request at the loan center, and the bank will begin processing your request.

  • What security will I have to provide to get a loan?

    Security of the loan would generally be security interest on the property being financed and/or any other collateral/interim security, as may be required by bank. It is important for you to ensure that the title to the property is clear, marketable and free from encumbrance. There should not be any existing mortgage, loan or litigation, which is likely to adversely affect the title to the property.

  • I haven’t’ filed my IT returns for the last 3 years. I do have my Form 16 and I don’t owe anything to the govt. Will I be able to get a home loan from any nationalised banks?

    Form-16 is a proof that you are getting your salary, so there should not be any issue in getting a home loan. For detailed home loan suggestions, please call our home Loan experts@ 8030196296. They are available from 8.30 am to 7.30 pm except all tuesdays and 2nd & 3rd Wednesday of the month.

  • Owner: Which bank would you recommend for taking a home loan and which bank offer the lowest rate of interest?

    Though different banks have different policies and rate of interest, to get more clarity I would recommend to directly contact the banks. Also, If you are interested in applying for a home loan we have a team of experts and we can forward your request to our “Home Loan” expert team and they will get back to you in 24- 48 hours.

  • How do I repay the loan?

    For your convenience, banks offer various modes for repayment of the loan. You may issue standing instructions to your banker to pay the installments through ECS (Electronic Clearing System), opt for direct deduction of monthly installments by your employer or issue post-dated cheques from your salary account. For details on penalty for delayed payments and cheque bounce charges, please refer to the information on our specific product pages.

  • Is it possible to take a home loan for construction in one city while working in another city?

    Yes, you can get a loan. For more details you can call our home loan experts @ 8030196296. They are available from 8.30 am to 7.30 pm except all tuesdays and 2nd & 3rd Wednesday of the month.

  • Is DHFL the best for loan?

    It depends on your personal requirements. For more details you can call our home loan experts @ 8030196296. They are available from 8.30 am to 7.30 pm except all tuesdays and 2nd & 3rd Wednesday of the month.

  • Please tell me that whether one person can get two home loans from a bank for two separate properties.

    Based on your eligibility, you can get two home loans. For more details you can call our home loan experts @ 8030196296. They are available from 8.30 am to 7.30 pm except all tuesdays and 2nd & 3rd Wednesday of the month.

  • Can I transfer my home loan to another bank?

    Yes, you can transfer your home loan to another bank.

  • Can I repay my loan ahead of schedule?

    Yes, you can repay the loan ahead of schedule by making lump sum payments towards part or full prepayment. For more details you can call our home loan experts @ 8030196296. They are available from 8.30 am to 7.30 pm except all tuesdays and 2nd & 3rd Wednesday of the month.

  • I am working in UAE. Can I get a home/property loan for purchasing property in India? If yes, do I need to go to India or it can be processed from Dubai.

    Probing: May I ask if you are of Indian Origin? If Yes, Response: If your documents are satisfactory, you can get a home loan and you don’t need to come to India. Also, there are many Indian bank branches in Dubai. For More details, you can call our home loan experts @ 8030196296. They are available from 8.30 am to 7.30 pm except all tuesdays and 2nd & 3rd Wednesday of the month.

  • Who all are eligible for home loan?

    In case of NRI – Salaried employee In case of Indian Resident – Self Employed professional, Self Employed non-professional & Salaried. In case of POI – Salaried employee

  • I am selling a property which is already on a loan and also buying a new property. Can I transfer my loan from the old property to new one?

    It is not possible to transfer the loan, however, you can apply loan for the new property.

  • How to apply for a home loan?

    You may collect an application form from your chosen bank branch or simply download it from the bank’s website. Submit it along with the supporting documents and the processing fee cheque at any bank office. For more details you can call our home loan experts @ 8030196296. They are available from 8.30 am to 7.30 pm except all tuesdays and 2nd & 3rd Wednesday of the month.

  • In how many installments can the bank disburse the loan to an Individual?

    Once a bank receives your request, it will disburse the loan in full or in installments, which usually do not exceed 10 in number. In case of an under-construction property, it will disburse your loan in installments based on the progress of construction, as assessed by bank and not necessarily according to the developer’s agreement. You are advised to enter into an agreement with the developer wherein the payments are linked to the construction work and not pre-defined on a time-based schedule.

  • I plan to buy a house worth Rs 25 lakh. My monthly salary is Rs 18,000 and I will retire in another 3 years. Am I eligible for a home loan?

    Your loan eligibility will depend on whether you have pension benefits or not. And, as the loan amount is high compared to your salary, individual banks will have different calculations.

  • Are there any restrictions on transfer of immovable properties?

    According the the Income Tax Act, 1961, the Central Government has the first option to purchase certain immovable properties exceeding certain value. Therefore, such transactions covered by this chapter can be made only after complying with the prescribed norms.

  • What is the process to shift your home loan from one bank to another?

    You need to submit the documents of your new bank where you want to transfer the loan and they will guide you through the complete process and for any further query/assistance, please call our home loan experts @ 8030196296. They are available from 8.30 am to 7.30 pm except all tuesdays and 2nd & 3rd Wednesday of the month.

  • What is the major purpose of rent discounting? Who can use it?

    Rental Discounting (LRD) is a term loan offered against rental receipts derived from lease contracts with corporate tenants. The loan is provided to the lesser based on the discounted value of the rentals and the underlying property value.

  • Can I start paying my EMI if my home loan is partly disbursed?

    Yes, the EMI consists of the principal amount and the interest on the principal amount. Since only a part of your loan has been disbursed, the interest component of your EMI will be proportionately lower to reflect this.

  • Can my brother be a co-applicant in home loan if he is not a co-owner of the property?

    Yes, brothers can be co-applicant. However, brother and sister can’t be co-applicant to buy a property. Moreover, some banks ask for joint-owners name while sanctioning the loan.

  • How is loan-to-value (LTV) ratio relevant for home buyers?

    Before a home loan, lenders do an appraisal of the property against which the mortgage is to be sanctioned. The loan-to-value (LTV) ratio is the term used by lenders to express the ratio of a loan to the value of the property purchased. LTV ratio can be calculated by dividing the loan value to the property value.

  • I am employed with the Indian Navy and drawing Rs 5.5 lakh per annum. What all documents do I have to submit while applying for a home loan?

    You will have to submit your salary slip (3 months), bank statement, a copy of your PAN card, your address proof, receipts of your ITR and your photographs. You will also have to produce the documents, if you had taken any earlier loan.

  • If home loans become cheaper, do banks automatically lower the EMI and charge accordingly through ECS or do we have to constantly keep checking with them?

    We recommend to keep checking your monthly statement to get an idea about the increase/decrease in EMIs. For more details you can call our home loan experts @ 8030196296. They are available from 8.30 am to 7.30 pm except all tuesdays and 2nd & 3rd Wednesday of the month.

  • Can I get a loan on a property which can be transferred on Power of Attorney only?

    When you give your agent authority to obtain a mortgage or home loan, you will typically give him power to do whatever is necessary to carry out that authority. Your agent may need to negotiate terms for the loan, sign loan documents, or take care of other loan preparations. When your agent obtains a mortgage or loan on your behalf, the agent is not personally liable for the debt, but you are.

  • What is the basic procedure of taking home loan & what are the eligibility criteria?

    Home loan eligibility depends upon stability of income, profession or nature of business, age of the loan seeker, credit score, attributes of the property, your relation with the bank and the company you work in.

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