These Factors affect your home loan EMI

Taking a home loan is one of the biggest financial commitments that you make, due to the high amount involved. Hence, this decision should be made after careful evaluation of all factors. The most important factor that you should take into consideration before applying for a home loan is your EMIs.

Image result for Factors that can affect your home loan EMIWhen you are calculating your home loan EMI, ensure your financial life is not adversely impacted due to the home loan. Take into account all the factors that can have a direct influence on your home loan EMI. The first thing that you should keep in your mind is interest rates. If you have taken a home loan at floating interest rate, there would be a change in the EMIs depending on the prevalence rates in the market.

Whenever there is a dip in the bank rates, your EMIs will reduce significantly. Also, they do not involve prepayment penalties. Next is your loan tenure. A change in your loan tenure can have a great impact on your monthly installments. The longer the tenure, the lower will be your EMI and vice versa. Further, it is highly advisable to check the pre-payment clauses with your lender before you sign the loan agreement.

Lastly, home loan borrowers can shift their home loan to a different lender to avail a lower interest rate benefit through a home loan balance transfer. Hence, there can be several factors which may impact your EMI during the tenure of your home loan. Carefully compare all the home loan offers available to you before making your final choice.

ALSO READ: – Factors that can affect your home loan EMI

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Reasons to opt for this Housing Loan in this Diwali season

If you are planning to buy a house then the festive season is the right time to loosen your purse strings. Diwali is considered an auspicious time to buy a new thing like a new house. Buying a home is not an easy time task because it requires a huge investment. Diwali is the best time to buy a new home because most of the banks and NBFCs offers Home Loan on various attractive offers like a lower rate of interest, waive off processing fees, longer tenure and number of EMI options and so on.

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On the occasion of Diwali, salaried people got bonuses, incentives etc and most of the people save in the preceding months in order to be splurge during festivals. People believe the Diwali deemed auspicious for buying a property.  It is not enough to know the best time to buy a home and take the plunge with a herd. The more important thing is to know how to clinch the best deal at the most opportune time and it will be suggestable to apply for a home loan online as it will save your precious time.

Builders also offer attractive offer during Diwali because many new projects are launched during Diwali with a number of attractive offers. So, these are the reasons which suggest that the Diwali is the best time to a new home by taking a home loan.

 

How to Repay your home loan faster

Buying a home is a dream for many of us, but due to the high prices, only a few can afford to pay such a whopping amount. In such situations, buyers turn to banks for home loans. However, opting for a house loan is not that easy as the EMIs last for at least a decade and add to the burden for a majority.  But, don’t worry, we have listed a few tips that can help you to repay your home loan faster. You can opt for a higher EMI. It will help to reduce the loan tenure which means that the total interest that you’re supposed to pay to the lender also goes down. Further, home loan buyers also have the option to prepay the entire or part of the outstanding loan amount. Windfalls like bonus or maturity proceeds from insurance policies should be used to prepay a part of the home loan from time to time.

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Next option is that you can opt for a balance transfer. Under this option, you can transfer the entire outstanding loan amount to another lender at a lower rate of interest and other better terms and conditions. Lastly, you also have the option to maximize the down payment. Making a higher down payment when obtaining a home loan can reduce the principal amount. A lower principal amount means lower interest and EMI payments. So, in case you are struggling with debt-burden, take into account the above-mentioned steps to reduce your home loan interest rate burden. Also, don’t miss your EMI payments as it can severely affect your credit score.

 

Top Up Loan vs. Personal Loan: Which is Better

An additional loan amount availed on your existing home loan is referred to as a top up. If you have recently availed a home loan and you require funds for renovation or extension of your house, then you have two options either you can avail top up on existing home loan or you can apply for a personal loan.

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Top up loan is a better option because its approval and disbursal process is quick as you are an existing customer of the bank. Top up loan is available for a longer tenure i.e. the remaining tenure of your home loan, whereas personal loan can be availed only for a period ranging up to 5 years. Interest rate on top-up loan is low in comparison to a personal loan. Amount of loan in top-up loan is decided based upon your existing home loan outstanding and in personal loan you can apply for loan amount as per your requirement. You should opt for a top-up loan if you require funds immediately also your fund requirement is not high. On the other hand if your fund requirement is high and you can bear the burden of extra resultant EMI, then you can apply for a personal loan.

RELATED: Top Up Loan vs. Personal Loan: Which Option Should You Back

Profits of Getting Home Loan From MyLoanCare

Everyone dreams of purchasing their own house. With the ever-increasing property prices, people find it difficult to fulfill their dream. If you too have a dream of buying your own house and you don’t have the required funds, then you can avail a home loan. Taking a Low interest home loan has become easy with numerous banks and NBFCs offering home loan at affordable rates.

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You can apply for a home loan offline as well as online through MyLoanCare. Benefits of applying for a home loan through MyLoanCare are as follows: Different lenders charge a different interest rate. You can compare the interest rate of different lenders by visiting MyLoanCare website. If you are applying for a home loan online through MyLoanCare, then you don’t need to visit the bank and you can apply for it by sitting at home. MyLoanCare has various online tools like eligibility and EMI calculator, these tools are absolutely free. You can use them to check your loan amount eligibility and affordability i.e. whether the EMIs are pocket-friendly or not. When you apply for a home loan through MyLoanCare then a loan officer contacts you to explain the process and offers as per your eligibility.

Loan officer coordinates with you and partner banks throughout the loan process to ensure quick approval of your loan application. If you apply through MyLoanCare then you get attractive cashback also. MyLoanCare has a mobile app too, you can use it to apply for loans and cards, track loan status and apply for cashback, etc. So, keeping in mind the myriad of benefits discussed above, apply for a home loan through MyLoanCare.

RELATED: Benefits of Taking Home Loan From MyLoanCare