Friday, March 28, 2014

Benefits / Advantages of buying LAP Online

The advent of internet banking services has completely transformed the way people carry out their banking transactions. It is no doubt that internet has made banking easy and quick.  It also offers plenty of options while looking for home loans for loans against property. Before applying for loan it is vital that you do your research and stay updated about the latest loan schemes. If you are looking to get the best deal on loan against property, understanding the pros and cons of buying loans online would help you make an informed decision.

Benefits of shopping for LAP online:

Time Saving

The biggest benefit of applying for LAP online is that the online process is simple and can be completed quickly. You need not have to visit  various housing finance companies personally; you can browse through the loan schemes offered by different lending institutions from the comfort of your home.

Gives you flexibility

The office of financial institutions have specific working hours, however, if you are applying for loan against property online, you can get the required information any time you want. If you find it difficult to visit the lender’s office due to hectic schedule, you can do your research about loan and apply for the same online even when the office is closed.

Multiple  options

There are several financial institutions out there in the market that offer loan against property. By applying online you can browse through the various schemes, compare the interest rates, check the repayment terms and get the best deal to suit your needs.

Lower Fees

This is another significant benefit of applying for loan against property online. When you apply for loan online the lender fees is comparatively lesser than the fee applicable while applying offline.

Quick approval

Today, several people prefer applying for loan against property online because they get quicker feedback from the lender. Typically, the financial institutions approve the online application faster.  

Wise Decision

When you visit the office of the lending institution for LAP an expert marketing professional would try his/her best to accept their loan offer. However, if you apply online, you can do your own research compare different quotes and make an informed decision without any pressure.

Shopping for loan against property online can be hassle free, time saving and convenient if you avail home loan from Indiabulls Housing Finance Ltd. You can visit our website to know more about LAP schemes. 

Thursday, March 27, 2014

Home Loans – Dos and Don’ts

In the last decade there has been a significant rise in the number of new financial institutions that have come up in India. In such circumstance availing home loans has become easier than ever before. With the easy availability of funds, the mindset of the people has also undergone a change. They don’t rely on their savings to buy or build home; instead they rely on the financial institutions for home loans.

Getting a home loan to buy your dream home is one of the most important decisions you would take in your life and you need to put a serious thought behind it. There are different things that you need to consider, the following dos and don’ts will greatly help you:

It is important that you pay your EMIs on time; any delay in the repayment would have its repercussion on your overall credit rating. If you have a bad credit score it would affect your future financial transactions.

Make a list of the dues you owe and prioritize the payoff. Make sure that you allocate sufficient funds to pay off your loan installments and credit card payments.

If you have more than one loan, payoff the larger mortgages first. This would help you replace the high  interest rate debt with home loans of lower interest rate.  Also, you may get tax deduction on the interest  amount.

It is best advised to start saving well before you avail home loan. This would significantly help you make a larger down payment upfront and reduce the burden of home loan repayment later on.

The amount of loan you get depends on the evaluation of the property appraiser. It is therefore essential that you keep your home clean and carry out some basic repairing work. This would boost up the loan amount.

Don’t spend extravagantly on buying anything other than absolutely necessary items for a few months after availing home loan. You must try to repay the loan as soon as you can.

Don’t forget that home loan is a huge responsibility that you need to oblige. Any delinquency on the repayment would affect your credit rating. Not to mention your credit amount may increase higher than you would image.

Don’t apply for a bigger home loan than your actually need.

Don’t rush into singing any loan offer. Take t your time to consider the various options and choose the one that best suits your needs.

If you are availing home loan form Indiabulls Housing Finance limited, you need not be worried about anything. We have expert executives who would work closely with you though out the process and ensure that you get the best home loan deal. 

Tuesday, March 25, 2014

5 Reasons to opt for Joint Home loan

Over the past few years, the price of real estate properties has increased considerably as compared to the increase in the salary of an average person. Nowadays, with the growing popularity of joint mortgage loans, majority of the people apply for joint loans. Even the housing finance companies are happy to offer joint loan. Top five reasons to opt for a joint home loan are discussed below:

Joint ownership of the property

Getting a mortgage loan is a big responsibility and some people find it overwhelming to carry the burden alone. If you opt for joint home loan or mortgage loan scheme it becomes easier to handle the loan repayment as you would have someone you trust to share the commitment.

Preferred location

When you opt for a mortgage loan jointly with your husband, spouse or partner you would become eligible for higher loan amount. Today, several people apply for joint home loans with their brother, sister and other family members to raise their loan amount. This would allow you to buy property at the location of your choice.

Bigger deposit

It is quite natural that if you have more than one person to save up for the down payment you would be able to pay higher amount. Getting the minimum amount required for down payment becomes easier as the income of two people is combined together. By increasing the deposit money, you can borrow more to buy a better, bigger home.

Increase the loan amount

When you combine the income of 2 people together, the housing finance company would be able to offer you to larger sum of money. Joint mortgage loan would help you buy a larger property or a property with better amenities like an additional room. This gives you the opportunity to rent out the additional room to recover the mortgage cost. 

Be a property owner

Financial research reports suggests that over the past couple of years there has been a significant increase in the number of youngsters who want to own property . Joint mortgage loan facility makes it easier for them to accomplish their dream of being a home owner. 

While availing any credit or loan facility with somebody, you must know that all joint financial commitment is a serious responsibility as both of you would be equally responsible for repayment or liability of the property. It is therefore advisable that you have a joint legal agreement to cover up for eventualities such as job loss, job change or separation.

If you are planning to apply for home loan, it is advisable that you consider the benefits of joint mortgage loan to get a better deal.

Monday, March 24, 2014

Five Proven Tips to Save Money on Mortgage Loan

People need finance for a number of reasons, to meet business expenses, pay for medical bills, for education etc. All these expenses require a large amount of money and majority of the people don’t have sufficient savings to meet these expenses. In such circumstances, it is best to avail credit or loan facility. While you have the option to avail personal loan, it is best advised to opt for a mortgage loan. If you own any assets like residential property, you can pledge it against the loan. 

Loan is a big financial responsibility and as a borrower you would definitely want to save on your loan deal.  Even a small amount of saving would have a huge impact on your credit. Below mentioned are a few proven ways to save money on mortgage loan. 

Improve your credit score:

The credit rating of the borrower is one of the important factors that the housing finance companies consider while approving the loan application. The higher your credit score, the better your chances of qualifying for a loan with lower interest rate. Before you apply for home loan or loan against property improve your credit rating. Try to pay off your outstanding dues and reduce the credit card usage.

Don’t apply for bigger loan than you need

This is the easiest way to save on your mortgage loan. The lesser the principal amount, the easier it would be for you to repay. Additionally, having a extra bedroom or luxurious amenities like a swimming pool or sauna would not only increase the loan cost but also it would increase the home maintenance cost. 

Opt for pre-approved project

When you apply for home loan it is best advised to go pre-approved projects as it would help you get great savings on your loan deal. You can bargain on your deal with the property owner as well as the real estate agent and lower the property price. Make sure that you have a good bargaining strategy in place. 

Make a higher down payment

The larger the amount you pay upfront for the property the lesser would be the loan principal amount. The smaller the loan, the cheaper it is. Majority of the housing finance companies require you to pay at least 20% of the property price upfront, however, if you can afford it, do make a higher down payment.

Have a repayment strategy in place

Some people save some money every month to make 13th installment payment for their home loan, while some others pay more money in their monthly installment. No mater, the kind of strategy you adopt, the focus must on repaying the loan as soon as you can. This will help you save on your interest payment. 

You can all the above mentioned tips together to increase savings on your mortgage loan. If you are availing home loans or mortgage loan from Indiabulls Housing Finance ltd, the affordable interest rates and flexible repayment options makes it easier for the borrower to repay the loan.  

Wednesday, March 12, 2014

Home Loans - A Lenders Perspective

Owning a home is one of the biggest goals of a person in his/her life. Buying a home is certainly the most important investment decision a person would take in their lifetime. A large number of Indians rely on mortgage or home loans to realize their dream of owning a home. Just like the loan borrowers do their research on lending institutions, the lenders to carry out a background check on the borrowers in terms of their current financial condition, past credit history, monthly income and their repayment capacity. In order to avoid your loan application from being rejected let us look at what are the parameters the lenders judge the borrowers by.

What do lenders look for in loan borrowers?
The housing finance companies in India primarily look for two factors while approving home loan applications. The first and most important factor is Profit and the second factor is the ability to repay the amount availed. While availing home loan, you must know that the housing finance companies too are like any other business and their main motto is to earn profit. The lenders ensure that they get profitable returns on their investment by checking the financial status of the borrowers and ensure financially sound to pay back the money. 

Why is important to maintain good credit history?
Credit history is one of the crucial factors that the housing finance companies consider for lending home loans. This is because your credit score says a great deal about the kind of borrower you are.  It gives the lenders a fair idea about your financial credibility. The lending institutions use the credit score of the borrower as an industry standard to accept or reject their applications. Majority of housing finance companies in India require you to have a minimum score of 620 to qualify for home loan. Hence, if your credit score is below 620 there is a great chance that your home loan application gets rejected. Even if you get your loan approved, you may have to pay higher interest than others who have a good credit score.

Apart from the financial status and the credit history of the borrower another vital factor lenders consider is documents related to the property. No matter if you are applying for home purchase loan or home construction loan, you need to have all important documents related to the property ready to avoid delay in loan disbursement. Moreover, if you are applying for home construction loan, you need have the approval from appropriate civic authorities. The lenders appoint a special team to assess the credibility of these documents before sanctioning the loan. 

Thus, while availing home loan from any housing finance company it is important that you think from the lenders perspective as well to know what are their requirements and proceed accordingly. If you are availing home loan from Indiabulls Housing finance limited, rest assured you would get full support from our executives. 

Monday, March 10, 2014

Benefits of Availing Joint Home Loan

When people look for home loans, one of the most important question they have is, whether to take a loan individually or apply for a joint loan. A joint home loan as the name suggests is taken by two people together. In today’s time when the prices of the real estate property are skyrocketing, availing joint home loan is a wise thing to do  to own a home.

In present times, joint home loans are becoming extremely popular among Indians as majority of the individuals find it difficult to afford repaying the loan. Also, in various cases individuals find it difficult to get sufficient amount of loan required to buy the property of their choice. In such circumstance, it is best  to apply for joint home loan. You can apply for a joint loan either with your spouse or any other relative. This has various benefits over loans applied by individuals. The top benefits are discussed below:

•    You can  borrow more money
When you apply for a home loan, the housing finance companies consider the income, employment status, financial credentials and credit history of the applicants. The total amount of loan the lender approves will be based on these factors. Also, the lenders approve loans based on their assessment of your ability to repay the loan. It is quite obvious then that your income and financial credentials would  improve if you are applying for home loan on joint basis. When you apply for loan jointly, the lenders would consider the income of both the applicants, making you eligible to borrow more money.

•    Tax benefit
The home loan tax benefits that are applicable on home loans under section 80 C and Section 24 of the Indian Income Tax Act is extended to both the partners. Under these sections, each borrower is eligible to get a maximum deduction of Rs. 1 Lakh and Rs. 1, 50,000 on the principal amount and the interest payable on the loan. Thus, in a joint loan scheme, you would get a total deduction of Rs. 2 lakhs on the principal amount and Rs. 3 lakhs on the interest amount.

•    Easy repayment
The re-payment process for joint home loan is similar to loans availed by individuals. Even though two people apply for the loan, the housing finance companies do not accept two cheques for the same EMI. You can make your payment through your joint bank account. Also, the joint loan eases the burden of EMI on individuals; you can either share the number of EMIs among yourselves or contribute equal amount every month towards repayment.
Thus, it is quite obvious that a joint home loan has many benefits over loans for individuals. If you are availing home loans from Indiabulls Housing Finance Limited our expert executives would help you understand the various benefits and guide through the various process of availing joint home loan.

Thursday, March 6, 2014

Comparing Home Loans: Who Offers the Best Deal?

Today, owing to the increasing demand for home loans, the housing finance companies in India offer different home loan schemes to suit the needs of the individuals. If you have no prior experience dealing with housing finance company, it is vital that you compare the different loan deals before making your final decision. While comparing the deals it is  important that you do a fair comparison

One of the major mistakes that most people commit while comparing home loan deals is that they compare the deals of different tenure; however, this would not give a clear picture. Also, if you compare fixed interest rate home loan with floating interest rate home loan schemes, you would not get a realistic picture. While comparing different home loans schemes, you need to remember the thumb rule, i.e. compare the loans with similar interest rate and duration.

Another important tip to remember before you sign up for any home loan deal is to look at the total cost of the loan. You must carefully consider the various fees and charges. The housing finance companies have different fees with different labels. One housing financing company may charge a higher processing fee but provide some subsidy.
While deciding on the best home loan scheme it is important that you don’t make your decision based solely on the lower interest rate. A low rate of interest doesn’t necessarily mean that you get the best deal; you need to compare the terms and conditions of the deal. The interest rate may be low for the first few years but the interest may be much higher after that. Make sure that you get full information about the loan before you sign the papers.

If you are a first time buyer, make sure that you consult a financial expert to know about the various technical terms. Also, consulting your friends and relatives who have availed home loan before can help you get some valuable advice and information about getting home loan. Being informed and updated about the latest trends and market structure is the key to get the best deal. Since home loan is one of the most important decisions you would take in your life make sure that you take your time and take a wise decision so that you don’t regret it later.

If you are availing home loan from Indiabulls Housing Finance Ltd. you can get all the necessary information you would need on our website. You can use our loan tools to check your eligibility; the EMI calculator would give you accurate information on how much you would need to pay every month. Not to mention we have the best advisors who would help guide you through the entire process.

Wednesday, March 5, 2014

How to Effectively use Home Loan EMI Calculator

The prospect of buying a new home always sounds exciting but when it comes to choosing the right lending institution for housing loan they find it to be a tedious task. The home loan equated monthly installment or EMI becomes a major concern for the borrowers. If you do not have any idea about how to manage your EMI, using the EMI calculator would greatly help you. It is a fantastic tool that allows you to the exact amount you would need to pay each month. You can use the tool to calculate the interest applicable on your loan.

If you wish to apply for home loan, it is advisable that you plan your monthly budget well in advance before submitting your loan application. This would not only help you get a clear picture about your finance but also you would be able to know how much money you can afford to spend on your home loan. You can use the EMI calculator to plan your budget in a better way without compromising on your expenses for the future.

With the growing use of EMI calculator, budgeting has become simpler than ever before. You can use this wonderful financial tool from the comfort of your home to know everything about the monthly repayment amount. One of the important things to know about using EMI calculator is that although this tool is easily available online, using it doesn’t guarantee your loan approval. Another important thing to about this tool is that it would not provide any information about your credit ratings, which can become a crucial factor in getting your home loan approved.

The EMI calculator is a must use tool for all home loan borrowers. It provides you with all the information you would need to spend your money wisely on buying a new home. Apart from knowing the exact amount repayment amount, you can also use the tool to compare the different quotes and get the best loan deal in quick time.

If you are availing housing finance from Indiabulls Housing Finance Ltd, you can use the EMI calculator available on our website You can also benefit from the expertise of our financial advisors who would guide you on using the EMI calculator