Building or a home is an average Indian dream most of us share. In fact it is one of the most highly valued and important possession of an individual. But with the real estate prices rising and falling constantly, constant changes in the interest rates and the banking policies formulated by the government. The potential home buyers need to be especially careful while financing their homes and selecting the right kind of lending institutions.
Home loans involve a long term commitment and aregiven to build or buy your own house. Here is the process of applying for a home loan and also the disbursal:
Apply for a home loan easily:
When you apply for home loan you need to provide a formal application for the house loan, along with the personal details on the basis of this the lending institution will decide your eligibility for availing the home loan. The banking and the non banking institutions also ask for a whole set of documents that includes the id proof, address proof, age proof, proof of the educational and the professional qualification, the employment certificate, the salary skip, the bank statements for the past few months, the pan card and also the property details.
Pay the processing fee on the loan:
The home loan is sanctioned at an interest rate which varies from 9-10% across the nation. The processing fee over these home loans is very nominal which is 1-2% of the principal loan amount.
Verification of the loan applicant:
In the process the banks gauge and cross check the applicants’ ability to repay the loan amount that he is going borrowed. This is based on the amount the applicants wishes to borrow. The lending institutions also check the regularity of the applicant in the payment of the previous loan that was taken by the applicant. After the evaluation of all thisbanks or the non banking financial institution will decide the principal loan amount they can sanction to him as the home loan.
Verification of the property:
Before the loan is disbursed, the lending institutions will ask for the legal documents pertaining to the home he has bought which is to be turned for inspection.
Disbursal of the loan:
After the above mentioned process has been cleared, the home loan will be disbursed. The lending institutions have made this process of the home loans easier as compared to earlier. With the recent development in the technology the process of the home loan application and the disbursal process are now being hosted online as well. This makes the home loan more convenient which was previously long, harrowing.
Before availing for a home loan or nri loans one can always compare the them online on online comparing sites. This will help the individual to know about the recent market conditions. If he has a good credit score he can also bargain with the lending institute for a concession in the interest rate over the housing loan. He can also talk to the customer care executive if he is unaware of the present market conditions or the process of the home loan.