Having a home of your own might be one of the oldest dreams you ever wove but considering the present scenario of real estate, it’s challenging for the people belonging to the lower to medium income group to fulfill the dream. Along with the high-interest rates charged by the banks and other financial sectors, the price of the houses and apartments are also rising unlike before. This scenario is technically most people to back off from their dream and compromise their living in a rented apartment or in the old parental houses they inherited. There are reputed banks and private financial companies that can be convinced to cover nearly 80% of the cost of the particular property. MCLR home loan is the finance extended to the loan applicants so that they can buy the home with that money. The banks or whichever financer is offering the home loan use the property as collateral. If the homeowner fails to pay the money, the property is foreclosed by the bank or lender. They sell the property and get back their money. This is how the whole process is carried on. There is no such constraint pertaining to your income. The financer will check your source of money. So, while applying for the home loan, share with them your income details. So that based on other details such as KYC, etc., they can understand what you do whether a salaried employee or an independent businessperson or a self-employed person.
Here are Some Benefits of Home Loans—
Get the Cash & Make your Dream come True
It’s an amazing feeling to receive the money within some time of approval with which you can buy the house or apartment you have chosen to purchase. Make your dream come true with the money the financer offered you. Instead of appealing to any relative or anyone else, you can get the cash by appealing the financer. Let them go through a complex process before they approve the money.
Longer Tenure to Payoff
You can ask for a longer tenure of paying off the loan say, for example, 30 years or so. Throughout all these years, you’ll pay off the debt on time before the financer sends you a reminder. Often they accept the signed checks in advance or they can deduct the money from your bank account directly within a certain time of the month.
No Additional Charges on Repayment
There is no additional charge required for paying the money during repayment. Usually, banks and popular financing companies don’t set such goals and make it more complex for the customers.
Considering the deductions under section 80C of Income Tax codes, you’ll be eligible to ask for a deduction of Rs. 1.3 lakh. On buying the second home, you can apply for the total exemption of the house loan interest under the Section 24B per Income Tax codes.
So, these are the benefits of home loans. Choose the finance company wisely after reading and knowing the clauses properly.