Let us share an example with you! Disha, Mumbai based Singer, decided to apply for a home loan in order to fulfill her long and cherished dream of owning a home. Tired of knocking the doors of several NBFC’s and traditional lenders, she finally chose a lender having convincing sales skills, without really conducting prior research on the internet. As a result, she has to deal with several ordeals during repayment that includes dealing with hidden charges, and heavy penalties. Although the financial insight proves to be helpful somewhere, it is not required so often. Borrowers search for the most reputable lenders or loan providers to get the best home loans but often end up getting trapped in the wordy circles of the salesperson. Thus, it becomes so important for one to do his or her homework and take into consideration every factor before applying for home loans in India.
So, what is the importance of taking a home loan from a reliable lender? Well, what happens is there are some stringent terms and conditions; absurd policies which you can say are the trademark of financiers that most of the borrowers avoid. It is only a reliable lender who would offer the best home loans when it comes to terms and conditions of the loan. And, apart from this, only a reliable lender would provide superior customer service to you and will be willing to go down and walk an extra mile with you to keep their customers satisfied.
Hence it becomes important for the one to check the reputation of a lender, reviews through third-party loan aggregator’s websites if you directly don’t hold any relation with the lender. The article enlists some of the major factors that will help you make a better decision when selecting the best home loans. And, some of them are:-
Home Loan Processing and Disbursal: Applying online and then connecting with a lender directly rules out the possibility of any delays, and process your best home loans application quickly. And, if everything in order, then it takes 15-20 working days for a lender to process your home loan application in India. Everything in the order we mean that all your documents required for home loans in India should be in place and ready. Once approved, a lender takes an additional 5-6 days, for disbursing the loan amount.
Loan Qualification: Well, the internal lending criteria vary from one lender to another, based on the basis that a particular amount of home loan is approved for the borrower. The criteria cover your age, job profile (differ for both salaried and professional business person), salary slips, ITR’s, employment stability, your credit history, etc. You can check your eligibility for home loans in India through third-party aggregator websites.
Technically, how much should you pay? The cost of taking best home loans varies from one lender to another and it also depends upon your decision-making abilities, like whether securing a home loan would be an economical affair or not? So, as a borrower, you must weigh certain things carefully at the cost front.
Interest Rates: Now, depending upon the market fluctuations, the home loan interest rates vary. Like in case of a well-planned investment portfolio, first you must analyze the liability portfolio and should plan on getting the maximum out of it. So, as a thumb rule, if floating home loan interest rate seems highly volatile, then fixed interest rate would be an ideal move for you. Otherwise, financial pundits advise to go for floating home loan rates for a long tenure.
Hence, these were some of the major factors that you must keep in mind while shortlisting the best home loan provider in India. Hope this information has been helpful to you!