Having your own home is a way to meet your needs and fulfil your wishes. However, today, the increase in real estate prices has made it difficult for many people to buy their dream house. Thus, opting for a home loan is probably the easiest way to own a home.
We are indeed living in an era where there are many public and private banks and housing finance lending companies that offer a wide range of home loan options to consider.
While you are planning to opt for a home loan, you have two options to borrow as it could either be from a bank or a housing finance company (HFC). Now, choosing between a Housing Finance Company and a Bank for a home loan depends on some crucial factors like loan repayment period, processing fee, interest rate, etc.
Here are ten reasons why it is considered better to avail a home loan from a Housing Finance Company: Read on to know more
1. Maximum Repayment Period
One of the most significant advantages of a home loan is the long repayment tenure that borrowers can avail, which can go up to 20 years. It allows the borrower to reduce the equated monthly instalments by extending the tenure of the loan.
2. Home Loan Helps Build A Good Credit Score:
While applying for a home loan at any financial institution, the first thing they will check is your credit score. The higher the credit score, the better chances of getting your home loan approved.
3. Choose the interest rate that suits you best:
A home loan comes with either a fixed interest rate or a floating interest rate. A fixed interest rate is set at a specific figure when you take the loan and remain the same until its completion. A floating interest rate, on the other hand, fluctuates according to the prevailing market conditions. Depending upon your requirements, you can choose between a fixed-rate loan or a floating-rate loan.
4. Save A Down Payment:
A down payment is essential to be eligible for a home loan. The first step toward your dream home is saving for a down payment. In a home loan, you need to personally fund a portion, and the rest will be funded by the lender. So, the more you save, the easier the loan will be.
5. Quick Loan Approval
Your creditworthiness is calculated based on your income, age, nature of work, bank statements, and CIBIL report, and then a decision is made on the maximum loan amount that we can be offered. We also ensure the process to be seamless and hassle-free.
6. Processing Fees:
The home loan processing fee is the charge payable by the applicant to his/her lender once the home loan application is accepted. The processing fees charges for home loans vary from one bank to another. All details about the home loan that includes the interest rate, EMI amount, processing fees, etc. are informed in advance and you can make up your mind to go for the loan.
7. Quick Loan Disbursal:
At Shubham, we disburse the loan on completion of all the procedures such as property, documentation. Once you’re eligible for the home loan, then you can get funds directly into your account within 90 days from the date of sanction.
8. Minimum Documentation:
For a successful home loan approval, the borrower must submit the documents specified by the bank.
Here is the list of documents that the borrower must submit:
- Identity Proof like Voter ID, Passport, Adhaar Card, Driving License.
- Address Proof like Ration card, Adhaar card, utility bills like electricity bill, phone bills, etc.
- Age proof- 10th certificate, Adhaar card, birth certificate, or as demanded by the bank.
- Passport size photographs
- Bank Statements
9. Top-up Loan
Finance your other requirements with a high-value top-up loan over your existing housing loan. You can easily apply for a top-up loan without any extra documentation and at a nominal rate of interest.
10. Easy Balance Transfer Facility:
Refinance your existing home loan with Shubham Housing Finance. With the balance transfer facility, one can choose to go to a lender who provides better services at an attractive interest rate.
Looking for a home loan? Shubham Housing Finance provides you with hassle-free home loans with quick approvals and minimal documentation. For more information, feel free to reach us at 1800 258 2225 or Contact Us