The Home Loan Mystery Solved

The property scene in Mumbai is always buzzing. It is a prized possession and everyone does their bit to buy their own dream home in this mega city. Out of the many options available, there is one that most people opt for because of its reliability. What is that? It’s the home loan from banks.
Even though it is the safest bet going around, people still get confused with the amount of paper work that is involved and other important considerations that should be part of one’s application. We will break down the things that you need to keep in mind while applying for a home loan. Read on, to find out.

Age 45 years to retirement

The age for retirement in most companies is 60 years. Keeping this in mind, when you take or are thinking of taking a loan, the time and the interest needs to be taken into consideration. A thorough research needs to be done at all times, but it becomes all the more important when you are part of this age group.
The tenure of repayment should be as big as possible, since the lower the repayment period, higher the EMIs. Another option that can be tried out by people who are in this age bracket is a joint loan. The safest option amongst all for people of the age 45 and above can be heavy down-payment considering you’d have enough by now in your account.

From 30 to 45 years

People in this age group are in the best possible position to take a loan as they have age on their side. Although this may be an advantage for them, they do need to take care of some points like credit score. A good credit score is essential to get a loan from a noteworthy bank. If you are unsure of your creditworthiness, head to CIBIL’s website to get an idea.

In your 20s

With more and more youngsters getting into the high income bracket, each passing year sees a growth in the number of home loan seekers of this age. There is though a chance of messing things up by jumping the gun. You need to decide whether you are old enough and mature enough to handle this responsibility. The rules that most banks have placed allow for people above 21 years to be eligible for a home loan. Others like Axis bank have set the age limit higher.

Also, applying at a very young age means the banks will scrutinize your economic conditions. Most of them would also want you to spend at least two years in the current job.
Given that most of the current projects in Mumbai have a tie up with various banks for ease of loan applications, the task is less tedious in today’s times. A few carefully taken steps can get you your dream home!