Rajkot is one of the major cities in the Indian state of Gujarat. With scopes of business and other opportunities looming large here, opting to make Rajkot your home could be a smart move. If you are short of funds to purchase a home in Rajkot, you can consider a Home Loan in Rajkot to help you out.
However, before you go ahead and apply for a Home Loan in Rajkot, considering some factors in advance will help you grab a better deal with lower Home Loan interest rates. Let’s discover more.
Consider these Points before availing a Home Loan in Rajkot
Is your CIBIL Score well-maintained?
Your CIBIL Score or the Credit Score is the first thing that lenders will analyze while processing your housing loan application. Hence, it is mandatory to keep it healthy. A score above 700+ will help you not only get a loan approval but at a lower Home Loan interest rate. Don’t lose heart if you still don’t have a good CIBIL Score as you can improve it by paying your existing loan EMIs, credit card outstanding and other liabilities on time. You can check your Credit Score on CIBIL’s website or any third-party websites for free.
Have you checked your Loan Eligibility Amount?
When you apply for a Home Loan without determining your loan eligibility amount, your Housing Loan application will be rejected by lenders. Thus, you should check your loan eligibility amount by using an online tool such as Home Loan eligibility calculator. Once you enter your age, desired loan amount and income, it will showcase the exact amount that you could avail as a Housing Loan.
What about the Home Loan Documents?
The documents required for a Home Loan may vary from lenders to lenders and not having them ready may jeopardize your chances of availing a housing loan. Thus, ensure that you have the required documents for a Home Loan beforehand. Some basic KYC, income, age, and other details will suffice your House Loan documentation.
Is your Down Payment Ready?
Applying for a Home Loan also means getting a down payment ready! Most of the lenders will approve only up to 90% of the total amount of the desired House Loan. As a result, you will need to arrange up to 10-20% out of your own pocket. Paying a decent down payment also means reducing the loan principal, interest-rates, and smaller EMIS. As a result, you can efficiently manage the repayment without burning a hole in your pocket.
What should Loan Tenor Suit You?
Opting for a longer tenor will let you pay smaller EMIs, but the compounding rate of interest will be more. And if you settle for a shorter tenor, you will be paying higher EMIs which will surely affect your monthly income and other liabilities. Thus, be very prudent while zeroing in on a loan tenor.
Have you Compared all Deals?
You should also compare all possible Home Loan in Rajkot offers by landing on a third-party website. Yes, once you get a get deal matching your needs, and repayment capacity, then only apply for it.
The Bottom Line
You must be pretty confident of what factors to consider while applying for a Home Loan in Rajkot or elsewhere. Once you are ready, you can apply for a Housing Loan online these days, and fulfil your wish of living in your dream home in Rajkot!