A home loan is a loan taken from a bank or financial institution to purchase a home, build a house, or renovate a house. Interest rates are charged on home loans, and this debt is repaid monthly in the stipulated period.

Eligibility for Home Loan:

1. You must be a resident of India.
2. You should be 21 years old or older.
3. You must have a regular income.
4. Your credit history should be good.

Documents Required for Home Loan:

1. Identity proof: PAN card, voter ID, passport, etc.
2. Address proof: Ration card, electricity bill, telephone bill, etc.
3. Income proof: Salary slip, business documents, etc.
4. CRISIL, CIBIL credit reports.
5. Property-related documents: Papers, valuation reports, etc.

Home Loan Process:

To apply for a home loan, you can visit your preferred bank or financial institution and submit your application. After filling out the application, the bank will verify your eligibility and process your application. If your eligibility is accepted, the bank will offer you a loan. Upon acceptance of the offer, your loan will be approved, and you can use it for purchasing a house or building one.

How much loan can you take?

How much money can you offer to repay the loan? What interest rate will be charged on the loan? How long will it take to repay the loan?

A home loan is a significant financial decision. It can have a significant impact on your financial future. Therefore, before taking a home loan, it is essential to consider all aspects carefully.

Home Loan Interest Rates of All Banks for 2023 Initial Interest Rate (pa) (Processing Fee)

Kotak Mahindra Bank – 8.75% per annum up to 2% more Union Bank of India – 8.70% per annum up to 0.50% based on the loan amount Bank of Baroda – 8.60% per annum up to 0.50% (Minimum Rs. 8,500; Maximum Rs. 25,000) Central Bank of India – 8.35% per annum up to zero or 0.50% Bank of India – 8.45% per annum up to 0.25% for individuals (Minimum Rs. 1,500; Maximum Rs. 20,000) State Bank of India – 8.40% per annum up to 0.17% HDFC Home Loan – 8.45% per annum up to 0.5% or more than Rs. 3,000 LIC Housing Finance – 8.45% per annum up to 0.50% Axis Bank – 9.00% per annum up to 1% or minimum Rs. __

We pride ourselves on our comprehensive knowledge of the real estate market in areas like Mumbai, Navi Mumbai, Thane, as well as surrounding regions such as Karjat, Neral, Vangani, Badlapur, among others. Utilizing this knowledge, we aim to provide our customers with the best available options. Contact MakaanBhai.com now for a secure transaction in your home. We, at MakaanBhai.com, are the top property advisors in Mumbai, offering zero brokerage fees, with our experienced professionals dedicated to guiding you through the entire process.

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Buying a house or a car and taking home or car loans has become common these days. Additionally, people often take personal loans to fulfill various needs. Whenever you take a loan, you have to pay the EMI on a designated date, or else penalties are levied by the bank. However, there are times when paying the EMI becomes difficult.

If you ever face a situation where you are forced to bounce the EMI due to unforeseen circumstances, don’t worry. In such a scenario, take these 4 essential steps so that it doesn’t affect your CIBIL score, and you don’t face any problems in the future.

Meet the Bank Manager – In this regard, retired bank officer A.K. Mishra suggests that if you haven’t done so intentionally and your EMI has bounced due to sudden difficulties or adverse circumstances, you should first go to the branch where you took the loan. Meet the manager there and discuss this issue. Explain your problem and assure them that such a situation won’t arise again. If your case is valid, the issue can be resolved easily. Even if the bank imposes a penalty, it might not be too severe for you to handle.

Discuss with the CIBIL Score Representative – If you’ve bounced installments continuously for three months, your CIBIL score might be affected because the bank manager sends a report to CIBIL regarding installments bounced for three months. However, if only one or two installments have bounced, talk to the bank manager to pay those installments and request them not to send a negative report to CIBIL. Also, assure them that it won’t happen in the future. A low CIBIL score might cause trouble when you apply for a loan next time.

Apply for Holding EMI – If your problem is significant and you feel unable to pay the installment for some time due to your compulsion, you can request the manager to hold the installment by explaining your situation. After some time, when the funds are arranged, you can make the payment. This will provide you with some relief during difficult times.

Option for Arrear EMI – If your salary is delayed or you are unable to arrange funds for the EMI by the specified date and as a result, EMIs are bouncing, you can discuss with the manager for arrear EMIs. The due date for installment payments is usually at the beginning of the month, known as advance EMI. Most loan applicants are given the option for advance EMIs. However, if you prefer, you can also opt for arrear EMIs, where you pay your installment at the end of the month.

If you need further assistance or information about real estate in Mumbai, Navi Mumbai, or surrounding areas like Thane, Karjat, Neral, Vangani, Badlapur, among others, feel free to reach out to MakaanBhai.com. We, MakaanBhai.com, pride ourselves on being the leading property advisors in Mumbai, offering zero brokerage fees and dedicated professionals to assist you throughout the process.

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If you’re eager to buy your dream home soon after a recent loan settlement, your dream might be a bit farther away. After all, obtaining credit becomes slightly difficult after loan settlement. Therefore, if you require a home loan, you might need to wait a bit longer. But why is this so? And are there any provisions regarding how many days after loan settlement you can take a home loan? Let’s delve into this in detail.

What is Loan Settlement?

Suppose you’ve taken a loan and, due to some reason, are unable to repay it according to the original terms and conditions. In that case, you approach your bank or lender for options. Your bank may offer you an option to settle your loan account by making a one-time payment. The outstanding amount you need to pay, i.e., the amount you have to clear, should be less than the total outstanding. Once you pay this amount, your loan will be considered ‘Settled Debt.’ Please note, it won’t be a closed account but rather a settled one.

The tag of your settled loan can remain on your credit report for up to seven years. During this time, whenever you apply for a loan, credit card, or any other form of credit, the lender will consider your loan settlement status while deciding on loan approval.

Can You Purchase a House with a Settled Loan?

If there’s a tag of a settled loan in your report, it doesn’t mean you won’t get a loan at all. Yes, it might not be easy, but it’s not impossible. Several other factors will determine if and when you can get a loan. For instance, there might be some conditions or requirements from the bank that you need to fulfill. By meeting these criteria, you can decide whether you’ll be able to purchase a home.

1. Credit Rating/Score: To get a home loan, your credit score should be above 650. Initially, your credit rating will be checked. Since loan settlement can affect your report negatively, you might need to rectify it first.
2. Debt-to-Income Ratio: The bank will also check your total monthly income and how much of it goes into repaying debts. For loan approval, your DTI should be less than 36%.
3. Job/Employment: Banks also assess your income source and its stability. Usually, they prefer applicants who have been employed for at least two years.

If you need further assistance or information about real estate in Mumbai, Navi Mumbai, or surrounding areas like Thane, Karjat, Neral, Vangani, Badlapur, among others, feel free to reach out to MakaanBhai.com. We, MakaanBhai.com, pride ourselves on being the leading property advisors in Mumbai, offering zero brokerage fees and dedicated professionals to assist you throughout the process.

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You applied for a loan, your CIBIL score was checked, but unfortunately, it was low, and you couldn’t secure the loan. This problem is being observed commonly with 6 out of 10 Indians. So, today’s blog will focus on the CIBIL score. We’ll tell you what this score is, how to improve it if it’s low, and the advantages a good CIBIL score offers to the general public.

What is a CIBIL Score?

Firstly, understand what a CIBIL score is. The CIBIL score indicates your creditworthiness, how efficiently you repay your loans, in other words, your credit history. If you’ve taken a loan and repaid it on time, your CIBIL score will be good. However, if you’ve defaulted on loan payments in the past, your CIBIL score goes down. This could lead to banks scrutinizing your loan applications with skepticism.

What to Do If Your CIBIL Score Is Poor?

The next question is, what can be done if your CIBIL score is poor? If you’ve made mistakes in the past by taking loans and not repaying them on time, there’s no need to panic. You can easily improve your damaged CIBIL score. For this, you’ll need to take a small loan and make sure to pay its EMIs on time. It’s even better if you can pay in advance. Subsequently, your CIBIL score will gradually improve on its own.

The Greatest Benefit of a Good CIBIL Score

A CIBIL score, usually considered perfect between 750 and 900, determines how easily banks grant you loans. Additionally, you’ll not be charged excessive interest rates with a higher CIBIL score. Hence, maintaining a good CIBIL score offers the greatest benefit to individuals.

Several Rules Changed for CIBIL Score

RBI has cautioned NBFIs to inform their customers regularly about their CIBIL scores, ensuring customers don’t delay loan repayments. Alongside, RBI has mandated that all NBFIs resolve any issues within 30 days, failing which they’ll be penalized ₹100 per day.

Subscribe to MakaanBhai.com for accurate information, guidelines, and fair property pricing. We, at MakaanBhai.com, are the leading property advisors in Mumbai, providing complete assistance without brokerage. We pride ourselves on having extensive knowledge about the real estate market in various areas like Mumbai, Navi Mumbai, Thane and surrounding regions such as Karjat, Neral, Vangani, Badlapur, among others. We aim to offer our customers the best available options. Contact MakaanBhai.com now to secure your home investment.

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