Last Updated on March 15, 2021 by Shiv Nath Hari
Home Loan Being buried under the burden of EMI? Reduce monthly installments in these ways
Home Loan EMI: After taking a home loan, try to make a little prepayment after a time. The benefit of pre-payment will be that the amount of loan being paid by you will be reduced.
New Delhi: Everyone wants to have their own house. In a person’s life, he definitely expects that he has his own house in life. However, one has to spend a lot of capital to build or buy a house. In such a situation, people who do not have large capital at one time, then they also take loan support for the house. Home loan is taken for a long time and sometimes the installment of this home loan seems to be huge. But in some ways you can reduce your home loan installment.
Institutions providing more down payment loans provide loans according to the market value of the property. At the same time, before taking a home loan, try to make as much down payment as possible. Actually, the more down payment you make for the property, the less loan will be taken. The advantage of this will be that the installment on the loan will be less and the interest going on it will also be less. One of the advantages of this is that if you apply for a loan as low as the market price of the property, then the chances of getting a loan increase.
After taking a pre-payment home loan, try to make a little pre-payment after a while. The benefit of making a pre-payment will be that the amount of the loan being repaid on your behalf will be reduced and the time period of the loan can be re-determined. At the same time, the loan installment on pre-payment, the interest being paid on it also decreases. Depending on your financial situation, the time and amount of pre-payment can be determined.
The change in the home loan company
happens many times that you take home loan at a higher interest rate and after some time the interest rates fall, but due to the interest rate of the loan taken by you, it is fixed. Change does not come. In such a situation, after taking a home loan, you can change your existing home loan company and move to another company. In this situation, home loan balance transfer can be considered. You can save a large amount by transferring home loan balance to the company which offers good interest late. However, before doing this, compare the interest rate, monthly installment and your profit and loss with the best.
While taking home loan, check the current offer for home loan. Different companies offer home loans from time to time. Home loan installments can also be reduced through these offers.
If the partner of the loan is looking for more installment of home loan then for this, joint home loan can also be considered. Under the joint home loan, the income of the applicants is seen and the loan is determined accordingly. Many lending companies also provide loans to women co-applicants at concessional interest rates.