Home Loan
Overview
Your dream house may come at a price, but that doesn’t mean it’s out of your reach. With a home loan, you can march towards the home you’ve always wanted to build.
A home loan is a secured loan you can take to buy a residential property or construct a house. It can also be used to renovate, expand, or upgrade your existing house. When you take a home loan, your property serves as collateral.
This means the lender holds the deed of the house until you repay the entire loan amount, including the principal and the interest. Navigating the terms and conditions of a home loan – especially if you’re a first-time borrower – can be tricky.
But with DK Finsage Consultancy by your side, you don’t have to fret about a thing. We help you find the best home loan providers in India with our 360-degree support from start to end. Starting from home loan eligibility check up until disbursal, we guide you throughout your borrowing journey. Our expert home loan advisors offer unmatched insight into the market, helping you inch closer to your dreams. Choose DK Finsage Consultancy to compare lenders and find the lowest home loan interest rates in India, high loan amounts, and the most favourable loan terms.
Uses of Home Loan
ou can avail of different types of home loan products based on your needs. Here are some of the most popular uses of loans.
New house purchase
Use a loan to purchase a new house – be it a ready-to-move-in flat or a property under construction. Own the house you’ve always dreamt of living in with your loved ones. Lenders will finance most of the property's market value as a loan, and you need to pay the rest as down payment.
House renovation or extension
A home extension/expansion loan is ideal for financing a renovation plan if you already own a house. Add a new bedroom or another story to your house without dipping into your savings. The loan will cover all the expenses involved in upgrading your house.
Top-up on loan
A top-up on a home loan is an easy way to raise money when you already have a property mortgaged with the lender. You can borrow a certain amount over and above your existing home loan. What’s more, you can use the loan amount for your personal use at competitive interest rates.
Eligibility Criteria
A Home Loan can be availed of by anyone, whether you are a salaried employee, government employee, or a working professional. All you have to do is fulfill basic eligibility conditions laid out by banks and NBFCs. While personal loan eligibility conditions can differ across banks and NBFCs, here are some standard criteria you must be:
Salaried or a working professional
Aged between 21 and 60 years
Having a job and a minimum of 3 months experience
Having a minimum of Rs. 25,000 net income per month.
Eligibility Criteria
A Home Loan can be availed of by anyone, whether you are a salaried employee, government employee, or a working professional. All you have to do is fulfill basic eligibility conditions laid out by banks and NBFCs. While personal loan eligibility conditions can differ across banks and NBFCs, here are some standard criteria you must be:
Salaried or a working
professional
Aged between
21 and 60 years
Having a job and a minimum of
3 months experience
Having a minimum of Rs. 25,000
net income per month.
Use our Home Loan eligibility calculator to ascertain your loan eligibility and apply for a loan.
Documentation Required
Photo Identity Proof
- Voter ID
- Aadhaar Card
- Passport
- PAN
- Driving Licence
Proof of Residence or Address Proof
- Aadhar Card
- Driving Licence
- Passport
- Registered Rent agreement
- Latest gas or electricity bill
- Bank statement with current address
Income
Proof
- Income Tax Returns for the last 3 years
- Business Licence Details
- Balance Sheet audited by a certified CA and Profit and Loss account for the last 3 years
- Business address proof
- 6 month bank statements of current and savings accounts
- A copy of Form 16
- 6 month bank statements of salary account
- Last 3 months’ salary slip
Others
- Allotment Letter
- Sale Deed
- No Objection Certificate or NOC
- Allotment Letter from Society/Housing Board/Private builder
- Stamped Agreement of Sale
- Possession Certificate
- Construction Cost Estimate
- Bank Account Statement of Payment Made to Seller or Builder
- Occupancy Certificate
- Land Tax Receipt
Application Process
- 1
Connect with us and explain your needs. We curate a bunch of loan products most suitable for your profile
- 2
Next, we help you compare several home loan products so you can choose the best one.
- 3
Once you’ve picked a lender, we help you with the application process. You need to apply for the loan online and submit all necessary paperwork.
- 4
Once you submit your application, the lender takes some time to process it and verify your documentation.
- 5
Finally, you receive the loan amount in your account.
Processing Fee
Besides the home loan interest rate, you also need to pay a processing fee to your lender. This is a charge lenders levy to cover the cost of verifying your documentation and processing your loan application. Typically, this fee is 1-2% of the total loan amount. You also need to pay a GST of 18% on the applicable fee. At DK Finsage Condultancy, we help you find lenders charging the lowest processing fee on home loans.
Home Loan Balance Transfer
If you’ve been paying hefty home loan EMIs and want to reduce your financial burden, consider a home loan balance transfer. A home loan balance transfer, or home loan refinancing, is a method of transferring your outstanding home loan balance from your existing lender to a new one. Yes, there are several benefits of home loan balance transfer. This facility can help you enjoy lower interest rates and better repayment terms. You can also get a top-up loan during the home loan balance transfer process if you need some extra cash.
The eligibility criteria and the required document proofs for a balance transfer are the same as those required to apply for a home loan. Rely on Finbros Capital Advisory’s expert home loan advisors for end-to-end assistance during the process. To better understand your total savings from the balance transfer, use our home loan balance transfer calculator.
Documents required for a balance transfer
- Identity proof – Passport, Aadhar Card, Driving License, etc.
- Address proof – Aadhaar Card, Passport, Voter’s ID, etc.
- Bank statements – Last 12 months’ statements for current and savings accounts
- Income proof – Balance sheet and Profit/Loss Account audited by a registered CA for the last two years, last three years of ITRs – both company and individual
- Property documents – Allotment Letter, Sale Deed, NOC, Allotment Letter from Society, Stamped Agreement of Sale, Possession Certificate, etc.
Eligibility
Different financial institutions use their own set of eligibility criteria. Check home loan eligibility online of your chosen lender before you make a decision. These are some common eligibility criteria laid out by banks and NBFCs that you must fulfill:
Be a salaried or a working professional or self-employed Be a Resident Indian, Non-Resident Indian (NRI), or a Person of Indian Origin (PIO) Aged between 21 and 65 years Having a minimum work or business experience of 1 year Having a minimum monthly income of Rs. 20,000Conduct a home loan eligibility check online to understand if you can apply for a loan with the lender of your choice
FAQ's
Which factors determine home loan eligibility?
While different financial institutions use different criteria, the most commonly used factors are:
1. Age
2. Net Annual Income
3. Type of employment
4. Resident type [Indian Citizen, Person of Indian Origin (PIO), Non-Resident Indian (NRI)]
5. Number of co-applicants
6. Credit score
7. Co-applicants’ income
8. Other ongoing loans (if any)