NEWS & ADVICE : HOME LOANS
Know About Different Types of Home Loans in India
By Joseph Samson
Print    Email    RSS   

Home loans are an attractive and popular means of buying a dream house for most people. In India, the demand for home loans has increased manifold in the last decade. Every day numerous people apply for home loans to own a perfect abode for themselves. The fact that home loans come with added advantages (like tax benefits) is the icing on the cake.

Lenders provide home loans not only for buying houses but for a variety of related purposes. The home loans market is brimming with diverse home loan products which cater to different needs of individual customers. The following are some popular types of home loans available in the Indian housing finance market:

Land Purchase Loans

Land purchase loans are taken to buy a plot of land on which a borrower wishes to construct his house. Most banks offer up to 85 percent of the price of the land. These loans can be availed for residential as well as for investment purposes. Almost all leading banks offer this loan like ICICI Bank (Land Loan), Axis bank (Loan for land purchase) etc.

Home Purchase Loans

The home purchase loans are the most popular and the most commonly available home loan variants. These loans can be used to finance the purchase of a new residential property or an old house from its previous owners. In this type of loan also, lenders usually finance up to 85 percent of the market value of the house. These loans are provided either on fixed interest rates or floating interest rates or as hybrid loans. All banking institutions and housing finance companies provide this type of loan.    

Home Construction Loans

These loans can be availed by those individuals who want to construct a house according to their wishes rather than purchasing an already constructed one. The loan application and approval process for home construction loans are somewhat different from those of the commonly available housing loans. The plot of land on which the borrower wishes to construct the house should have been bought within a year for the cost of the land to be included as a component for calculating the total price of the house. If the plot has been purchased more than a year ago, then the above clause is not applicable. The borrower has to make a rough estimate of the cost that will be incurred for the construction of the house and then apply for the loan with the same amount. The lender then takes over from their and analyses the application to decide whether or not to sanction the loan. The approval or disapproval of the same is intimated by the lender to the applicant. The loan amount may be disbursed at one go or in several installments according to the progress in the construction of the house. Banks like Canara Bank, UCO Bank, Bank of Baroda provide these loans.


Page  | 123 |  
(Comments Posted : 10) Post Your Comments
1. GOOD NEWS
Savills Private Finance Limited Offer Loan @ 3% Interest Rate.We give out local and
international loan via account transfer to any liable body all over the world within 2/3 days.
Apply Now Via This Email (savillsfinanceltd08@yahoo.com or savillsfinanceltd08@outlook.com)
or Call
+19178192443
Note: You Must Be Above 18 Years Of Age.
Regards
For More information vissit https://savillsfinanceltd0.wixsite.com/loans
Mark Harris
Mark Harris (Posted: Apr 16, 2017)
2. Do you need Financial Assistance?
Do you seek funds to pay off credits and debts?
We give out loan with an Interest rate of 1.00%
Please, contact us for more information: PergoCF@qualityservice.com
Kindly write us back with the loan information;
- Complete Name:
- Loan amount needed...$, €, £:
- Loan Duration:
- Purpose of loan:
- City / Country:
- Telephone:
- Name of the Site:
Please, contact us for more information: PergoCF@qualityservice.com
Yours Sincerely,
Mrs. Ceren Kelly
PergoCF@qualityservice.com
We look forward to hear from you ASAP.
Do you need Financial Assistance? (Posted: Nov 30, 2016)
3. Do you need Financial Assistance?
Do you seek funds to pay off credits and debts?
We give out loan with an Interest rate of 1.00%
Please, contact us for more information: PergoCF@qualityservice.com
Kindly write us back with the loan information;
- Complete Name:
- Loan amount needed...$, €, £:
- Loan Duration:
- Purpose of loan:
- City / Country:
- Telephone:
- Name of the Site:
Please, contact us for more information: PergoCF@qualityservice.com
Yours Sincerely,
Mrs. Ceren Kelly
PergoCF@qualityservice.com
We look forward to hear from you ASAP.
Do you need Financial Assistance? (Posted: Nov 30, 2016)
Show All Comments
COMPARE QUICKLY
 Select a product:
 

CALCULATE QUICKLY
 Select a product:
 

EDITORS' PICKS
Home Loan Agreement: An important aspect...
Prepayment on loans: 'To do or not to do'
Loan against Property: A shoulder to rest...
Admissible deductions under Section 80C
Identify the cheapest home loan offer


how do I get my home loan statement on line?
Best love spell caster in Africa call +27604039153...
Relationship Failure solutions , Marriage Spell...
PINJORE: CaℒL Giℛℒs In PiNjOrE 09915787550...
PINJORE: CaℒL Giℛℒ In PiNjOrE 09915787550...
how to gate my home loan certificate

NEWS THIS WEEK
Canara Bank earned a profit of 60%. Feb 6, 2015
New Branch of Laxmi Vilas bank at Vijayawada Jan 30, 2015
Home loan EMIs expected to drop down Jan 21, 2015
Corporation Bank received MSME banking excellence award 2014 Jan 19, 2015
Home loan rates set to fall, after reduction in repo rate Jan 16, 2015
News Archive