Home Loan FAQs
Note: The below information is a general guidelines for overview information only, and should not be treated as full and final. One should rely on details provided by the bank from which loan is requested.
What are the general types of home loans available?
- Home Purchase Loan
- Home Improvement Loan
- Home Construction Loan
- Home Extension Loan
- Home Conversion Loan
- Land Purchase loan
- Bridge Loan
- Balance Transfer Loan
- Refinance Loan
- Stamp Duty Loan
- Loans to NRIs
What are the eligibility conditions for a home loan?
To qualify for a home loan, generally, most financing companies require you to be:
- An Indian resident or NRI
- Above 21 years of age at the commencement of loan
- Below 65 when the loan matures
- Either salaried or self employed
What types of Interest Rates offered for home loans?
- Fixed Interest Rate Home Loan
- Floating Interest Rate Home Loan
What is fixed rate of interest?
This means that the rate of interest remains unchanged for the entire duration of the loan. In this option, the loan purchaser does not get benefit, even if rates of interest drop in the market.
What is a floating rate?
According to market lending rate, this type of rate keeps on fluctuating.
What are the repayment period options?
Generally this period varies from 5 years to 25 years.
Are securities required for home loan?
Generally, the property itself becomes the security and is mortgaged to the lending institution till the entire loan is repaid. The requirement may vary for type of lending institution.
Do I require a guarantor to get a home loan?
Depending upon rules and regulation of lending institution.
During what period after application, a home loan get approved?
Period Varies from Bank to Bank and largely depends on the speedy submission of exact documents submission as desired by respective bank.
Can I make joint applications for home loans?