Home loans are long term borrowing instruments with a minimum tenure of 5 years and a maximum tenure of 30 years.

Anyone — whether self-employed or salaried individuals/professionals — with a regular source of income can apply for home loans. One must be at least 21 years old when the loan period begins.

loanspace.in offers you all the options available in the market. Loanspace.in negotiates the best rate on your behalf with the Bank. Loanspace.in saves the customer from endless requests for paperwork from Bank.

The type and history of property is important in India. CIBIL Score is important factor.

Income level of the applicant is another important factor.

No. A lender would only allow you to apply for a joint home loan if the application is co-signed by one or more members of your immediate family. Thus, your friend does not qualify.

Immediate family members such as your parents, spouse and children are allowed to be joint borrowers in case of a home loan.

The maximum number of joint borrowers in case of a home loan is fixed at 6.

Floating rate is the interest rate which varies periodically from time to time. Currently in 2021, the best rate offered is 6.5%, which means it is RPLR (4%) + 250 bps (basis points). Banks mentioned the linkup of base rate and the spread on which home loan is offered in sanction letter.

Fixed rate home loans are offered at a predetermined interest rate during the loan period and these remain unchanged during the loan period irrespective of market conditions. We do not recommend this rate as it is always much higher than floating rate home loan.

Forget any metric for rate calculation of Home Loan.

RBI has mandated RPLR linked is the only method of interest calculation for home loan. RPLR is Repo Rate Linked Rate. Repo Rate is the rate at which RBI lends money to Banks. Repo Rate is normally reviewed by RBI on quarterly basis.

Direct debit from ECS (Electronic Clearing System) on a fixed date every month wherein the EMI is automatically deducted from your bank every month from your primary salary/income account.

Direct debit from ECS (Electronic Clearing System) on a fixed date every month wherein the EMI is automatically deducted from your bank every month from your primary salary/income account.

loanspace.in is offering home loan from all types of lenders, private, public banks and NBFCs. However in case of public banks, loanspace.in is not able to offer the service its customer should get. Hence we do not highly recommend public sector banks.

Prepayment of home loan is allowed any time (except for lock in period, 6 months). RBI has mandated, no bank/NBFC can charge prepayment charges from customer on Home Loan.

• Login Fee – This is the fee charges by the Bank for valuation and legal of the property on which home loan is to be availed. It normally ranges from Rs. 5,000 – Rs. 10,000 plus service taxes as valuation and legal is outsourced.
• Processing Fee – Banks are allowed to charge processing fee. Most of the lenders are not charging any processing fee on home loan
• Commitment Fee – There is no commitment fee on home loan. Banks don’t allow customers to switch loans for first six months. 
• Pre-payment Charges – As per RBI mandate, no prepayment charges on home loan can be charged by any lender.
• Miscellaneous charges - Documentation, stamp duty, franking charges are to be borne by the client, which vary from State to State as different States have different tax structure.

The list of documents required by loanspace.in 

• Passport size photographs
• KYC – PAN card and Aadhar Card 
• Residence proof – Utility Bill and property tax receipt
• Bank statement for last 6 months 
• Certificate of Employment from Employer
• Last 3 month’s salary slips (Salaried Employees)
• Last two years Form 16 (Salaried Employees)
• Last 2 years ITR plus Auditor’s Report and detailed Financial Statements (for businessmen/self employed individuals)
• Property Papers with Sanction Map and property chain of 13 years
• For under construction flats/new society – Allotment letter of housing board/ NOC of the society/Builder etc.

Tax benefit is one of the biggest benefit for citizens keeping their loan outstanding.

The tax benefit on home loan is divided into two sections-

• Tax exemption on repayment of the home loan principal: This is the deduction allowed under Tax Section 80C with a maximum annual tax deduction of Rs, 150,000 under the section.
• Tax benefit on the interest rate for a home loan: Under Section 24 of the Income Tax Act, you can avail the tax benefit on the amount of interest paid on a home loan to the maximum limit of Rs. 2 lakhs for a self-occupied property.

Tax benefit for Joint Borrowers: In case of joint home loans, each of the co-borrowers is eligible to receive a total of Rs. 3.5 lakhs (1.5 lakhs under section 80C + 2 lakhs under section 24) as tax exemption. Hence, if a married couple co-signs for a home loan, they can claim a total tax exemption of Rs. 7 lakhs on their home loan.

Top up loan is the amount required over and above the purchase of home loan, normally for renovation purposes. Not much paperwork is required for top up loan.

Good CIBIL score is important for availing home loan. Customers with poor credit score will have to pay more interest rate and they can denied home loan by all lenders as well.

In case you have a poor credit score, you will find it difficult to get a home loan. However, you can improve your chances by getting a co-borrower. The co-borrower needs to be a family member like your spouse or parents. Ideally, you should choose a co-borrower who has a regular source of income and good credit history to bolter your chances of a successful application.

The margin on a home loan refers to your own contribution of money, also known as down payment for purchasing home. Minimum margin normally ranges from 10 – 25% of the total home purchase price, depending on number of factors.

Apart from the margin, some other costs will have to borne by you. Some of the key expenses in this regard include the initial down payment, stamp duty costs, registration costs and transfer charges among others.

There are various types of home loans depending upon your specific requirement. Some of the key ones are as follows:

Land purchase loans: These loans are granted to individuals for the purchase of land on which they intend to build a house.

Home purchase loans: These are the most common type of home loans that is granted to individuals and they are granted for the purchase of an apartment/builtup house.

Home construction loan: This type of loan is granted to individuals for the construction of a house on a plot of land that is already owned by the applicant.

Home Expansion/Extension Loan: This loan is specifically granted to individuals who want to expand their current home to include a new construction such as an additional floor, room, bathroom, etc.

Home Improvement Loan: Existing home owners who lack sufficient funds to renovate their existing home can apply for this loan to upgrade their home with a new paint job, electrical wiring, water proofing, etc.

Home conversion loans: Using this type of home loan, an existing home owner can add to their existing loan so that they can purchase a new house. This type of loan is only applicable to existing home owners.

NRI Home Loans: These home loans are specifically designed to provide non-resident Indians with financing so that they can purchase a home in India.

Home loan pre-approval is a facility provided by banks and NBFCs to their customers, which allow those interested in purchasing a house with the particulars regarding their eligibility even before they have finalized on a property to purchase.