Different
types of home loans available
Following are the variety of home
loans available-
- HOME PURCHASE LOAN: This is the common loan for
purchasing a home. Stamp duty portion is also being financed under
this type of Loan.
- HOME CONSTRUCTION LOAN: This loan is available for
the construction of a new home.
- HOME IMPROVEMENT LOAN: This loan is given for
undertaking repairs, renovations and/or upgradation to your home.
- HOME EXTENSION LOAN: Home extension loans are
given for expanding or extending an existing home. For example, addition
of an extra room, etc.
- HOME CONVERSION LOAN: Available for those who
have financed the present home with a Home Loan and wish to purchase and
move to another home for which some additional funds are required. Through
a Home Conversion Loan, the existing loan is transferred to the new home,
including the additional amount required, eliminating the need for
pre-payment of the previous loan.
To get more clarification on the above article write your queries in the comment.
- LAND PURCHASE LOAN: This type of loan is
sanctioned for purchase of land for home construction.
- BRIDGE LOAN: The Bridge Loan is
designed for people who wish to sell the existing home and purchase
another. The bridge loan helps finance the new home, until a buyer is
found for the old home.
- BALANCE TRANSFER LOAN: Balance Transfer loans
help you pay off an existing home loan by availing a new loan from another
willing lender institution.
- REFINANCE LOAN: This loan helps you pay
off the debt you have incurred from private sources such as relatives and
friends for the purchase of your present home. This type of loan can
also be taken for your business or for some personal functions mortgaging
your house. This type of loan may extend may fetch higher Interest rate.
- STAMP DUTY LOAN: This loan is sanctioned to
pay the stamp duty amount that needs to be paid on the purchase of a
property.
- LOAN TO NRIs: This loan is tailored for
the requirements of Non resident indians (NRIs) wishing to build or buy a
home in India. These loans are provided by eligible financial institutions
in accordance with the guidelines issued by Reserve Bank of India/
National Housing Bank from time to time.
