Trivandrum, formerly known as Thiruvananthapuram, is not only Kerala’s capital city but also South India’s major economic hub. In recent times, Trivandrum has seen an elevation in the overall lifestyle of city residents, with more and more people turning towards house ownership through home loans in Trivandrum. Read More
Getting housing finance in the city has been simplified, with several lending institutions extending financing against simple eligibility and document requirements. One can also apply for a home loan here through the online mode and gain access to funding without needing to step out of the house. Home loan availability in Trivandrum can be further simplified by adopting some smart ways. Below mentioned are some of them.
Tips and tricks to avail of a home loan easily
- Increase your down payment amount
As secured advances, home loans are subject to financing based on the concept of LTV or loan-to-value ratio. The LTV set by the lender determines the maximum loan availability as a percentage of the property’s current market value. The home buyer must meet the remaining cost through a down payment made to the seller. With the best lenders, down payments on home loans can increase by 20%.
While one can buy a home with a low down payment, it is suggested to increase such upfront payment to bring down the total loan financing. In addition, a reduced loan amount keeps a check on your repayment liability, thus helping with the easier loan approval.
- Select a loan amount as per your financial standing
Further, when availing of a housing loan, it is crucial to select a suitable loan amount that resonates well with your financial standing. It helps accommodate loan EMIs easily into your monthly income while ensuring minimum strain on your finances.
Among the several benefits of home, loans are the availability of an EMI calculator. These financial tools are made for self-help use and allow you to assess a suitable loan amount that keeps your EMIs and the total loan liability in check. You can access a home loan EMI calculator today for free through a reputed lender’s official website.
Financial institutions providing these computational tools also extend pre-approved offers to make financing convenient and less time-consuming for individuals. You can avail of these offers on several financial products, including loans against property and home loans. Check your pre-approved offer only with your name and contact details.
- Work on your credit history and score
Availing of a home loan in Trivandrum is only simplified if the applicant holds a high credit score. While the score is not a mandatory requirement for those availing of home loans, a minimum threshold is always preferred by lenders.
The credit score can also determine your home loan EMIs and impact the overall financing affordability for you. A score above 750 helps with easy approval of home loans in India along with affordable rates of interest that help keep the EMIs payable in check.
- Meet all eligibility and document requirements
When applying for housing finance, one must make sure to check if they meet all home loan eligibility criteria laid down by the selected lender. The individual must also check if they have kept all documents ready for submission when applying for the advance to streamline the entire loan processing.
- Apply with a cosigner
In case your borrowing profile falls short of any requirement, or you seek to avail higher funding value than your existing eligibility, it can be wise to apply with a cosigner. When choosing a suitable cosigner, check whether they hold a high credit score and unscathed repayment history to secure the best home loan interest rates.
- Choose a long tenor for repayment
Just like a suitable loan amount selection, it is crucial to check the tenor availability as well. With reputed lenders, such repayment tenors can extend up to 30 years. You can use a home loan EMI calculator for suitable home loan tenure selection as well for affordable loan repayment.
- Document all income sources
When applying for your home loan and completing paperwork, it is suggested to provide the documents related to all income sources that you hold, both primary and secondary. It improves your overall repayment capacity, thus allowing you to secure the advance conveniently.
- Ensure occupation and income stability
An individual’s occupation, be it self-employment or a salaried job, must be stable with reasonable income generation month on month. Documenting such stability allows you to gain lender confidence, thus receiving easy approval on loans.
Once availed, repayment of the advance, both principal and interest components is eligible for home loan tax benefits annually. It thus helps save significantly on your loan liability. You may also choose early repayment of the advance through part-prepayment or foreclosure to further enhance your interest savings.