Additionally, the tax benefits of home loan stand out as the buyers not only get rebate on the principal amount repaid but also get exemptions on home loan interest repayment. All of these benefits have made this one of the best products in the loan category. Having said this, it is important to note that interest rates on home loans differ from one lender to the other.Thus, it is critical to find right mortgage for these loans. Home loans are a long term obligation usually ranging from 120 to 360 months and even a slight variation in interest rate could lead to difference of several lakh rupees of interest amount. Here are some ways to find the right mortgage rate –
With online property website in the form of housing.com making inroads in Indian realty segment home buying has become an extremely simple process. Through this site, buyers can not only access some of the best properties in India but are also assured of several value added services such as guidance on administrative procedures, legal aspects, finance and home loan. In fact, housing.com has a dedicated section for home loans wherein users can:
- Compare the rates of different banks
- Analyze the benefits offered by each lender
- Make the home loan application decision and apply online
- Submissions can be made for loans at any time depending upon the comforts and needs
- Track the loan application online
This is not all; the entire process is completely secure, safe, sound and transparent. In true sense housing.com has revolutionized the way home loan works in India. It has made this process more customers centric as against the creditor centric process that existed in the Indian market not so long ago.
Choose the low interest rate cycle
It is a well-documented point that banks in India are at liberty to set the interest rates. This was also proved in 2015, when the Reserve Bank of India (RBI) cut the repo rate by 1.25% however, most banks and housing finance companies only reduced the rate by 0.5% to 0.65% thereby not passing the entire benefit of rate cut to end user. Nevertheless, it must be noted that due to intense competition in banking sector, the rates will come down sooner than later. Nonetheless, for this to happen it is important to apply for loans in the low interest rate cycle like the current one. If in case the economy is not doing good and theRBI has kept the repo rate high, there is no way that banks or housing finance firms will reduce interest rates. Thus, the first thing is to choose the right rate cycle and then do the online research to select the best lender for right mortgage rate.