Types of Home Loans in India
Loans are the funds which a home buyer attains from any financial institution in order to pay for a home or residential property. Loans are agreed upon certain predefined/fixed or floating rate of interest. Nowadays there are multiple types of loans which an individual can choose from; these generally depend on the arrangement and predilection of the Loaned.
Types of Loans in India
- Home Purchase Loan: These loans are taken to purchase a new home in a certain complex.
- Home Construction Loan: These are taken to construct a home on an owned land unlike complexes and apartments.
- Home Improvement Loan: These are given to existing homes, the sum is used to renew, renovate, addition and modification to the existing ‘owned home’.
- Balance Transfer Home Loan: Competition has it all; these are given as new loan to repay an old loan. These are usually taken with view that the new loan is lower on the interest rates.
- Land Purchase Loan: These are given to buy a land to construct a home, usually bungalows, duplexes, row houses etc.
- Bridge Home Loan: These are given to individuals who are looking to buy a new home and want to sell the old home to buy the new one. With Bridge Loan you can buy a new home even before you find a buyer for your home.
- NRI Home Loans: These are given to individuals who are NRI’s and want to buy or invest in residential properties, this is getting popular these days with the IT professional abroad.
Most of these loans come with an insurance cover and if you don’t have one then it makes sense to get one!
Bank of Punjab Ltd, Centurion Bank Ltd, Development Credit Bank Ltd, HDFC Bank Ltd, ICICI Bank Ltd, Kotak Mahindra Bank Ltd, UTI Bank Ltd, SBI Bank, Yes Bank, AXIS Bank, Standard Chartered, HSBC Bank are few renowned banks in India who will provide you with the above listed Home Loans and Loans against Property.