You can avail tax benefits on your home loan as per provisions of the IT Act, 1961, which are subject to change. Being a secured loan, interest rate of a home loan is comparatively lower than the interest rate of an unsecured loan, such as a personal loan.The amount of the home loan can vary based on your income, credit history, the locality/city you are planning the purchase in and various other factors. You can apply for a home loan jointly with your spouse, family members or others as co-applicants.
Home loans usually have longer repayment tenures which range from 5 years to 30 years. The repayment time period for a home loan is fixed at the time you apply for home loan.Prepayment of a home loan can also be done. Some home loan providers charge a prepayment fee if you prepay a loan while some do not. Therefore, home buyers should compare the home loans available to find the best home loan offers.Banks usually maintain a margin of at least 20% when sanctioning a home loan. Thus, the home loan amount provided to you only covers a maximum of 80% of the estimated value of the house being purchased. Additional costs such as down payment, registration costs, etc. have to be borne by you.
Rate of interest 8.35%-8.75% pf 10000+gst up to 1%.