Know how your credit score can craft your best home loan.

In some cases best is not what others say, sometimes it’s you who can decide the best for yourself. Similarly in case of home loans, there are numerous financers sprawled in the market who declares themselves to be the best, but it may not fit in your wallet or may not serve your purpose. So before you take a home loan for purchasing your own abode just craft it to be your best home loan. To get the best financer and utilize the facility you need to be a responsible borrower, if you are not then make yourself the one. A loan term can only be hassle-free if you are a responsible and well-versed borrower, who knows his responsibility and the nitty gritties of his debt.

Did you know that your habit of expenditure can affect your home loan eligibility? If you are spendthrift then forget about best home loan, chances of getting a home loan also minimizes. If you have a credit score in between the range of 350-700 then it’s unacceptable for home loan, though some financers may give a second thought to your application. If your score is nearer to 900 then the financers have faith in you as a borrowerand chances are there you may get 80-90% of the property amount, decreasing your margin money requirement. As a borrower for you the maximum amount of property value as loan amount makes it a best home loan, so indirectly you make your loan good or best.

Lesser credit score may get you a home loan, but interest rate on the loan amount may be higher compared to those borrowers who have an excellent credit score. Those borrowers may enjoy the competitive interest rate and faster loan process. Again lower interest rate makes your home loan the best; ultimately your credit score decides the fate and nature of your loan.

The monetary value of the house you chose to invest is a matter of lump sum amount. It is beyond the reach of a normal salaried or self-employed person in this era of skyrocketing property prices to make the whole payment and own the keys. Home loans are the most preferred mode of finance. As a borrower when you take the loan, you need quality amount of time in repaying the loan amount along with the interest. Those magical figures in your credit score card can work wonder for you, by winning you a maximum of 30 years of loan tenure.

If you are planning for getting a home loan, then pull the reigns of your unnecessary expenditure. The credit card that you took to enjoy your age can be a helping hand or may be a trap to pull down your credit score. If you own one, here is a tip never spend more than 50% of the credit limit and pay the credit card bills in time. By improving your expenditure habits you can improve the bank statement, which will help you to get the best loan suitable for your purpose. Nurture the savings habit for your own good.

Role of down payment in your home loan.

Home is a place where you bask in the love & affection of your family. But the sense of self-accomplishment you feel to own the roof under which you create memories with your family has no comparison. To buy a home that you can call your own or any property in this era of escalating property prices is no longer a difficult task with the easy availability of an hdfc home loan. Majority of the people with basic loan eligibility and affordability can buy their own house, owing to the lowering interest rates. This easy availability and assimilating EMIs, often results in excess outflow of money in the form of interest cost.

Earlier people used to wait and save money to buy or build a house, but nowadays the working class doesn’t wait for the perfect age, they are investing money in paying the EMIs to pay the hdfc home loan for the house they own. It helps the borrowers to leverage the future income in a proper direction for lifetime investment. When you take a loan for buying your house, you have to pay certain minimum percentage of amount as margin money from your pocket to the builder, after which the remaining amount is paid by the lender. This margin money is termed as down-payment in housing loan terminologies.

The percentage varies from one lender to the other depending on the loan slab; it generally ranges from 10-40%. It is one of the essential factors to qualify you for the housing loan. On many occasions we find it difficult to arrange the funds to pay the margin money, here is a list of things that can help you to cope with the down payment burden:

• The simplest way to accumulate funds to pay the margin money is to build a corpus from the very beginning of your professional career. Nurture the habit of maintaining a budget & monitoring the cash outflow. This habit can help you to save the pennies, which can help you in future to pay the margin money. 
• There are many lenders in the market who provides proportionate release option, in which you can make down payments in portion for the under construction projects. The developers must be affiliated by the concerned lender. This helps you to pay the margin money in fraction instead of lump sum.
• You can invest in short term equity funds, shares & bonds; in order to use the matured amount to pay the down-payment. If the borrower has a stable job profile, then he/she can go for a loan from their provident fund.
• Take help of your parents & family members to pay the margin money.

After going through the above mentioned ways to cope with the margin money payment, now we would provide you certain benefits for paying maximum amount of margin money, for taking the hdfc home loan:

• As you pay the maximum amount, the borrowed amount is lessened. As a result you have lesser debt fund to pay off.
• Lower loan amount easily qualifies you to get lower interest rates on the hdfc home loan.
• Lenders give more preferences to the loan applications which has lower requirement of the loan amount, so your application gets approved quickly.
• The processing fees automatically comes down, when you have lower debt amount on your name.

Housing loan is essential to buy a home in this market, but down payment is necessary to get an hdfc home loan. So start saving money to enjoy a hassle free loan term by paying maximum margin money.

Every home buyer should use EMI Calculator tool.

Are you planning to buy a home or already a homeowner, this online calculator can be of great help in designing your monthly budget and channelize the funds accordingly. Home loan is an affair of lump sum amount of money, a little mismanagement in fund can create a tug of war between your savings and expenditure. Experts advise borrowers to plan their loan term in such a way that they don’t find it difficult in carrying forward the repayment process. Before the introduction of the HDFC EMI Calculator, the borrowers had tough time in calculating their EMIs and tallying them with the payments they make. The mind boggling calculations were often error prone leaving the borrowers at the mercy of the financers in getting the EMI structure, that varied depending on the balance amount, present interest rate (in case of adjustable rate) and remaining installments.

This online calculator increases the transparency in the EMI payments, because when you have an amortized table before you, you can directly approach the financer for your queries with a valid figure. This gives you quantum amount of mental peace; because you know what you are paying and can plan your savings accordingly after keeping the EMIs aside.

The online HDFC EMI Calculator has the following benefits:

• You can use the tool free of cost.
• It saves you from wasting time in big & confusing calculations.
• The tool provides you an error free figure depending on the figures you fed in.
• You can have the amortized table of the remaining EMIs that helps you in building funds accordingly.
• You can try different figures and combination to have the blueprint of your monthly expenses.

The long home loan tenure can be exhaustive or hassle-free; both depend on the amount of preparation you have, to take forward the monthly installments. When you have taken your home loan at an adjustable rate of interest, it is obvious that the rates will fluctuate depending on the market condition, financer & government policies. With the change of interest rate, the EMI also changes, similarly with each installment you pay your balance amount & the number of installments comes down affecting your EMI. All these calculations physically, can lead to bewilderment. So to have an exact idea it is wise to take the help of the budgeting tool available at the finger tips.

You don’t have to go to your financer for getting the tool; it is available at your tips. The financers know that it is a mentally painstaking task, for the internet savvy, sky-rocketing generation, they prefer everything at the finger tips. Keeping this in mind the financers have introduced, this useful budgeting tool; this solves your EMI calculations within a wink. Just visit any aggregator site or the website of the financer and click on the link to HDFC EMI Calculator and feed in the balance amount, interest rate and number of installments and get the EMI easily.