Your dream home is a reflection of your style and personality, not just a place to sleep. It will need to be renovated from time to time to keep it in good shape, as aesthetics and comfort are just as important as location and building quality. However, you will need sufficient funds to repair your home, and you do not need to wait until you have saved enough money to do so; instead, you may take out a home improvement loan. You can modify your property in any way you like with the help of a home renovation loan. A Home loan EMI calculator assist you in calculating an estimated EMI amount, which can help you better manage your budget.
What is a home improvement loan?
A home renovation loan is a sort of loan that allows you to borrow money to enhance, renovate, or refurbish your property. They’re similar to mortgages. A home loan allows you to buy a property, whereas a home renovation loan allows you to improve the home you already own. They are a convenient, low-cost, and hassle-free solution to make your home more comfortable to live in.
Benefits of home renovation loan
- Attractive interest rate
- Faster approval and disbursals
- Flexible repayment options
- Easy documentation
- No hidden charges
Home Improvement Loan Application
Home improvement loans can be applied individually or jointly. It’s worth noting that all of the property’s owners must be co-applicants for the loan. Term of Loan: The loan installments can be spread out over a maximum of 15 years. The loan’s term is also determined by a number of factors, including the customer’s profile, their age at loan maturity, and the property’s age at the time of loan maturity. Individuals or couples can apply for the Home Improvement/Renovation loan separately or jointly. All property owners must, however, be co-applicants for the loan.
Home Renovation Loan Eligibility
A home renovation loan can be applied for by any property owner who wants to make renovations to his asset, either independently or jointly with a co-borrower. The bank will look at a number of things when reviewing your application, including:
Similar to home loan eligibility, to apply for this loan, you must be at least 21 years old. The upper age limit is set at the applicant’s retirement age. This indicates that the loan must be paid off by the time the applicant reaches the age of 60. The age limit for self-employed candidates could be extended to 65 years.
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The larger the income, the higher the loan amount. Both salaried and self-employed people can apply for these loans.
If your credit score is higher, the interest rate will be lower. If the property is co-owned, each co-owner must sign the loan application. A co-borrower does not have to be a co-owner to be a co-borrower. Even if the property is not registered in your and your spouse’s combined names, she can still be a co-applicant for a home renovation loan.
Home Renovation Loan Tenure
The term of the loan could range from one to thirty years, depending on your age and the bank from whom you obtain the home improvement loan. The length of the loan is mostly determined by your age at the time of application. The loan term could be extended up to 20 years if the borrower is young.