Reason Why Should You Need Personal Loan for Home Renovation

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Technological advancement has given easier access to all the services to individuals. Whether it is ordering groceries, watching a movie or applying for a personal loan, everything is available with just a click. 

Renovating your home or making small changes to your home, can cost you a lot, as it comes with a heavy price tag. If you plan on doing this from your savings, it may exhaust halfway, so what alternate options do you have? Do you decide to not get the renovation done? Well, that can be a bad idea because:

  • Renovating Your Home Adds To The Property Value

 Renovating ads vale to your property, and whether you plan on selling it today or maybe later, it will give you the best returns.

  • For Maintenance:

Whether you are using the property for residential purposes or commercial, renovation is a good maintenance exercise, that keeps the real estate good as new. It also helps avoid any future repairs that can be costlier.

  • Improves Aesthetics:

The renovation also helps in upgrading your home’s aesthetics.

Now, that we know that home renovation is important, let us look at alternate solutions to the high renovation cost. Well, a personal loan is a great financial tool that offers an unsecured loan without any collateral for all your expenses. Let us look at some of the reasons why a home renovation loan is great for financing.

Benefits of Home renovation loan

  • No security is required:
    As a personal loan is an unsecured loan, no asset is required for pledging by the borrower. Without any asset, you can avail all the benefits of a personal loan and also renovate your home and make it the perfect place to stay.
  • Simple Application Process:
    The complete application process for a personal loan is online. You can either use the website or the instant loan app. All you have to do is provide all your information, upload some documents and get the personal loan approved in 24 hours.
  • Easy eligibility criteria:
    Unlike many other loan options, personal loan eligibility is easy and simple.
  1. The applicant must be a resident citizen of India and between 21 to 60 years of age.
  2. The applicant must either be:
  3. A salaried employee with a minimum monthly income of Rs 25,000. 
  4. Or a self-employed individual, whose minimum profit after tax will be determined based on the profession.
  5. The credit score of the applicant must be over 750.

If you fulfill the above criteria, you can get the loan approved and disbursed quickly.

  • Exciting Loan terms:
    With a personal loan, you can borrow up to Rs 25 Lakhs at a reasonable personal loan interest rate and flexible repayment tenure. You can also negotiate with the lender for better terms and more benefits. To make a wise decision while negotiating you can use the personal loan EMI calculator and then choose the best option that suits your loan amount.
  • Freedom of fund Usage:
    No matter what renovation or change you require in your house, a personal loan will take care of it all. Starting from the cost of an architect, renovation, whitewash or even new construction, a personal loan has it all covered. For this, you can always opt for a higher loan amount to meet any unexpected expenses too. You can repay the borrowed amount in small monthly EMIs that will cover both your principal amount and the interest. For more benefits, you can also choose the Flexi loan facility, which allows you to borrow multiple times from your sanctioned limit, but the interest is charged on the amount used.
  • Easy tracking of loan
    Choosing the right lender for a personal loan will also help you get access to the customer portal. This will help in tracking your expenses, avoiding any missed payments, and ensuring that your payment is successfully accepted by the lender.
  • Makes the renovation affordable:
    With a personal loan, the entire renovation process becomes more affordable and does not give you any unexpected financial burden. You can borrow now and repay the loan amount in small monthly EMIs. This EMI includes both your interest rate and the principal amount. If you increase the tenure, then the EMI reduces, and if you reduce the tenure, the EMI increase. So, based on your paying capacity you can choose the right tenure and interest rate.

These are some of the benefits of why one should refrain from using their savings, and apply for a personal loan to renovate their home.

Conclusion

To reap maximum benefits, it is necessary that you plan your loan in advance and then choose the right loan amount. Also, plan your renovation, so that you do not make any unnecessary mistakes that increase your cost. You can also use a home renovation loan calculator to plan repayment so that it stays within your budget.

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