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FACTORS AFFECTING FINANCE HOME LOAN




"Factors Affecting Finance Home Loan" amount depends on various factors enlisted below :

Age: Age group between 35-50 is generally preferred by most of the banks as the earning capacity and repayment tendency is most as observed in this age group  

CIBIL Score: Score above 750 is considered very good.  Previous repayment and bounces also pays high contribution towards CIBIL score maintenance.

 Nature of business: Government employees and other professional jobs such as doctors and chartered accountant are offered lower rate of interest due to their high stable jobs and balanced cash flow Vs monthly earnings.

Bank Internal customer: The customer, who is holding a bank account for a longer term, is offered a lower rate of interest.

Co-applicant: If the co-applicant is working, the income of both the applicants will be considered to determine the capacity.

Geographical Area Ceiling: Funding outside city limits as defined by municipal corporations of that respective states is generally not allowed by lender as it further leads to high risk of judicial proceedings in case of dispute or recovery .

Interest Rate: The interest rate of the Secured loan is lower than unsecured loan. The prevailing ROI on home loan varies from 8.45% to 9.50%
Own house: A person living in his own house will always get more weight while appraisal of the loan.

LOAN CALCULATOR

housing loan eligibility  calculator is that one very important calculator which helps in finding out the proper eligibility. With the help of this you can find out the finance amount that you are eligible for. of your  Just feed in all your basic details such as date of birth ,city you are living in ,net monthly salary and total EMI deductions and tenure of the finance as required by you . This gives an average idea of approximate EMI that needs to paid over fixed tenure back to lender. The ROI may differ from bank to bank but further negotiations and your previous relationship with any bank may be helpful to get what is desired by you as per your eligibility .

A lender needs ‘proof’ to believe that you are capable of making repayments on your finance amount.your education and work experience to see how qualified you are to meet your professional and financial goals and whether you can really afford a large debt burden like a home financeThe standard method banks use to assess your home finance eligibility is the application of FOIR (fixed obligation to income ratio) of a borrower. 

Use thumb rule.
Banks allow , 40 to 50 % monthly take home (cash in hand) as monthly EMI. On higher side they will allow you 26,500 as monthly EMI. Assuming 25 year finance at lowest interest rate i.e. 9.7 % you will get a loan of roughly 30 Lakhs. Some banks may allow you higher EMI and loan might go up to Rs. 35 L (see link below) but anything above it is difficult. The early you manage to get the loan sanctioned more comfortable it would be for you to repay. Also do not forget to buy a personal protect insurance cover on home loans that may help you in your later days in cause of sudden mishappening  . 


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