Nowadays, buying a good home is an important event in everyone’s life. We require a lot of planning before choosing the right home. Home finance is the easiest way to fund financial requirement needed to own a house. But, it is very important to keep in mind the balanced monthly EMI and interest rates before applying for a home loan. In the present time, the NBFCs and banks offer a good variety of house loan options through which you can easily avail home loans.
Here, we have mentioned some useful and important ways to get the lowest home loan interest rate.
Down Payment
It is advisable to save the amount for making a down payment while taking a home loan. In addition, the down payment decreases the higher monthly EMIs and rate of interest burden because a significant portion of the repayment amount is already paid.
CIBIL Score
The CIBIL score is used to determine the home loan eligibility of all applicants. A good CIBIL score increases opportunities for borrowers to get home loans at very attractive EMIs and interest rates. If you pay credit card bills on a regular basis than EMI helps you to improve your CIBIL score.
Stable Job And Source of Income
Nowadays, banks and NBFCs consider the employment income and stability of applicants and calculate their home loan eligibility. Thus, having a regular source of income and a stable job, it is a better possibility to get a home loan at lower interest rates.
Debt-to-income Ratio
Debt-to-income ratio is one of the important factors while taking any home loan. Therefore, you are always advised to keep a monthly EMI amount less than your monthly income to have a convenient home loan repayment process.
Thus, keeping some important points in our mind helps us a lot in getting a low home loan rate.