ALL >> Investing---Finance >> View Article
What Are The Ideal Home Loan Interest Rates In India?
Total Articles: 33
The ideal, which means the lowest, home loan rates in India start at round 10.10% in today’s market. But, most organizations start their offering from 10.25% as the floating home loan interest rates. The fact is, when the principal amount you borrow for the home loan runs into millions of rupees or even more, even a slightest infraction in these rates can affect your monthly EMIs. However, none of the housing finance companies or banks continue the repayment at the same home loan rates for the entire tenure of 20 to 30 years. The home loan interest rates are certainly going to vary. Though the rates remain within a range of 10.10% to 12% approximately, even a slight change will impact the EMIs.
With due consideration to the variation in interest rates, additional charges over the home loan duration, your actual calculations may come to a much higher amount. So, when you apply to a housing finance company for a home loan, you must choose the EMIs that you can afford to pay and the organization that you can depend upon for a period of 20 to 30 years. This is as crucial a factor as the home loan rates because the organization that facilitates your loan is in a position to offer a top up loan, restructuring, repayment concessions, etc. along with some of the regular home loan services.
Another factor that influences your ideal housing loan interest rates is the prepayment charges. As of today, that difference is zero for the floating type home loan borrowers of today. However, this is a government decision rather than the business decision of the respective organizations. So, this will increase your repayment to the lender considerably if you are a fixed rate home loan customer as the decision for fixed rate customers still lies in the hands of the lending organizations.
When a home loan borrower opts for hybrid home loan rates, there are two different home loan agreements in place that divide the entire principal amount into two parts. Hence, the ideal choice for such home loan borrowers is to make the prepayments over the floating interest home loan as and when possible while keeping the fixed rate home loan repayment steady. This can be a smart repayment strategy as it will lower the home loan tenure for the floating interest home loan considerably. However, even if there is a hike in the rate of interest, it won’t affect your fixed rate repayments immediately. They will be revised when the fixed rates are due for revision.
Author Bio :
The author is a seasonal writer on topics of finance and the home loan sector. Through her writing, she articulates aspects that are important to people availing home loan rates in India facility such as ideal housing loan interest rates , documents, eligibility criteria that help to make the best decision.
Investing / Finance Articles1. Why Open An Nri Account?
Author: Samantha Kennedy
2. Commercial Mortgage Loan
Author: Loansa Assit
3. Why Perform A Fundamental Analysis Of A Company?
Author: Aastha Kapoor
4. Open Online Trading Account With The Lowest Brokerage Charges
Author: Krutika Sharma
5. Avail Reliable Tax Return Online Australia Services To Get The Job Done Like Never Before
6. Get Yourself Best Sip Plans For Long Term
Author: Jignesh Shah
7. Equity Linked Saving Schemes (elss)
Author: Tanvi Sherzade
8. Basics Of Mutual Funds
Author: Tanvi Sherzade
9. 5 Most Critical Points On Loans For Unemployed With Bad Credit
Author: Ashley Corn
10. Need Vat Consulting? Get Help From Xcel Accounting
Author: aniket vichare
11. Best Stock Tips Provider In India
Author: deepti jain
12. Avail Professional Online Tax Return Services To Get Best Value For Your Money
13. Buy Financial Services Email List From Demandsteer And Improve Your Sales
14. Thinks You Must Know Before Outsourcing Accounting And Bookkeeping Services
Author: Friso Krahmer
15. 5 Reasons To Study In India
Author: anaya shroff