Purchasing land or plot at a good location has the tendency to deliver a significant return on investment and vice-versa. Investing in any land or plot is one of the most important decisions a person can make in his or her life. Additionally, it is an expensive financial decision but getting a Home Loan can allow you to invest in a property with ease. Moreover, it will lessen your economical burden.
Bajaj MARKETS is a trusted platform where you can apply for plot loan. Getting a loan through this platform will save you from time-consuming and hectic loan procedures since the institution follows the digital method to provide a hassle-free and seamless experience to its customers.
However, if you are not well-informed, acquiring a Home Loan for plot purchase can be a challenging procedure that might result in your loan application being rejected. Mentioned below are some tips that can help you to secure a Home Loan for plot purchase and construction.
Here are some points to keep in mind that will help you get a Home Loan easily.
Do a Thorough Research - Several lenders are available in the market. Do extensive research about their offered products, interest rates, processing fees, along with other charges. Choose a financial organisation that can provide you with a Home Loan that fits your requirements. Also, seek a lender that offers an EMI option that suits your needs.
Maintain a Good Credit Score - Your credit score is one of the most critical aspects that any lender will take into consideration before approving a home loan. A credit score is a three-digit number ranging between 300 and 900. A score of 700 or above is deemed as a good number. It shows your creditworthiness along with your financial habits and buying patterns. If you had a loan in the past and paid the EMIs in a timely manner, it will aid in gaining the trust of the lender. As a result, in order to procure a Home loan for buying a plot, you must maintain good financial health.
Provide Required Documents - While submitting the loan application form, provide each necessary home loan documents. The lender examines each document rigorously to eliminate the chances of any forgery. In addition, it is one of the most important steps in order to receive a Home Loan since the submitted documents give important information about the plot that you wish to purchase. Failure to deliver the relevant document will make it difficult to procure a Home Loan for plot purchase. Moreover, it can lead to the rejection of the application.
Understand Your Debt to Income Ratio - Comprehending your debt to income ratio will help to plan your expenditures wisely. Creditors use the debt-to-income (DTI) ratio to measure your borrowing risk. It is the percentage of your gross monthly income that passes toward paying your monthly financial obligations. It is advisable that you should not spend more than 40 - 50% of your monthly income on EMI payments for your debt. It is critical to choose a loan quantity that matches your monthly revenue. Failure to do so may result in a loan denial.
Yes, you can acquire a Home Loan in order to purchase land or plot.
A Home Loan comes with multiple benefits that are listed below.
It allows purchasing land or plots without worrying about expenses.
It lessens the financial burden.
As per section 80C, a person is eligible for a tax exemption of up to Rs. 1.5 Lakhs yearly.
The amount of minimum and maximum loan depends upon the lender whom you choose since each financial institution offers different values as a Home Loan for plot purchase and construction of the home.
A score of 700 or above is deemed as a good number. Maintaining a good CIBIL score will assist you in procuring a Home Loan easily since it displays your good financial health.
Yes, usually a Land Loan has a higher interest rate than a Home Loan.