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Showing posts from May, 2013

Housing Finance Key Points Mentioned

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Housing finance or home loan is one of the sub categorized secured loans. This is offered by a several banks in India. It is used to purchase a piece of land to construct a house or refurbish a housing project to improve its face value. The loan can also be used to downgrade the cost of buying a new house. So, this is used in multiple uses so that you can solve your needs tremendously. Considering that purchasing any new and decent house costs very largely, housing finance is very good to deplete the cost of owning a dream home.

When borrowing a home loan from a bank, there are many things that an individual has to consider or take into account. First of all, you must plan whether the loan is sought for the purpose of buying a new house or piece of land or renovation. Because the loan amount differs because of the way you are going to use it. Buying a new house is understandably one of the biggest monetary investments and so the quantum of loan is big. Once you have decided your prio…

Personal Loan : A Mean To Fulfil Varied Monetary Needs

Personal loan helps in fulfilling divergent monetary needs. Whether you have a keen desire to buy a latest phone or is thinking to explore a tourist place, personal loan is there to take care of your varied funds needs. Generally, it is unsecured in nature, as you don't need any collateral security. Here, the credit worthiness of the applicant plays a major role instead of the pledged asset. Generally, it is unsecured in nature and is decided on the basis of the ability of borrower's to make payment. 

If it is secured loan, borrower is required to pledge assets in the form of collateral security, which make it secured. If there would be any default made by the borrower then the lender has the right to take away the pledged property to compensate its dues. Due to its secured nature, such kind of loan carries low interest rate.

Whereas, lender provides unsecured loan to the applicant only after checking the credit worthiness of the latter. Here, it is necessary that the lende…

Choosing Fixed Or Floating Home Loan Rate

A home loan or housing finance has become an indispensable requirement today. People with a need to purchase a new home or land require such monetary assistance. You can seek this loan if your current financial condition doesn’t allow you foot expenses involved in such expensive housing projects. However, the interest rate has always been crucial point in acquisition of a housing finance.

Choosing a right kind of rate has always been a classical dilemma for prospective borrowers. Since the rate of interest is available as fixed and floating, customers or loan consumers become wishy-washy whether to choose “fixed” or “floating” rate.

There has been unforeseen dramatic fluctuation in home loan interest rates in the market for the past few years. That makes consumers scrupulously choose suitable and ideal rate to narrow down selection of the best loan rate. The market’s statistic meter clearly indicates a steeple slump of 7% from the last few years which supposedly indicated another sl…