Buying a house is one of the most important investments that a family can make and sometimes, even pooling in all the resources does not help. That does not mean that the family will not be able to buy a home. With the help of home loans available from various banks and NBFCs these days, it is quite possible to buy a new home without having to deplete one’s own financial reserve. The Flexi Hybrid Home Loan from Bajaj Finserv makes the process simpler and one can choose variable repayment options to buy one’s dream home without having to wait too long.
The one thing that a home buyer should always carefully calculate is the repayment of the home loan and that can be done with the help of a home loan EMI calculator, which will show you the exact amount that has to be paid each month on a particular home loan amount at a particular rate of interest. The EMIs of the home loan determine how affordable or flexible it can be and also determines the ease of repayment. A Flexi Home Loan is better than a regular home loan because it can help the buyer invest in a home now, without delaying the purchase, and start paying off the principal amount later. The Flexi Loans from Bajaj Finserv have a number of benefits like nominal rate of interest, a flexible tenure for repayment and a high loan amount of up to Rs 10 crore. The home loan interest rates in India also varies between 8% and 14%.
The Flexi Hybrid Home Loan will offer the benefits of a term loan and a flexi loan. The home buyer can enjoy up to 4 years of principal holiday- which means that the home buyer can just make interest only payment for the first 4 years and then the combined EMI of interest plus principal can be paid from the 5th year onwards. The four years, and the money saved, can be utilized in the meantime to put finances in order so that by the time the full EMI starts, the home buyer does not have to go through any financial problems.
Another reason why Flexi home loans can help bridge the gap between a buyer and his home purchase is that these loans already make provisions for extra funds, at low EMI rates. Home buyers may choose to make part- prepayments as and when it is suitable for them, at no extra charge. In case of a regular term loan, if a home loan borrower chooses to pay off a chunk of the principal amount as pre- payment, then he would also get to pay lower EMIs but then if he suddenly finds himself in need of extra money during the loan tenure, he would have to apply for a second loan and that would become too expensive to handle. However, in case of a Hybrid loan, the lender will take the prepayment and set it aside and the EMIs would go on as usual. However, later, the home buyers can take the amount they have prepaid and pay low interest on it if they happen to need more money. Things become easier if one opts for home loan on a pre-approved basis from Bajaj Finserv. There are no hidden charges, no extra costs on part prepayments of even loan foreclosure, and there is minimal documentation required, along with the benefits of online account tracking.
With all these combined benefits, it would become much easier for a home buyer to afford his new home.