|Is Security Required?||Yes (the Home being purchased)|
|Is Guarantor Required?||In most cases (income not mandatory)|
|What is the Tenure?||1 to 30 years|
|What is the Interest Rate?||10% to 12% (Diminishing)|
|Is Part Payment Allowed?||Yes|
|Is Pre-Closure Allowed?||Yes|
|Is Balance Transfer Allowed?||Yes|
|What is the minimum Salary?||Rs. 10,000 /- Net (pm)|
|How many days does it take?||5 to 15 days|
|What is the loan amount?||Rs. 5,00,000 /- to Rs. 1,00,00,000 /- (and more)|
It may be obvious that you would be choosing a Home Loan when you are planning to purchase a new Home / Property. However, one should not confuse this loan with Mortgage Loan, Plot Loan, Commercial Property Loan and other type of real estate related loans. Home loans enjoy the lowest interest rate among various loans in the market. Thus, if given a choice, one should always choose a Home Loan (if possible).
In short, anyone with an accountable and regular source of Income will be eligible for a Home Loan. Salaried and Self Employed are both eligible for Home Loan. There are occasions where one can be eligible for a Home Loan even without an accountable income, that is without filing Income Tax. In this case, the Banks rely mainly on customers saving habits and on other relevant proof to identify customer's income.