Are you kid, school or Higher Class student, looking for 10 Lines On The Home Loan In English, then just check it, you will get an idea about Home loan. We have provided all significant information about the Home loan in easy manner and in lucid language which will help you in easily understanding and remember.
10 Lines On The Home Loan In English For Children And Students
Home loan is the amount borrowed by the person for purchasing or building of new home at predefined interst rate. The home loan is offered by various lenders with different offerings and it is the duty of borrower to choose right plan as per his affordability. Let’s see more about the Home loan.
10 Lines On The Home Loan In English (set 1)
- It is a form of secured loan used by borrowers to construct or purchase a new home.
- Your home loan eligibility is largely determined by your ability to repay and the property’s worth.
- In most cases, home loans are allowed for a maximum of 30 years.
- Banks often offer loans for the acquisition of a new plot of land as well as the construction of a home.
- On current home loans, several banks offer a top-up loan.
- This house loan can be used to repair and renovate an existing home.
- The home loan for construction also provides the option of a moratorium period, during which the borrower does not have to pay an EMI and the bank begins the EMI when the moratorium period has ended.
- Borrowers can transfer their house loans from one bank to another by using the home loan balance transfer option.
- Typically, lenders use the assets you’re buying as collateral for the loan.
- Lenders typically require original collateral documents to be submitted at the time of signing the final contract.
10 Lines On The Home Loan In English (set 2)
- The house loan enables people to fulfill their ambition of owning a home at a young age.
- It is a loan that you take out to meet your housing demands, such as buying a house or land.
- People usually take out a home loan to buy a new flat, house, or piece of land, or to build a new home.
- The home loan can be purchase by more than one applicants.
- Purchasing of home is big investment for anyone hence choosing of right plan is crucial decision.
- For choosing of best home loan plan the borrower should consider following points: lower interest rate, loan amount, suitable tenure and moratorium period etc.
- The criteria considered by the lender for home loan depends on, income and income source of the applicant, credit score, age, property details, etc.
- The loan amount provided by bank depends on loan to value ratio (LTV) mostly the lenders provide 75 to 90 percent of LTV for the home loan.
- The interest rate incurred for the home loan is of two types: fixed rate interest and floating rate interest.
- When a borrower defaults on a loan, the lender has all legal rights to collect the debt by selling the property.
10 Lines On The Home Loan In English (set 3)
- Home loan is the amount borrowed by the insurer from the financial orgamization for purchasing /building of home/flat/plot.
- The amount borrowed by the borrower is taken against the property to be purchase as a collateral.
- The home loan is given by most of the leading banks and fianance services.
- The basic requirement for the approval of the home loan is that the applicant should have sure income source.
- Some of the lenders provide special concession in interest rate for the women applicant and defence personal.
- The processing fees for the home loan varies from 0.5 % to 2% depending onto the lender and this fees the applicant has to pat at the time of application.
- In case of construction the bank also does the site estimation of your project by sending the engineer at site location.
- At the time of signing final contract the lenders generally say to submit original documents of the collateral.
- Mostly the moratorium period is provided only for the construction of house but in case of plot purchase the bank never provides moratorium period.
- The peoples generally purchase term insurance along with home loan with equal tenure period.
Therefore these are the 10 Lines On The Home Loan In English that we provided for three different category students which will help them to briefly know about Home loan. You can take it help for your homework, project work, exam preparation, speech, essay writing wherever needed.