Home Loan

Own the home you love or build one. Get the much essential financial boost in owning your dream house with housing loans at Sutashi Finance. Associate with us for a smooth home loan journey and relax back with the loan process as we provide you the best deals from the top banks with lowest interest rates.

What is a Home Loan?

A home loan is a secured type of a loan wherein the house itself acts as a collateral against the loan. The repayment of loan can be bifurcated into simple and affordable monthly EMI’s over a period of few years. Generally, the interests on the home loans are much lower as it is a secured type of a loan. Based on your banking history and readiness with the down payment the loan amount and the tenure associated are devised by the banks

Why Borrow a Home Loan?

Few top reasons for which a Home loan can be procured are

• Purchase or construct on property You have already chosen
• Home Loan Balance Transfer: Transfer your existing home loan to another lender.
• Get a housing loan even if you have not finalised or identified the property you’d like to purchase.

What is the Eligibility for a Home Loan?

• Any salaried or self-employed professional : For salaried individuals of age between 21-58 and self-employed of age 25-65 having incomes more then 20,000+ per month respectively.
• Repayment Capability : The amount of Home Loan sanctioned is decided based on the current income and banking history for the last 3 years for a salaried / self-employed professional.
• Good CIBIL Score : A good CIBIL score is required for a quick approval of home loans as it checks your credit history over a period with other banks.

Home Loan Fees and Charges

Depending on the type of loan you are applying for, the following charges may be levied:

• Processing fees: This is a one-time non-refundable fee that is to be paid to the home loan provider after the loan application has been approved. The processing charge varies depending on the bank and the loan scheme you are applying for.
• Prepayment charges: Prepayment penalty is the fee you will have to pay the lender if you plan on repaying your home loan before the completion of the loan tenure.
• Conversion fees: Some banks also charge a conversion fee when you decide to switch to a different loan scheme in order to lower the interest rate associated with your current scheme.
• Cheque dishonour charges: The fee is levied when the loan provider find that a cheque issued by the borrower is found to be dishonoured due to reasons such as insufficient funds in the borrower’s account.
• Fees on account of external opinion: In some cases, you might want to consult an external expert such as a lawyer or a valuator for his/her opinion on the loan. This fee should be paid directly to the concerned person and not the lending institution.
• Home insurance: The premium should be paid directly to the concerned company during the term to ensure that the insurance policy is running during the home loan tenure.
• Default charges: Loan providers also charge a penalty on delayed repayments i.e. if you fail to make your Equated Monthly Instalments (EMIs) or Pre-EMIs on time. The defaulting charges vary from one bank to another.
• Incidental charges: This charge covers for the expenses incurred by the bank to recover dues from a borrower who has failed to make his monthly instalments on time.
• Statutory/regulatory charges: The fee includes all charges associated with Central Registry of Securitisation Asset Reconstruction and Security Interest of India (CERSAI), Memorandum of Entry and Deposit, and stamp duty. You can visit www.cersai.org.in to know more about these charges.
• Photocopy of documents: The fee is payable to the bank if you require a photocopy of your home loan documents for any personal needs.
• Change in loan term: Some banks also charge a nominal fee if you wish to change the tenure associated with your loan.