Benefits of Applying Online
When Banks Compete, you win.
Apply for a Home Loan at ApnaPaisa and we will match your requirements with the best offers from our network of over 400 service providers. We will get a maximum of five providers to compete for your business. WHEN BANKS COMPETE YOU WIN. You can then decide which home loan is best for you based on:
- Lowest Interest Rate
- Lowest EMI
- No Pre-payment charges
- Lowest Processing Fees
- Maximum Eligible Loan Amount
- Mandatory Documents Required
- Lowest Processing Fees
Or any other factor that is important to you.
Negotiating Tips
1) If you have a good credit record and your income is sufficient to justify the loan you can negotiate on interest rates. You can also try and get Processing fees or legal or valuation fees reduced or completely waived.
2) If you go for a floating rate loan then pre-payment charges are not payable.
3) When interest rates are high and are expected to go down you should go in for a floating rate loan as it makes no sense to lock into high fixed rates or the so called Dual rate loans where rates remain fixed for a couple of years before shifting to regular floating rate loans. Please review this decision at least once every 6 months
4) Take term insurance and critical illness and accidental disability policy for the full loan amount to make sure you or your loved ones don't have to worry about loan repayment should you die or are disabled due to a critical illness or accident. You cannot be forced to buy this policy from the insurance company chosen by the lender - you should choose your own insurer.
Negotiating a good deal for your home loan
Offers advice on how to negotiate a good deal on a home loanPooja Gawde
14 Aug 2007
- Remember all housing loan rates are negotiable. You can always play off one lender against the others to some extent.
- Once you have reached the limit of negotiation on interest rates you can then negotiate the other charges especially processing fees.
- Unless loan amount is a constraint, approach prospective lenders only after the property is finalised and disbursement is required in the next few days. Most lenders are interested only in disbursements and reserve their best rates only for immediate disbursement cases.
- Bundle your loan request with the loan requirements of your friends and colleagues and thus offer a larger loan portfolio to the Bank. This can be specially powerful if the property is in the same building since the legal and technical costs can be reduced which can then be passed on as a benefit to you.
- If the property is being bought from a reputed builder, you can also employ the month end trick by negotiating till the 23rd or 24th of the month. Every Bank has monthly targets for its staff and as the month end nears the Bank offers slightly better terms to enable them to fulfil their target. However, this is unlikely to work where the property title / valuation is not absolutely clear.
- Give full details about your existing borrowings (including credit cards) and good repayment track record to all lenders. Remember most banks will check with the Credit Bureau anyway to find out about your existing borrowing and repayment track record. So making full disclosure about your existuing borrowings makes sense and can actually be used to reduce rates further.