Friday, 19 April 2019

4 Interesting Features on Home Loan for Your Home, Away From the City

Posted by MyInvestmentsPub
(Published on 19-Apr-2019)
Umesh, who works in a reputed manufacturing company, has been living with his family in a metropolitan city for many years now. At 44, he feels tired and wants to have a small house in his native town, where he can go once in a while and spent some time in the quiet and calm of nature. But several years ago, he had already sold off his ancestral property and bought a house in the heart of a big city.

So what could he do now? Where would he arrange funds from to build or buy a house in his native town? His kids are growing up so he doesn’t want to break the fixed deposits as those might be needed for their higher education or marriage. So, will Umesh have to forget the dreams of retiring in his native place?

Not at all. Where there is will there is always a way. Umesh can always opt for a home loan. A housing loan will equip Umesh with enough funds to buy a plot of land in his ancestral town and build a house.

Umesh is at his prime age, so getting a home loan will not be an issue either. Banks and financial institutions such as Tata Capital give a minimum of Rs 2 lakh of housing loan and a maximum of Rs 10 crore to eligible individuals. So, Umesh can finalize a property of his choice in his native town, and apply for a housing loan accordingly. To be eligible for a home loan, one has to be above 24 years old and less than 65 years old. Since Umesh well fits into this bracket, getting a home loan will not be an issue for him. And considering he has a steady income and quite a few years in his hand for retirement, he can even pay off his home loan EMI without worrying about cash flow.

Umesh needs to reach out to rural housing finance solutions, and start investing early in something that’s so close to his heart. Institutions such as Tata Capital offer attractive home loan solutions for those who are interested in having a home in a rural area.

The features of these solutions are as follows:

Convenient and affordable interest rates: 

Home loan interest rates in trustworthy financial institutions such as Tata Capital are very affordable, and so the home loan EMI wouldn’t burn a hole in your pocket. For salaried and self-employed professionals, the interest rate is 9.05% for a home loan amount of up to Rs 30 lakh. If it’s more than Rs 30 lakh, then the interest will be a tad higher at 9.20%. If you are a self-employed non-professional, then for a home loan of up to Rs 30 lakh, you will have to pay 9.20% interest. 

If the housing loan is more than Rs 30 lakh then the interest will be 9.45%. If you have a good credit history or CIBIL score, then you are likely to get a home loan at a lower interest rate. Your home loan EMI will also depend upon your tenure of the loan, and the applicability of floating or fixed rate of interest.

Home loan facilities: 

It’s a misconception that you get a home loan for properties located only in bigger tier 1 city. Institutions such as Tata Capital have great rural housing loan finance solutions, whereby you can even get a home loan for tier 2 and tier 3 cities. So, retiring in your hometown is no more just a dream. You can very well make it a reality.

Quick and hassle-free processes: 

In institutions such as Tata Capital, the entire process, right from applying for the home loan to disbursement of the home loan, everything is quick and hassle-free. You don’t have to run from pillar to post to obtain a housing loan. Even the documentation process is pretty simple and doesn’t call for difficult-to-find papers. Representatives will land at your doorstep to collect your documents, so you wouldn’t even have to step out of your house to get the home loan. The verification process is also quick and simple, and so is the final disbursement of the housing loan. 

Timely assistance for the loan process: 

In case you have any queries before or after applying for the home loan, there is also a way to speak to customer care executives. They will help you through the entire process of obtaining the home loan, by clarifying all your doubts and solving your queries. Don’t feel helpless at any point of time if you are stuck or are in two minds about a certain formality. 


Just because your dream house is not in a city does not mean you cannot avail a housing loan. Thanks to the wide reach of financial institutions, just like Umesh, you, too, can build your own home away from the cities.


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