A home loan is a financial support that adds to the strength of your pocket. We are all aware of the fact that buying a home is not an easy task. A home is not just a purchase, but it is also a responsibility. Your expenses do not end as soon as the home is purchased. You need to be aware of the home maintenance charges, loan EMIs, service costs, & all other costs that you would be incurring once you purchase the home. The HDFC Bank Home Loan is one of the best choices that you can avail. It has a simple & easy application process.
With every home, the basic criteria that you may need to fulfil is the age criteria. You should be between the ages of 21 & 65. You should be employed or self employed for a period of atleast 3 months consecutively. You should be able to produce either salary slips or ITR returns for the past 3 years. Apart from this, you would require documentation. This documentation includes loan application form that is duly filled, residential & personal proof of address, and documents of the property that you are prospecting.
Now, coming to the part about what a Home Loan Calculator:
- Home Loan Calculator is a simple tool that helps you with an approximate figure of what your EMI may look like.
- Home Loan Calculator uses tenure, principal amount & rate of interest to produce the figure of EMI. The EMI calculation that takes tenure into consideration as years, principal amount is taking as is. The rate of interest is taken on a monthly basis.
- The figure is produced in an instant.
- The importance of Home Loan Calculator gives you an estimate of what the EMI will be. This is a ball park figure that will allow you to calculate the management of your finances. Once you avail a home loan, managing your finances is an integral part.
- With the right financial planning, you will be able to create a good balance between savings, investments & EMI payments. It is important because you would be saved from falling into the well of debt traps.
- One quick suggestion by most professionals & others who have gone through this journey of the home loan is to prepare for a safe day fund for a about of 6 months. This fund should atleast be there for 2 different purposes. A fund should be set aside just to cover up the EMIs that you will be paying & the other should be able to cover the routine expenses that you cannot escape.
This is how you can make the best out of the Home Loan Calculator. In order to read more about the home loan & the various terms & conditions that are attached to it, please do so when you are applying for the home loan as it would save you from falling into any wrong product.