A home requires renovation from time to
time to meet evolving needs. Renovating or refurnishing your home is a costly
affair today due to rising costs of labour and materials.
A personal loan for home renovation is one
of the ideal options to pay for your home renovation, repairs, and improvement.
Are you thinking of renovating your home
with a home renovation loan?
Then, you should have a clear understanding
of the home renovation loan eligibility criteria and home renovation loan
interest rates. Also, being aware of the benefits of home improvement loan and ways to apply for it
is vital.
Read on to know all about the different
aspects of a personal loan for home renovation.
Home renovation loan
eligibility criteria
The amount of loan approved depends on
various factors like your credit score, income, financial obligations and many
more. Following are the basic eligibility criteria that you must fulfill to
avail any home renovation loan:
●
You must be an individual aged between 23 and 58 years
of age.
●
You must be a salaried individual working for an MNC,
public or private limited company.
●
You need to be a residing citizen of India.
The loan eligibility criteria may differ
from lender to lender.
Benefits and features
of a home renovation loan
●
Instant approval
Instant approval is one of the major
benefits of a personal loan. If you meet the basic eligibility criteria and
share the required details, your home renovation loan application gets approved
instantly.
●
Collateral-free
loan
A personal loan for home renovation is a
collateral-free loan. You do not need to worry about pledging any collateral
security to avail this loan.
●
Easy processing
and minimum documentation
Easy documentation and speedy approvals
lead to easy processing of this loan. Thus, you can start your renovation work
without waiting a long time for the approval of your loan application.
●
The flexibility
of usage
You can use your home renovation loan fund
for all renovation activities of your house. You can withdraw and repay funds
from your total loan amount as and when needed. Interest is payable not on the
entire sanctioned loan amount but only on the amount used. This way, you only
need to pay the interest on the utilized amount as the EMI and nothing else.
The rest of the amount is adjusted after the end of the loan tenor.
●
Flexible loan
tenor and repayment
Flexible loan tenor is also one of the
advantages of this loan. The tenor of a home renovation loan ranges from 12-60
months. If you are comfortable paying a low monthly instalment, you can choose
a long tenor and vice-versa.
●
Lower interest
rate
A home renovation loan is available at a
lower interest rate as compared to other loans. A lower interest rate reduces
the cost of your loan, which in turn reduces your total cost of renovating your
home.
●
Tax benefits
The interest that you pay on your home
renovation loan is eligible for tax deductions. Under Section 24, you can avail
tax benefits on the interest paid on loan.
Steps for applying for
a personal loan for home renovation
You can apply online, and only need to
follow some simple steps:
1.
Fill in your personal, financial and employment details
in the online application form.
2.
Select the loan amount and loan tenor.
3.
Submit the required documents online.
4.
The representative of the lending institution gets in
touch with you.
5.
You receive the amount in your bank account on approval
of your loan application.
Now that you know all about home renovation loans, you can
go ahead and avail the benefits of this loan for renovating your house.
Bajaj Finserv brings to you pre-approved
offers on its various financial products. It is to simplify the loan procedures
and to make it less time-consuming.
You can check your pre-approved loan offer
by sharing some basic details like your mentioned name and mobile number.
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