Home Renovation or Improvement Loan Vs Top-up Loan

1. Home Renovation or Improvement Loan Vs Top-up Loan Everyone has a dream of their own Home. Proper funding is required for a dream home that's why we need a Home loan. A home loan plays a major role when we go for the dream home. We all love to beautify our home time to time to add more happiness and joy. For our dream Home, we all use our savings but that is not enough to fulfill all necessities. It’s time to do some work on your financials again after paying the down payment and after you start your EMI for your home loan. In such conditions, Home renovation or Improvement loan is a good option to fulfill all your financial requirements regarding Home Improvement. The interior decoration of home reflects the personality of the homeowner. Along with this, it improves the look and convenience for the family members. All bank and NBFCs offers Home loan for the Renovation or Improvement of the House. ©2017 www.banknomics.com

2. For the Hassle-free Home Improvement Loan, you can also consult with Financial advisors like Banknomics India. What we can do with a Home Improvement Loan A home improvement loan covers following things: Upgradation of Home Complete renovation of already owned House Painting and External or internal repairs of home Repair of your house/flat Water-proofing & roofing Plumbing & electrical work False ceiling & woodwork Tiling and flooring and much more Remarkable things about Home Improvement Loan There are some important things which everyone should know about Home Improvement Loan: Interest rates: The interest rates for Home Improvement loans are usually same as for the Home Loan. Maximum Amount: A borrower can get up to 80% of the Property value for the renovation or the Improvement of the Home. Tenure: Repayment period or tenure for home improvement loan is same as for the Home Loan. Pre-payment: A borrower can repay the loan amount before the tenure but it’s also important to understand the prepayment charges of the lender. Tax claim: A Borrower can claim a tax deduction when they are in home improvement loan. Both the co-borrowers can claim the deduction. Property value: Bank, NBFCs, and private lenders do not provide the Home improvement loan for the property which is older than 35 Years. Processing Fee: Compare and Understand the Processing fee terms offered by the lenders. ©2017 www.banknomics.com

3. People also apply for Home Purchase Loans, Home Construction Loans, Home Extension Loans, Home Improvement Loans and Plot Loans as per their eligibility and requirements. Now it’s time to talk about Top-Up Loans. Top up loans are often applied by a borrower in the immediate financial needs. One will always think for the Top-up loan when they need more money after taking a home loan. Bank and NBFCs offer Top-up loan to their borrower who already has a home loan and has a Good Credit record. One will be eligible for Top-Up Loan, once they fulfill the minimum tenure of the on-going home loan. What we can do with a To-Up Loan A Top-Up Loan covers Following things: Medical Emergencies House renovation Educational needs Marriage New investment To repay any other debt Remarkable things about Top-Up Loan There are some important things which everyone should know about Top-Up Loan: One can apply for a Top-up Loan only if they have an existing Home Loan Interest Rates: Interest rates of Top-Up loans are less expensive as compared to the home loans. The interest rate for Top-Up loan is usually 0.5% - 1.00% . Maximum Amount: In Top-Up Loan a borrower can get up to 80% of the Property value for. Tenure: Repayment period or tenure for a Top-Up loan is same as for the Home Loan. Pre-payment: A borrower can repay the loan amount before the tenure but it’s also important to understand the prepayment charges of the lender. ©2017 www.banknomics.com

4. Tax claim: A Borrower can claim a tax deduction when they are in home improvement loan. Both the co-borrowers can claim the deduction. Processing Fee: Compare and Understand the Processing fee terms offered by the lenders. There is nothing much different between Home Improvement Loan and Top-Up loan. In term of interest rates, Top-Up loans are quite expensive as compared to the Home Improvement Loans. One can apply for a Top-Up loan only if they have already taken a home loan. To make Loan services Easy Banknomics India is here. Get the best Financial advice and Apply for Home loan Online with Banknomics. ©2017 www.banknomics.com