Recent changes in government policies and the launch of new schemes have had a significant impact on your home buying prospects. Be it the RERA regulating the real estate sector, the smart cities project, the recent cuts in home loan rates or the Pradhan Mantri Awas Yojana, you can now buy a home more affordably and easily than before. All this hints at a growth of up to 30% in the real estate segment during the next decade. It is also predicted that the housing sector is to contribute 11% to India’s overall GDP in the coming years. These facts pronounce that now is the perfect time for you to invest in a property of your choice in India.
Take a look at the reasons in detail to know why you should buy a home now.
RERA shields your interests as a home buyer
In 2016 the Real Estate (Regulation & Development) Act was passed. Under the purview of the Act, a regulatory body was put into action in every Indian state. The domain of this authority includes protecting your interest, understanding and solving your grievances, and standardising a model sale agreement for you. Apart from this, builders and developers have been asked to be more timely and transparent with their building construction and completion activities.
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The Act also entitles you to receive a complete refund in case the builder fails to match the commitments made to you. Further, builders cannot accept more than 10% as down payment from you. Apart from these important guidelines, numerous other clauses have been brought to action to protect your legal rights and interest as a homeowner. This creates more safety for you in your endeavour to buy a home.
Smart cities project promises better growth in the long run
The smart cities project is set to improve living and home buying in ways you may have just imagined until now. The project will enable city planning and development at lower operational costs, which is a step towards bringing down the prices of property in the long run. Other modern developments such as digitised commutation, smart energy, and digital plumbing will not only make living more convenient, but also help you get more value for your investment.
Cuts in home loan interest rates make home purchase more affordable
The recent introduction of the MCLR system has helped nominalise home loan interest rates. This ensures more transparency in the way financial institutions charge interest on your home loan. This has considerably brought down the interest rates as compared to the earlier base rate system. However, remember that MCLR is only applicable on floating interest rate home loans. This means taking a home loan now on floating interest rate will ensure you pay lower EMIs right from the beginning of the tenor owing to the reduced interest rate. In the future too, whenever the RBI signals a reduction, you can expect your home loan interest rates to reduce by a significant percentage.
NBFCs tackling home purchases with flexible home loan options
To get the best benefits with your home loan, you can evaluate the offers of leading NBFCs. Lenders such as Bajaj Finserv allow you to avail a Home Loan on flexible terms. Here you can choose the home loan variant based on your need with options like a Flexi Hybrid Home Loan, and Home Construction Loan. A Flexi Hybrid Home Loan, for instance, allows you to pay only-interest EMIs for the initial years of your tenor. The other facilities on offer include a 3 EMI holiday and a top-up loan for ease managing your cash flow during repayment and meet your other needs for cash.
Introduction of PMAY gives you additional interest subsidies
The Pradhan Mantri Awas Yojana was brought into action by the Modi government in 2015.As per the various categories of the scheme, you can receive subsidies up to 6.5% on the home loan interest rates based on your income slab. In March 2018 alone, the construction of 3,21,567 affordable houses was sanctioned under this scheme to give you more options to choose from. So, make the most of subsidies and low-cost housing by availing a home loan on subsidised home loan interest rates from financial institutions functioning under this scheme.
With these positives in mind, it’s time for you to finalize a home and evaluate your eligibility for the home loan using the home loan eligibility calculator. Additionally, you can calculate the EMI that best suits your finances using the home loan EMI calculator and be well on your way to becoming a homeowner.
Additional Read: Home Loan Without Down Payment
Bajaj Finserv brings you pre-approved offers for personal loans, home loan, business loans and a host of other financial products. Not only does this simplify the process of availing financing, but also helps you save on time. All you have to do is share a few basic details and check out your pre-approved offer.
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