PNB Housing Finance has come up with an affordable home loan scheme, Roshni Home Loan, for fulfilling the dream of owning a house. Any individual from a low- to middle-income group, self-employed or salaried person having a minimum regular monthly income, can apply for a Roshni Home Loan. The interest rate starts as low as 10.50% per annum and gives you an attractive opportunity to do effective financial planning.
Advantages of Roshni Home Loan
One can get a maximum loan of up to Rs. 50 lakhs for purchasing a new house. The minimum amount for a home loan application is Rs. 5 lakhs for any individual. It offers a longer repayment period with lower EMIs that help anyone to run monthly expenses easily with a small amount of EMI payment. It provides a lucrative opportunity to borrowers who may not have formal income tax records but have variable income. 90% of the property market value is funded by the bank.
Factors that influence the eligibility of the Roshni Home Loan
Several factors are taken into consideration before determining the applicable interest rate.
● Credit score
CIBIL, or credit score, is a major factor in settling down the home loan interest rate. The higher CIBIL score helps you to fetch a low interest rate. A higher CIBIL score ensures the borrower’s creditworthiness and repayment ability. However, Roshni Home Loan gives the opportunity to aid individuals who are new loan applicants and do not have a credit history.
● Loan duration
The loan duration on the borrowed loan amount plays an important role in fixing the interest rate. Shorter durations on home loans usually attract lower interest amount payments, but they used to have high EMI payments. On the contrary, longer tenure used to have smaller EMI but needs higher cumulative interest payment. The Roshni Home Loan scheme provides borrowers a longer duration of repayment for 30 years.
● Loan amount
The amount you seek as a home loan also impacts the interest rate. Usually, the higher the loan amount seeks the higher the interest rate, while smaller loan amounts are associated with lower home loan interest rates. One can avail of any amount within the range of Rs 5 lakhs to Rs 50 lakhs in the Roshni Home Loan.
● Property category
The location of the property is very important in home loan interest rate settlement. The prime location of the property attracts a lower interest rate. Additionally, the size and purpose of purchasing the property also influence the interest rate.
● Employment profile
Roshni Home Loan gives the opportunity of buying a flat or house to all individuals who have informal income sources but have a serious intention of repaying the loan. The lower- to middle-income group of people who have a monthly income of at least Rs. 10000 are eligible for availing this loan.
The Roshni Home Loan Scheme of PNB Housing is an attractive opportunity that empowers individuals to dream of their own house. It gives flexibility by providing a longer duration of repayment. The extended period of repayment also lowers the EMI (equated monthly installment). Thus reduces the burden of a huge amount of monthly EMI cost.