It has been a norm for salaried people to wait for their retirement to buy a home using the money they get at the time of retirement. But recently, there has been a change of scenarios. Merely after two years of being employed, a person becomes eligible for home loans which makes it possible for you to own a home even if you are a young professional.

Owning a home at the beginning of your career has numerous benefits. But if you have decided to buy a home when you are in your 40s the benefits do not get less, though you may have to take care of a few points considering your age. Here are some points to keep in mind when you are applying for a home loan in your 40s:

Keep the Tenure Shorter

The maximum tenure of a home loan is 30 years. But availing the same when you are already in your 40s does not seem like a good choice and it may not be possible too since the maximum age a home loan can run is 60 years. Experts suggest to keep the tenure less than 20 years in order to become debt free earlier and save on interest payments.

Go for a Larger Down Payment

It is expected to have a good amount of savings if you are over 40 years of age. If that is the case with you, you can use a large part of your savings as your home loan down payment. You should remember to keep aside an emergency fund and use the rest of money as down payment. A larger down payment means less loan burden and reduced interest.

Try Part Payments

If you have the option, it is always better to make part payments of your home loan. It is suggested to pay off your loans before you reach your retirement age. Not to mention the fact that with growing age, your or your spouse’s health condition may also deteriorate. The medical expenses may go really high and during such times a loan repayment may create a lot of pressure on the person.

Opt for a Joint Home Loan

A joint home loan comes with numerous benefits for home buyers. It can not only increase your loan eligibility and you can enjoy maximum loan for salaried employees and share the burden of debt but also adding a co-applicant who is less than 40 years of age can help you get a loan for longer tenure if you wish. Besides, both the applicants can enjoy tax benefits.

Select the Right Lender

The most crucial part of making your home loan beneficial for you is to ensure you choose the right lender. This makes a lot of difference when you repay your loans. If you are unsatisfied with your lender’s services, the loan tenure can turn out to be a terrible time for the borrower. Hence, before you sign any loan agreement, it is important to know the terms and conditions and fee and charges that the lender may impose on you in future. INRCredit is one of the most reputed home loan providers if you are looking for home loans in Uttam Nagar, loan on dda flats or loan against property in Gurgaon.

Source:https://www.freeprnow.com/pr/things-to-keep-in-mind-while-applying-for-home-loan-in-your-40s