Whether you are constructing your existing home or new home, and running out of money, seeking a home loan is the best thing to do. There are financial services that offer a low-interest home loan which you can use for reconstruction purposes. In case, you are looking for a home construction loan, here are a few easy steps you need to consider
EMI Cost- Different finance companies and banks offer loans under different EMIs. So when you look for such loans, make sure you compare the EMI offered. If the EMI cost is low then you will certainly save money from your monthly income. This saving you can use for further financial assistance.
Loan Term- Check the loan term offered by the bank or finance institute. Depending on the amount of loan you are taking, choose the loan term accordingly. However, if you got a good monthly income then you can choose a short term loan.
Total Loan- Check the total loan amount you can look for. Many finance companies would ask to apply for up to 90% of the construction value. This means you will get enough funds to get the house constructed.
Mode of payments- When you look for home construction loan finance companies offer different modes of payments. These are Electronic Clearing Services and Post Dated Cheques. Depending on your ability to repay, you can choose the payment mode.