Purchasing a new house or purchasing land to construct a new house is so difficult in today’s generation. Home loan is the type of loan by which you can purchase a house on time as house and land rates are increasing day by day. Many banks provide this service against some interest. Home Loan is the type of loan availed for the purchase or a construction of a new home. The different types of home loans issued by banks in India are described below.
Land Purchase Loans: This is the loan availed for the purchase of land for investment/construction purposes..
Home Purchase Loan: This is the conventional home loan .By this loan you can purchase new apartment.
Home Construction Loan: This loan is for the construction of a new home on an existing property. Its terms and conditions are also widely different from Home Purchase Loans
Home Extension Loan: This home loan is for any modification to an existing or old home. Before approval of this loan it is very urgent to get the approval from the concerned municipal authorities.
Saturday, March 29, 2008
Sunday, March 9, 2008
Loans
A Loan Is A Type Of Debt. In a simple way it is an agreement in which a lender gives money or property to a borrower, and the borrower agrees to return the property or repay the money, usually along with interest. Legally, A Loan Is A Contractual Promise Of A Debtor To Repay A Sum Of Money In Exchange For The Promise Of A Creditor To Give Another Sum Of Money.
Type of loans: Generally Loans are of two types:
1 Secured: A secured loan is a loan in which the borrower pledges some asset (e.g. purchase a house or a car is a example of secured loan).
For example: mortgage loan is a very common type of debt instrument, used to purchase housing. By this arrangement, the money is used to purchase the property. The financial institution, however, is given security - a lien on the title to the house - until the mortgage is paid off in full. If the borrower defaults means unable to pay the loan, the bank would have the legal right to recapture the house and put up for sale it, to recover sums remaining to it.
2 Un-Secured: Unsecured loans are monetary loans that are not secured against the borrowers assets. These may be available from financial institutions under many different guises or marketing packages such as :
· Credit card debt,
· Personal loans,
· Bank overdrafts
· Credit facilities or lines of credit
· Corporate bonds
The interest rates applicable to these different forms may vary depending on the borrower. These may or may not be regulated by law.
Type Of Loan:
· Home Loans
· Personal Loans
· Car Loans
· Business Installment Loans
· Commercial Vehicle Loans
· Two Wheeler Loans
Type of loans: Generally Loans are of two types:
1 Secured: A secured loan is a loan in which the borrower pledges some asset (e.g. purchase a house or a car is a example of secured loan).
For example: mortgage loan is a very common type of debt instrument, used to purchase housing. By this arrangement, the money is used to purchase the property. The financial institution, however, is given security - a lien on the title to the house - until the mortgage is paid off in full. If the borrower defaults means unable to pay the loan, the bank would have the legal right to recapture the house and put up for sale it, to recover sums remaining to it.
2 Un-Secured: Unsecured loans are monetary loans that are not secured against the borrowers assets. These may be available from financial institutions under many different guises or marketing packages such as :
· Credit card debt,
· Personal loans,
· Bank overdrafts
· Credit facilities or lines of credit
· Corporate bonds
The interest rates applicable to these different forms may vary depending on the borrower. These may or may not be regulated by law.
Type Of Loan:
· Home Loans
· Personal Loans
· Car Loans
· Business Installment Loans
· Commercial Vehicle Loans
· Two Wheeler Loans
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