Loans for carrying out home extensions are easy to get. However, not many people know about the concept and end up applying for a personal line of credit for indulging in these tweaks. Moreover, personal loans are costlier as compared to a home extension loan and often end up sabotaging your short-term financial health.
Therefore, it is necessary to understand the diverse aspects of financial support for a home extension to make prudent choices:
- Processed as a housing loan
A home extension loan is charged at rates comparable to housing loans click here. However, you need to connect with a reliable lender for reaping the mentioned benefits.
- Can be Co-Applied
If you require a sizable sum for a home extension, you can also pair in a co-applicant. However, you should have proper home loan documents in the first place to be eligible for an extension loan.
- Vary with the Construction estimate
In case you are applying for a home loan extension amount, less than 30 lacs, you can get up to 90 percent of the required amount. However, as the limit keeps increasing, the concerned lender covers a lesser portion of the construction estimate.
In addition to these aspects, you must have all the necessary documents on you, including KYC, income proof. Property-centric info, bank statements, salary slips for salaried professionals, proof of employment, if relevant, and other enclosures for a hassle-free application.
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