If you are looking to buy a house and finances is stopping you from making the much-needed advances, then we have the right solution. Housing loan allows individuals to borrow money as a loan and repay it in the form of monthly EMIs. However, the lenders also charge an interest rate on the borrowed money which you can reduce by the following tricks.
Tips and Tricks to Reduce the Housing Loan Interest.
- Good Credit Score: A good credit score is an indication of the creditworthiness of an individual. If you have a good credit score you can negotiate with the lender for a lower interest rate.
- Good Income: A good income ensures that you will repay the loan amount on time. So, the lenders can offer you the loan at the lower interest rate.
- Increasing the tenure: If you use the EMI calculator you will know that increasing the tenure of the loan repayment also reduced the interest that you will be required to pay each month.
- Extra EMI payment: Apart from the regular EMI to be paid, if you make some extra payment, then your principal amount reduces, thus decreasing your interest as well.
Conclusion
These are some tips that will come in handy if you want to reduce your Housing Loan interest.
