What is Right Home Loan Amount?. There is no right or wrong answer to this question. Both under borrowing and over borrowing are dangerous for financial health of an individual. We cannot ignore this question because it directly impacts your interest outflow. Three important pillars of Home Loan are Monthly EMI, Home Loan Tenure and Home Loan Amount. All 3 are interlinked to each other. I have not included Interest Rate as Interest Rate is not in control of a Borrower and is fixed. EMI, Tenure and Home Loan Amount are variable and optimum mix can be calculated. To influence any of these, ... Read More
7 Risks Associated with Subvention Scheme
Last week, 3 Big Hoardings caught my attention "NO EMI For 24 Months", "Book Your Dream Home at Just 8% Interest Rate" and "Book Now Pay Later". It seems to be some divine intervention which is helping / supporting me to fulfill my dream of owning a flat. "HOLD ON" signals my mind to my heart. Remember the Golden Rule of Finance "There are No Free Lunches in this World". This divine intervention is named as "Subvention Scheme". Word Subvention is derived from Latin word "Subventus". It means Monetary Help or Support. Subvention Schemes were banned by RBI on 3rd September, 2013. These schemes ... Read More
10 Benefits of Staying on Rent
10 Benefits of Staying on Rent, an offbeat post for website on Home Loan and Real Estate. Today morning i decided to write something different. I always try to share neutral perspective i.e. both sides of story for the benefit of readers. You might have come across many people who prefer staying on rent because of unaffordable & increasing property rates. I highlighted this in my post, Endless Wait for Property Prices to Fall. In Indian society, staying on rent is a social stigma. It is linked to financial instability. On internet, you will find lot of financial data whether you should ... Read More