Frequently Asked Questions (FAQs) on Housing Loan :
Who can apply for a loan?
Any individual who has a need for housing finance can approach us. Being in the affordable housing segment, our thrust is to cater to the needs of those, who otherwise are overlooked by the major players in the housing finance sector. Thus individuals with no formal income but who otherwise are able to afford a housing loan are our main targeted customers.
What is the maximum loan that a person can avail from us?
Normally the maximum amount of loan for purchase or construction of a house is restricted to Rs.25.00 lacs only, subject to conditions. However in deserving cases we are open to relax this criterion at our discretion. For home improvement loan this amount is restricted to Rs.10.00 lacs only, subject to conditions.
How is the loan eligibility assessed?
The loan eligibility is calculated taking into consideration various factors like the applicant’s assessed monthly income, fixed monthly commitments, assets, age, qualification, employment and savings background and market value of the property to be bought/financed.
What is the maximum term of repayment?
The housing loan is repayable over a maximum term of 15 /20years.
Who should be the co-applicant?
All co owners of the property to be financed by default become co applicants. In addition to this, applicant’s spouse, parents, other close relatives who attained majority can also join as co applicants.
What is the fee payable for loan processing?
The processing fee collected is 2% of the loan amount sanctioned (exclusive of taxes if any as applicable from time to time) subject to a maximum of Rs.25000.00. While 1% or Rs 5000.00 whichever is less/ higher is payable along with the applicable service tax/taxes immediately on application, the balance would be collected on or before disbursement. of the loan sanctioned. If, for any reasons the loan is not sanctioned by us this processing fee will be refunded after deducting Rs.500/- towards out of pocket expenses.
How long the loan sanction is valid? Is there any commitment charge?
The loan offer is open for a period of 90 days from the date of intimation to the borrower of the sanction.
What is the security for the loan?
The loan will be secured primarily by equitable/registered mortgage of the property acquired out of the loan sanctioned. In addition to this depending upon the circumstances we may stipulate additional securities such as third party guarantee etc.
Will Khush Housing Finance Pvt. Ltd. provide assistance in identifying the property?
Yes. Please contact our branches/HO for utilizing these services. The contact numbers of our office is available in our website www.khfl.co.in
What is the interest rate for the housing loans?
The interest rates vary according to the market conditions. Borrowers may call up at the customer care no. to know the ruling interest rate at which loans are given by Khush Housing Finance Pvt. Ltd
What is the mode of repayment?
Mode of repayment will be monthly, and by way of Post Dated Cheques for Equated Monthly Instalments (EMI). Khush Housing Finance Pvt. Ltd. is in the process of tying up with the banks and would soon enable all the customers to repay through ECS mode (Electronic Clearing Service) also.
EMI will commence immediately after the full disbursement. Until EMI starts, Interest is payable on the amount disbursed on monthly basis.
When/How/Where can loan application be made and how long will it take?
Loan Application form is available at our branch offices. Also this can be downloaded from our website www.khfl.co.in
In case of purchase of new apartment, /house you may apply for a loan after you have entered into an agreement with the builder/seller and have paid advance money to the builder/seller to purchase the dwelling unit. Though the Loan can be applied at any of our branch offices, the processing and disbursement of the loan would be through the nearest branch where the proposed property is situated.
Loan applications received with all the necessary information/papers/documents will be considered for sanction and the decision will be conveyed within a period of 15 days under normal circumstances.
What are the supporting documents required while applying for the loans?
Common requirement for all applicants:
- Application form duly filled in
- Photo Identify proof such as Pan Card, Aadhar Card, voter’s ID card or passport
- Address proof such as Aadhar Card, ration card, electricity bill, telephone bill etc
- Income proof documents, if available
- Bank pass book or statement for last two years.
- Power of Attorney wherever applicable
- Details of assets owned
- Track record of loan repayment, if any
- Other relevant document/s as required by Khush Housing Finance Pvt. Ltd.
The above list is only indicative and depending on the circumstances we may call for other documents during the sanction process.
If you are not in possession of all these documents, still we may be able to find a way out for you. You are always welcome to have a discussion with our representatives.
Do I require a guarantor to get a home loan?
Yes. At least, one guarantor is required to avail housing loan.
What are the tax benefits under the Income tax act?
Exemption under Section 80 C of the IT act for repayment of principal up to Rs.150000/-
Deduction under section 24 of IT act for interest payment on housing loans up to Rs.200000/-