IMGC

Home Buyers

How Mortgage Guarantee backed Home Loan helps?

Let’s Start with a Problem

  • Scenario 1

    Mr. A is a 45 year old salaried individual who is earning Rs. 60,000 per month. He has finalized a 3BHK to buy, which will cost Rs. 65 Lakhs. If he approaches a bank for a home loan as per the existing policy:

     

    - The maximum tenure that he will be offered for the loan will be 15 years (taking his retirement age to be 60 years)
    - At 10% interest rate, taking into account his income, he will qualify for a loan amount of only Rs. 50 Lakhs.

    Looking at this scenario, Mr. A has to either drop the idea of buying the house he liked or take a personal or any other expensive loan.

  • Scenario 2

    Mr. B is a self-employed professional whose work is seasonal in nature. He is looking at buying a villa for his family in an upcoming location at Rs. 50 Lakhs. He is getting this price as one of the first buyer.

    Based on what he earns during his peak employment season, he is very much capable of repaying a home loan of that magnitude. However, the bank is offering only Rs. 38 Lakhs, leaving him Rs. 12 Lakhs short.

    Looking at this scenario, Mr. B has to either drop the idea of buying the house he liked or take a personal or any other expensive loan or take out money from his business which may not be too prudent.

You NOW have a solution at hand.

In both of the above scenarios, with the help of a Mortgage Guarantee backed Home Loans Mr. A and Mr. B can qualify for their required home loans, this is how:

  • Mr. A, with Mortgage Guarantee, can avail an additional 7 years in the tenure on the loan, plus if Mr. A has some additional income or savings, it will be considered positively while evaluating the loan request. This will increase the loan amount eligibility by approximately Rs. 15 Lakhs to Rs. 65 Lakhs.

  • Mr. B can opt for a Mortgage Guarantee backed home loan which will ensure a higher loan amount to buy the villa he wants to as his seasonal income and business establishment will be considered positively to qualify him for a higher loan amount.