So you have been looking for a second home far away from the city. Given that most organisations are permanently adapting to a work-from-home (WFH) setup, you may want to enjoy working far away from the urban hustle.
If so, investing in properties on the outskirts of metros like Mumbai will prove to be profitable in the long run. Not to mention, the weather remains ideal all year long, and farmhouses are reasonably priced.
The only problem – how do you afford a farmhouse near Mumbai for investment? Maybe you’ve already considered getting a housing loan. But does it cover purchasing holiday homes or farmhouses? Let’s take a look.
Housing loans for farmhouses
A home loan can easily solve any housing finance related troubles by providing access to instant funds. What’s more, you can apply for a loan to buy a farmhouse as well! And that’s not even the best part. Home loan interest rates are presently at an all-time low. Hence, if you apply for a loan now, you can save significant funds on interest. No doubt, the best time to take the leap and get yourself a second home.
Not convinced? Here are some additional advantages of applying for a housing loan to purchase a farmhouse.
• Choose your preferred type of interest rate
Most lenders allow you to choose between fixed and floating interest rates while applying for a housing loan. And each of them comes with its unique advantages.
If you choose a fixed rate, for instance, your loan interest rate remains constant throughout the tenure. So, you can plan your repayments in advance. Whereas, when you opt for a floating rate, your loan interest rate fluctuates according to the current REPO rate set by the RBI. This means if the repo rate remains low, you pay lower interest and save more!
Additional Read – Planning to Take a Plot Loan? Some Important Rules You Need to Know
• Easy repayment options
Another advantage of a housing loan is that lenders allow you to choose your repayment terms, specifically, your loan tenure. This means you can choose a repayment tenure that matches your current repayment ability. For instance, if you have the finances, you could opt for a shorter tenure, pay larger EMIs, and close your loan quicker.
Need help deciding your loan tenure? Use a home loan EMI calculator to determine an EMI amount you can pay comfortably and calculate the tenure based on it.
• Quick online application
Thanks to the internet, applying for a housing loan is easier than ever. All you have to do is fill the online form with the required details and upload the requested documents. That’s it! Your application is sent for approval immediately, and you can forgo waiting in line to submit your application altogether.
Additional Read – Top Things to Consider Before Buying a Farmhouse
If you’re in the market to buy a farmhouse, now is the time to get one. And if you ever need to get ahome loan in Mumbai, you can always turn to Tata Capital. We offer loans at attractive rates to suit your every need. Learn about home loan eligibility conditions on our website.