One is never too young or old to plan for the future. One of the most important plans you’ll ever make will centre around purchasing a home of your own. While you are never too young or old to start planning for housing finance, there are several factors to be kept in mind before you apply for a home loan. Technically, you can apply for home loans from the age of 18, but the best time to apply is typically from 30 to 50. However, several factors come together when it comes to deciding the timing of buying a house, and the age at which these factors come together favourably is the best age to get a housing loan.
Things to Ask Yourself:
To figure out the right age for applying for a home loan, ensure that you are at a point where you can handle paying it back. Some of the questions you should ask yourself are:
- Do you have assured an income for the next few years?
- Are you in a financially stable position?
- Are you at a stage where you can afford to settle down in a place for the foreseeable future?
- How big is your family?
- What is your current salary?
- Are you satisfied with your job and do you want to stick with it, given the opportunity of stable or increased income?
If you need to move around a lot, it doesn’t make sense for you to buy a house somewhere. However, if you have settled into a city and can envision yourself raising a family there, you can go ahead with a house purchase. Financial stability is paramount when you are thinking about a home loan, and you will need to have a steady flow of income over the next few years to pay it off.
The State of Your Finances
Home loan eligibility is largely determined by your financial condition. Lenders will analyse if you’re responsible enough to pay your dues on time. Therefore, make sure to ask yourself the following questions:
- How responsible are you financially?
- Do you have all your paperwork in order?
- What is your credit score?
- How are your savings?
- Do you have your bank accounts in order?
- Have you responsibly paid off previous loans, if any?
Use EMI calculator for home loans to determine what kind of property you can afford, and if this is even the right time to start looking for a house.
Pro tip: It is advisable to not apply for a home loan when you’re close to retirement as you may not have the steady income required to repay the loan.
You’ve done your bit. You have planned and saved, and watched the market, and decided the perfect age and timing of getting a loan and buying your dream house. That’s where Tata Capital comes in. You can now secure a loan at competitive home loan interest rates. Easily calculate your EMI with online home loan EMI calculator tool.
Tata Capital also makes housing loans a lot easier to navigate with easy repayment options. Use our home loan calculator to determine your eligibility today!