Imagine you started off with just three members in your family, you, your wife and your son and built your house accordingly. Now that your son has been married and has two children, the need for additional space has become really essential. But spending a huge amount on home extension might put extra load on your pocket.
NO WORRIES! A number of banks and loan agencies now provide loans for the same. These loans are known as Home Extension Loans. The applicant will get funds for extending his or her existing house by adding an extra room, enclosing a balcony and so on.
Features of Home Extension Loan
- The tenure of the loan ranges from 1 to 20 years. Usually the tenure does not extend beyond 60 years or the retirement age, which ever is earlier. In case of self employed individuals, the age limit is 65 years.
- As the tenure can be up to 20 years, the amount of the EMI is reduced so that your monthly outgoings do not put an unnecessary load on your pocket.
- These loans are available to both existing and new customers.
- The loan can be taken both individually or jointly.
- The interest rates are usually linked to the lender’s Retail Prime Lending Rate (RPLR).
Documents required
- Proof of identity
- Proof of residence
- Proof of income
- Property related documents
You don’t have to worry about your home extension. You can easily get a loan for the same and you are good to go. The terms and conditions of the loan may vary from lender to lender and you should carefully read the same before getting a loan.
