RBI has increased the repo rate several times for some time, due to which the interest rate on home loan has become higher than before. Due to the increase in the interest rate, there has also been a decline in the number of eligible for home loans. There has also been a problem in getting a higher amount on the home loan.
In such a situation, if you need more amount on home loan, then let us know here how you can get more amount.
How to get higher home loan amount
There are some ways to take a home loan, through which you can get more amount and buy or build your dream home. The loan amount depends on the credit score and repayment capacity. Apart from this, many other factors are checked by the bank and the loan amount is given on the basis of the investigation.
Good Credit Score
A good credit score can get you a higher home loan amount at a cheaper rate. From SBI to HDFC banks offer home loan amount based on the credit score of the customer. According to experts, a good credit score gives you a chance to get a lower home loan interest rate.
Longer loan tenure
Extending the loan tenure reduces the home loan EMI and you can avail a higher loan amount. You can ask the bank to extend the loan tenure.
If you involve someone else with you, then you can get more loan amount. The bank is convinced that the higher loan amount can be repaid by two persons. However the bank will verify the eligibility of both the borrowers.
Increasing the downpayment is also a good way. If you have sufficient savings, you can avail a higher loan amount by increasing the downpayment. Making the downpayment will reduce your EMI and may also reduce the tenure.
Reduce existing debt
If you have outstanding loan and credit card debt, then first of all you should finish it immediately. After this you apply for the loan, on which you will be given a good loan amount by the bank.