Make your home shine this holiday season with a home renovation loan.
Families look forward to family gatherings and celebrations this time of year. It’s also a great time to renovate your home. You can renovate your home by updating your flooring and wall finishes, adding new kitchen cabinets, or rearranging your outdoor space. How do you finance such an expensive project? These costs make it seem impossible for many people to upgrade their homes.
A home renovation loan is an affordable option for those who need financial help to make these improvements on a tight budget. This loan can be used to finance your home’s renovation or extension.
What is the difference between a Home Improvement Loan and a Home Loan?
A home improvement loan allows you to renovate your home or expand it by getting a loan amount equal to the renovation’s cost. These loans are similar to a home loans. A home loan can be used to buy a house. However, a loan for home improvements can be used to improve your home. This loan is flexible, easy, and hassle-free.
Tenure typically lasts 15-30 years. Interest rates are currently between 8-9 percent per annum, depending on who you are and your loan amount. The lender usually funds 80% of the work estimate for improvements and extensions to the house.
The eligibility criteria for home loans are the same as those for home loans. The applicant must be between 18 and 60 years old for salaried applicants and 65 years if they are self-employed. However. A home improvement loan can be more successful than a home loan because the financial institution uses existing assets to verify eligibility.
Continue reading to learn more about the benefits of a loan for home renovation.
A home extension loan or renovation loan can have many benefits. First, there are many benefits to taking out a home extension or renovation loan. Many banks and housing finance providers offer attractive cashback and loans for home renovations. It can also spread out the cost of your project over a more extended period, making it more affordable. The interest you pay on a loan can be deducted from your tax, which can help you save money over the long term.
No matter which option you choose, ensure you compare interest rates and shop around before making any commitments. You can find the right loan to finance your holiday home renovations or extension with a little research and planning.
Complete makeover of your home with flexible repayment terms
Salary borrowers who meet the eligibility criteria for home renovation loans can get a lower interest rate. This allows you to choose a shorter repayment period and pay lower EMIs. The repayment term for a home renovation loan can be up to 30 years. This allows you to pay in monthly installments and get out of debt. You can use a calculator to calculate the EMI for a home loan.
If you have sufficient savings and financial security, you can repay the loan in one or two monthly installments. If you don’t have enough money to pay the home renovation loan amount, you can get a loan with flexible repayment terms. This option is if you need more money to repay the renovation loan. You can also delay repayment for a few years.
You can get tax benefits from it. Here’s how.
You can borrow money to renovate your home and get a tax deduction of up to Rs. 30,000. Under Section 24 of 1961’s Income Tax Act, 1961, home improvement loans can be tax-deductible up to Rs. 30,000 per annum. If you have already repaid a home loan and claim an income tax deduction for interest repayment, you can deduct Rs 1,50,000 annually from home loans or improvements.
Get attractive deals during the festive season.
Banks and financial institutions often offer low-interest rates during the holiday season. This is the perfect time to apply for a loan from one of India’s top home loan providers to finance your home renovation. These special offers will enable you to take advantage of attractive home renovation loan programs with low-interest rates. A fixed-interest rate home renovation loan is also available. You can also enjoy attractive home renovation loan offers such as cashback on processing and login fees. These offers typically only apply during festive seasons, so if you want to save money on your home renovation loan, take advantage of them now.
