Buying a home in Chennai has now become easy with the arrival of various builders who offer homes for all budgets. Be it a posh luxury apartment or a minimal budget apartment, Chennai has a palette of choices for the discerning homebuyer in you.
If you are planning to buy an apartment in Chennai, funding will be easy with home loans here are few schemes to choose. Understanding about the loan schemes helps you to make the right choice and safeguard from future burdens. Most of us exhaust all our savings to buy a home. In home loans, there are various schemes based on time, affordability, construction update etc. The most chosen are flexi plans. Here’s a complete analysis of each scheme.
This is the most conventional plan, where you have to pay a 10 to 15% of the whole amount as down payment while booking the apartment and the rest 80-85% within a time period of 30 – 90 days. This scheme suits if the project is nearing completion phase. If you are paying the first down payment through home loan, make sure that you get tax exemption for the principal amount.
This plan is linked to the stages of construction. An initial payment of 25 to 30 % of the purchase price to be paid within 90 days from the date of booking and the rest should be paid in installments on completing different stages of construction. Usually 10% of the total cost is paid in each stage on completion of every floor. You won’t get any special discounts in this plan. Also the project delays won’t affect the financial side. A complete tax benefit under 80C can be availed even from the beginning of the loan schedule.
Time linked plans
In this plan your payments are pre-planned as per a calendar, irrespective of the project progress. Even if there is a delay, you will be burdened to pay the installment as per the timetable. Any delay in installment will be liable for a penalty as well. It is therefore not a popular plan.
A combination of down payment plan and construction-linked plans. Initially, pay 10% on booking and another 30-40% of the property value within 30 days of booking. The rest 50-40% payment is done like in a construction-linked plan. The last 10% and one-time charges is paid at the time of possession. Since this plan is linked to the stages of construction, it is a safe option.
There are various loan schemes available to suit the needs of various people. Different banks have different home loan schemes. Along with different loan schemes, the percentage also varies. Do sufficient research and approach various banks before you make a final decision.