Give Your Home A Makeover With Home Improvement Loan

A home renovation loan can help you create the home of your dreams.

Fluctuating needs and weathering drives homeowners to revamp their houses from time to time. Remodelling your home not only adds to its aesthetics but also increases its value. Whether you undertake home improvement projects to address regular wear and tear, immediate needs or make your living space more comfortable, you can achieve it without burning a hole in your pocket. Be it adding a patio space, painting the exteriors and interiors, or any other renovation activity, a home improvement loan ensures that your financial cash flow remains stable and strong during the entire project. If you wish to give your house a much-needed makeover or want to extend the home space with an additional room but are falling short of funds, you need not wait for several months and save money to get it done. With easy access to home renovation loans, you can get instant personal loans for home renovation online quickly. You can leverage many convenient options to meet your financial needs for home renovation. You must find the right personal home improvement to get affordable financing and make the most of your borrowing experience. 

What is an Instant Personal Loan?

You can get instant personal loan collateral-free to meet all of your financial requirements for home renovation. Online home loan providers help you complete the entire home loan application process online through a PC or a smartphone. You can check your loan eligibility online and obtain loan approval within a few minutes once your documents are verified. Once you receive your loan approval, you can activate the e-mandate and set up the EMI payments to go out automatically each month. 

Home Improvement Loan and its Types

A home improvement loan is a type of home loan that allows you to avail finances for various needs like home modification, renovation, and refurbishment. While a home loan enables you to buy a home, a home improvement loan allows you to enhance the house you own. Home improvement loans are a low-cost, flexible, and hassle-free way to make your home an enjoyable living space. There are two kinds of home improvement loans – Secured and Unsecured home improvement loans.

Secured Home Improvement Loan

This type of loan uses your home as the guarantee. With this loan, you get a greater loan amount with a fixed interest rate and avail of an extended payback period of 10-15 years. The interest on this type of loan is tax-deductible and depends upon factors such as your health, age, property size, location, and credit rating. 

Unsecured Home Improvement Loan

This kind of loan does not use your house as a guarantee making the venture riskier for the lender. Unsecured home improvement loans are generally smaller, with a higher interest rate, and must be paid back before 10 years. The interest rate on this loan is not tax-deductible and depends upon your credit score. 

Instant Personal Loan for Home Renovation 

Home improvement loans have several advantages that make them a popular choice amongst homeowners. Some of the key benefits of home improvement loans are:

Flexibility

You can utilize home improvement loans for several purposes such as extension, repairs, flooring, painting, and so on. Lenders also do not impose restrictions on the end-use of the loan amount. You can use the qualified amount for any home renovation expenses, including labor, material or transportation. Mostly, loan amounts are approved based on the value of the item used or the renovation proposal. Unlike restrictive loans, personal loans for home improvement offer flexibility on the amount required for purchase. You can also opt to finance only a portion of renovation through liquid funds and the remaining through a flexible mode.

Eligibility

Any homeowner can apply for a personal home renovation loan individually or jointly if many partners own the home. 

Features

The home improvement loan tenure can be up to 15 years with an interest rate on par with the home interest rate. The loan can be either fixed for a specific period or floating over the tenure agreed upon. 

Tax Benefit

A secured home renovation loan will allow you to leverage the tax benefits on the interest portion up to a predefined limit. 

Streamlined Process

Instant personal loans for a home improvement have a smooth, hassle-free process for application and approval. But it would help if you did the essential research and homework to increase your chances of eligibility and approval.  

No Middle Men

One of the main advantages of instant personal home loans is online security and privacy. KYC validations and OTP checks ensure the safety and confidentiality of your personal information. 

Instant Approval

Online documentation, loan approval, and KYC reduce the time taken for the home renovation loan approval. The lending process becomes simplified, and lenders can quickly decide to approve or reject your loan application. 

Good Interest Rate

The personal loan interest rate depends upon several factors. To avail of the best possible loan rates, you must maintain a good credit score and keep your debts within a manageable limit. With a strong track record, you can easily avail yourself of home renovation loans that offer flexibility and a reasonable interest rate.

No Collateral Needed

For secured loans, you will need to provide collateral. You can retain the collateral assets, but the lender will keep the ownership documents. If you cannot repay the loan amount for any reason, the lender will demand a collateral claim. 

Documents required for a Home Improvement Loan

The general documents required for home improvement loan application are:

  • Filled out application form.
  • Income proof, identity proof, residence proof, and employment proof.
  • 3 months bank statement
  • Passport photographs

Personal loan for home improvement

There are various ways you can finance a home renovation project. You could use your savings to give your home a makeover. However, using up all your savings for one activity may not be a smart financial decision. In case you face an abrupt situation that requires funds, it would be challenging to arrange adequate funds at a short notice. A smart way to finance your home makeover is to get a Personal Loan for home improvement – though there are various types of loans you could consider, this is probably what will work best for you.

Benefits of Home Improvement Loan

  • Easy access :This is a primary benefit of personal loans. It is quite convenient to get a Personal Loan, especially if you already have a credit account or have taken a loan previously. As most of the documentation is already verified, the application process is fairly short and simple. In fact, some providers offer a personal loan application online without any need to visit their branch!
  • Flexibility: Most loan amounts are sanctioned based on the underlying value of the item being purchased. For example, the amount you receive for a home renovation loan is based on the value of the renovation proposal. Unlike these loans that are rather restrictive, with a personal loan for home improvement, you have the flexibility of taking any amount needed for your purchase. You can also choose to finance only a part of the renovation through credit while maintaining a flexible tenure.
  • Interest rate: Contrary to popular belief, personal loan interest rates depend on multiple factors. To get the best possible personal loan rates, your credit score should be good and your current debts should be within a manageable range. With a financial good track record and profile, you can easily avail of a Personal Loan that not only offers flexibility but also offers a great interest rate.
  • No collateral required: In case of secured loans, you are required to provide a collateral. While you retain possession of the assets provided as collateral, the ownership documents remain with the lender. If for some reason, you are unable to repay the credit amount, the lender will claim the collateral. A Personal Loan, on the other hand, is unsecured, which means you do not need to provide any collateral to avail it.

With so many benefits, it is only wise to get a personal loan for home renovation. It is recommended that you visit a reputed credit provider so that you can get a fully customised solution that meets your requirements.

Posted in FinanceMoney