Important ways to Plan Home Loan Down Payment
Every person takes years to plan before booking a new home. Buying a new home is a very important event which is an important milestone in all individuals. Nowadays, it is very easy to own a new home with the availability of home loans at very competitive interest rates. In addition, all home buyers can pay a portion of the value of their property as down payment and pay the remaining loan amount at convenient EMIs.
In these days, buying a home loan is a very convenient method. If all home buyers have a good credit score and meet all the requirements of home loan eligibility then they can easily apply for a home loan. The down payment plays a great role as an important factor when purchasing a home. A good down payment plan can ensure a hassle-free home loan repayment process.
Here are useful and important ways in which you can plan your home loan down payment.
Savings
Your savings are an important factor when purchasing a home loan. You can use your savings for a down payment home loan, provided they are sufficient emergency funds for unexpected contingencies.
Mutual Fund investments
If you are planning a home loan down payment then you can choose a good portfolio and timeline to invest MFs. In addition, it can be used to get the best return for planning a home loan down payment.
Amount Recovered From Selling Previous Home
If you have sold your previous house in a huge amount then you can use the amount recovered from the sale of the previous house to fund the down payment cost of a new home.
Partial withdrawal of PF
Under this pension fund, all employed home buyers can use their EPF (Employees Provident Fund) or PPF (Public Provident Fund). With this, all home buyers can use partially withdraw their provident fund for planning down payment.