A home is not just a roof above your head. It is a symbol of pride, status, and accomplishment. It is a pleasure to live in a beautiful house. While aesthetics and comfort matter, you should focus equally on its location and construction quality. The condition and ambience of your home create a first impression in visitors’ minds.
You no longer need to wait to save sufficient funds to renovate your house. A Loan for Home Renovation allows you to modify, refurbish, or renovate your abode to a contemporary design and a more comfortable living space, customised per your tastes and aesthetic preferences.
Why should you apply for one?
While a Home Loan enables you to acquire a house, House Renovation Loans are meant to improve the home you already have. Here are reasons to apply for them:
Lower interest rates
While you can apply for low-interest Personal Loans for home renovations, remember that these are unsecured. It is safer to settle for this option instead of applying for other Loan types, which might include high interest rates. On the other hand, if you are using secured borrowing options, you need to pledge an asset as collateral against the borrowed amount.
Tax benefits
House Renovation Loans fetch you a tax benefit on the interest component, usually up to Rs. 30,000 per annum under Section 24. The deduction is within the overall limit of Rs. 2 lakh available on interest repayment of self-occupied homes. Interest payments on home purchases and House Renovation Loans qualify for a deduction of up to Rs. 2 lakh. The Rs. 30,000 deductions could result in a tax saving of up to Rs. 10,300, thus lowering your overall borrowing cost.
Minimal documentation
House Renovation Loans include relatively simple documentation when compared to other financing modes. You require proof of identity and income, photographs, property deeds, etc., to make them available. The process becomes easier if you are already an existing bank customer.
Quick processing
A Loan for Home Renovation is processed quickly, as the documentation is minimal and hassle-free. You can get your home renovation work started as soon as possible without waiting for the bank’s approval. The funds are disbursed directly into the Bank Account, making it stress-free to pay for several modifications. You can use the House Renovation Loan for a wide range of activities in your home, such as repairs, renovation, extension, flooring, painting, etc.
In other words, you are free to use your Loan funds for any work related to your home’s structure.
Conclusion
Renovating your home can not only improve its utility but also help uplift your spirits and satisfy your dream of proudly showcasing it to your family and friends. The availability of hassle-free Loans from online and offline banks removes the funding constraint that may be holding you back in making your home a bit more liveable and likeable.
