1. Introduction
General Home Finance Awareness
Home Loans
By Samir Pujara

2. Few important points for home loan
1) Rate of interest selection- Fix or floating
a) Fix rate is pure fix or not?
b) Floating rate- How much spread and it is fix for through out the
tenure or not?Example: Rate is depend on RPLR - (spread) = rate`
16.50% - 6.00% = 10.50% (Floating)
16.50% -6.50% =10.00%
c) Part fix and part floating facilities
2) Any charges on
a) Part payments.
b) Fore closer
c) Balance transfer
d) Switch floating to fix and fix to floating
e) Any hidden charges at the time of disbursement like legal,
technical.

3. 3) Prepayment Benefits and immediate effects
4) Part EMI facilities in under construction property
5) Online A/C
6) Service braches in different cities.

4. Sanction Eligibility
It depends on monthly income.
Formula:
Loan Amount =Monthly Fixed Income*50% / Per Lac EMI

5. Disbursement Eligibility
• Financial Institute disburse the amount against 80% of Cost of
Property.
Cost of Property =
Agreement Cost (Area x Rate) +
SD+REG +MSEB+ PARKING+ STAX+VAT

6. List of Documents required for loan
• Application form duly filled and sign.
• PF cheque in favor of (‘HDFC LTD".)
• Photograph duly signed. (Appl & co.app)
• ID Proof (Appl & co.app) Duly signed (Passport or pan card copy)
• Residence proof duly signed Appl & co.app (electricity
bill/telephone bill/passport/letter from employer/org bank
statement)
• Latest 3 months salary slips
• Latest 2 years form 16 (income tax returns)
• Appointment letter / Relieving letter of previous employment
• Latest 6 months original bank stat. of salary a/c and saving a/c
• Statement of all existing loan a/c (if any)
• Higher qualification certificate.

7. Summary
• Few Important points for Home Loan
• Sanction Eligibility
• Rate of Interest Factor Disbursement Eligibility
• List of Documents required for loan

8. Open House