At least once in your life time, you may think of a dream house. If you are in a old house, you may think of new, big and modern house; or if you are in a rented house, you may think of a own house; or if you are in a small house and your family is growing, you may think of a big house; or if you are in a village you may thing of buying a house in the city. The reason may be anything; the purpose is the same – a new and own home.

Owning a new house is not as easy as it sounds. It requires a huge amount. A home loan is an easy and affordable solution for it. This service has turned many homeless people in to proud owner of their homes.

Awareness about the home loan products is very important for those who wish to seek a home loan. Failing to know or understand about these products may result in huge loss. You may end up in paying more to the bank in both principal and interest components. So a proper study on the products and services is a must to avoid such loses. The following are home loans products offered by several banks:

a. New Purchase of Flat or Independent House: A home loan seeker can avail this product to purchase a new flat or an independent house of his choice which is under construction or ready to occupy.

b. Resale Purchase: Customer can avail this home loan product to buy a flat or an independent house which is already owned by someone.

c. Plot + Construction: The home loan product is applicable to those customers who intend to buy a plot and start immediate construction. In this process, banks usually insist to start the construction within a specific time period.

d. Balance Transfer (BT): A person who wants to transfer a loan from one Bank/Financial Institution to other can opt for this product.

e. Construction: A person who wants to construct a house in his/her plot can go for this home loan.

f. Plot: A customer use home loan facility to buy a plot that exist within HUDA, Municipality and Gram Panchayat limits.

g. Enhancement: Customers can avail this home loan product to take extra amount in addition to the loan amount which was already taken from the same bank.

h. Top – Up: This home loan is just a facility that banks provide to customers to take on the basis of the previous loan and the repayment track.

Mortgage: A person in need of money can deposit his property documents in a bank to as a collateral security to take a loan.