In this era of inflation, it is very difficult to buy a home of your choice. Many times, one has to take a loan to buy a house. If you are troubled by the increasing EMI of home loans. So these can be reduced in some ways.

Very few people know about these methods. These methods give some advantages as well as some disadvantages. So choose them wisely.

Does loan EMI get reduced by these methods?

1. Credit score- The use of our loans and credit cards affects our credit score. A good credit score makes it easier for you to get a loan. At the same time, many other types of benefits are available from banks. Along with this, you can also negotiate with banks for interest.

2. Increasing down payment- Under a home loan, we have to pay some money in the down payment. The remaining outstanding amount is given by the bank. Which we gradually complete by paying EMI. If you increase the amount of down payment here. Then the amount of money taken in interest gets reduced. Which also affects the EMI.

3. Pre-payment- You can gradually reduce the EMI by making payments before the loan period. But the bank levies a charge or fee if you repay before the period.

4. Comparison of different home loans- Before taking a loan, compare the interest offered by different banks. This gives you a lot of benefits. At the same time, you can take a loan under a floating rate. If the bank does not change its floating rate even after the change in repo rate, then do not choose such a bank. EMI can be reduced in this way.

5. Refinance- If you get a better option after taking a loan. Then you can refinance. However, in this you may have to pay pre-closure fees, and many types of charges on opening a new bank.

These charges can be different at different banks. EMI can be reduced in this way.

Why is it necessary to take a home loan?

By taking a home loan, the desired item or goods can be easily purchased. Along with this, buying a new house does not affect your emergency or savings. However, apart from the price of the house, you also have to pay interest.

If you take any loan for a long time, then its EMI amount reduces.

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