Is PNB Housing Finance Ltd Home Loan Worth Applying for?

PNB Housing Finance Limited, the housing finance division of the state-owned lender Punjab National Bank, is becoming a prominent player in the home loan space. It offers home loans for a variety of purposes such as purchase, construction, extension and renovation of housing units. To judge whether PNB Housing Finance Ltd Home Loan would prove useful, you need to analyze its whole offers including the interest rates it charges and the loan amount it can extend. To help you analyze better, the article has come with in-depth information pertaining to the home loan offer of the housing finance company.

PNB Housing Finance Interest Rates

The first thing that most borrowers look up to is the interest rate at which the loan is charged. Home loan interest rates can differ according to the loan amounts as well as the profession. Loans up to ₹75 lakh can be financed to salaried or self-employed professionals at interest rates of 9.10%-11.25% per annum. Businessmen or self-employed non-professionals would get the loan at 9.30%-12.50% p.a. Loans above ₹75 lakh can be financed to salaried/self-employed professionals and businessmen/self-employed non-professionals at 9.20%-11.25% and 9.50%-12.50%, respectively.

Switch on PNB Housing Finance EMI Calculator

Switching on the EMI calculator is one due diligence that you must do to put yourself on the right track. As you would know the loan can carry for long, typically 20-30 years, any uncertainty can peg you back. The calculator makes you aware of the EMI and interest obligations you need to abide by over the course of a loan. All that you need is to correctly enter the interest rate, tenure and loan amount at the prescribed space. The moment you do it, the calculator will show the estimated EMI and interest outgo over the course of a loan.

If you look at the calculator closely, you would even get to know the repayment pattern over the loan course. It means you can check the payout of both principal and interest, the constituents of EMI, on a year-to-year or month-to-month basis. This can help you draw a perfect savings strategy to accumulate the amount to prepay the loan either fully or partially. As the loan would likely be floating in nature, there won’t be charges to the same. Based on your convenience and investment style, you can choose from fixed deposits, equity mutual funds, public provident fund (PPF), etc.

How Important is PNB Housing Finance Home Loan Eligibility Criteria?

Knowing the eligibility criteria is as important as checking the cost side of the home loan. If you don’t meet the criteria, it can so easily lead to the rejection of the application you submit to PNB Housing Finance. You are supposed to earn to an extent that can help repay the loan comfortably. The source of income has to be regular to make the housing finance company convinced of your ability to pay dues on time. By the time the proposed loan gets over, you must not be above 70 years.

How to Apply for PNB Housing Finance Home Loan?

The loan application can be submitted both online and offline. If you wish to apply online, you must visit the official website of PNB Housing Finance and click on ‘Apply Now’. Mention the personal, employment and property details correctly before submitting the application. The same thing you need to do while applying at the branch, albeit there will be a physical application form to fill and submit to the official down there.

The lender, after receiving the application, would check the details thoroughly before approving the loan on an in-principle basis. Afterward, a panel of experts will make a technical and legal verification of the property you wish to purchase. They will prepare a report based on which the value of the property can be ascertained by the lender. You can thus expect to grab a loan at about 75%-90% of the property value.