Tricks to Reduce Home Loan EMI Burden

Expert-Approved Tips to Reduce Your Home Loan EMI

• Tip 1: Increase Your Down Payment

  The most common and effective way to decrease your EMI burden is to make a large lump-sum amount as a down payment. This will ensure that your principal loan amount gets decreased leading to lower EMIs over the period. However, to ensure this, start your savings to make the necessary down payment.

• Tip 2: Take a Longer Repayment Period

  You can ask your lender bank or financial institution to increase the repayment period. Although this means that effectively you will be paying more interest, your home loan EMI decreases as the repayment amount is spread over a longer period.

• Tip 3: Make Prepayments

  Use any kind of surplus funds or bonus you receive towards prepayment of your home loan. This will help you reduce your outstanding principal amount which leads to less interest and lower EMIs.

• Tip 4: Look for Floating Interest Rates

  You can opt for floating interest rate for your home loan over a fixed rate of interest. This will ensure that when the interest rates fall, the EMI on your 2 & 3 BHK flats in Electronic City will automatically decrease, lowering your EMI.

• Tip 5: Increase EMI Accordingly

  Increase your EMI payments as per your income growth over the year. Dedicate a higher percentage of your income towards the repayment process to reduce the overall interest burden.
  Note: Ensure that any increase in the EMI burden is sustainable according to your financial situation.

• Tip 6: Take Advantage of Tax Benefits

  Take the benefits on your home loan as per the Income Tax Act. As per sections 80C and 24, you can claim deductions on the amount of principal amount repairs along with the interest paid on the loan. This helps in lowering your taxable income and thus reduces your financial burden.

• Tip 7: Negotiate with the Lender

  If you have a good CIBIL score and repayment track record, you can always negotiate with your lending institution for better interest rates and repayment terms. Your lending institution can often offer concessions and various refinancing options to retain customers and ensure they pay on time.

• Tip 8: Reinvest in Your Property

  Diversify your asset portfolio by investing in your property or other dividend-paying stocks. You can customize your apartment to attract more potential tenants and repay the EMI using their monthly rent.

For the best deals on your apartment, make sure to invest in properties that are RERA-approved and are situated in a prime location. One such apartment is the Mahendra Arto Helix located in in Electronic City Phase-I, Right On Neotown Main Road.

Why Choose Mahendra Arto Helix?

• 86% open space along with Vaastu-compliant homes

• 5 to 10 minutes from all major schools, hospitals and malls

• Situated within 15 to 20 Km from the major IT hubs

• Over 30 exclusive amenities available

You can reduce your home loan EMI by following the above-mentioned tips and easing your financial strain.

Contact us today to experience a comfortable lifestyle with a flat at Mahendra Arto Helix.