{"id":346,"date":"2020-07-05T12:53:00","date_gmt":"2020-07-05T12:53:00","guid":{"rendered":"https:\/\/www.loanfasttrack.com\/blog\/?p=346"},"modified":"2020-07-05T12:53:00","modified_gmt":"2020-07-05T12:53:00","slug":"small-value-home-loans-small-ticket-size-home-loans","status":"publish","type":"post","link":"https:\/\/www.loanfasttrack.com\/blog\/blog\/finance\/small-value-home-loans-small-ticket-size-home-loans\/","title":{"rendered":"Small Value Home Loans \/ Small Ticket Size Home Loans"},"content":{"rendered":"\n
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Small value home loans are the loans\nof smaller amounts that are commonly addressed as small ticket size loans in\nhome loan industry. The loan value which is below 30 lakhs is generally termed\nas smaller ticket size loan. It is usually perceived that small value home\nloans means affordable housing loans OR Small value home loan means loans given\nto low income group \/profile customers. However this misconception is false.\nSmall value loan is a broader term and it covers various housing products and affordable\nhousing loan is one of the loan products which is a part of small value home\nloans. <\/p>\n\n\n\n

Any loan\nproducts in home loan industry say for instance home loan, mortgage loan,\ntop-up loan, commercial loan, lease rental discounting, loan against property,\nhome improvement or home renovation loans, etc with small ticket size are \u201cSmall\nValue Loans.\u201d <\/strong>It necessarily does not\ncater only to low income group but it necessarily caters to all loan borrowers\nwho are looking for smaller loan amount.<\/p>\n\n\n\n

Practical\nreasons when a borrower opts for smaller value home loans irrespective of his\nincome profile: <\/strong><\/h3>\n\n\n\n

1) When he buys a property of the smaller value.<\/p>\n\n\n\n

2) When he makes larger own contribution for purchasing the property.<\/p>\n\n\n\n

3) When he has immediate requirement for medical, education or marriage\nexpenses small top-ups can be availed on existing home loan.<\/p>\n\n\n\n

4) When he wants to switch his home loan i.e. balance transfers his existing\nhome loan which has outstanding balance of less than 30 lakh.<\/p>\n\n\n\n

5) When he is eligible for smaller amounts on the basis of income earned\nper month.<\/p>\n\n\n\n

There are\nbasically two main benefits of applying for small value HOME loans.<\/strong><\/h3>\n\n\n\n

1) Highest LTV (Loan To Value) of 90%<\/strong>.<\/p>\n\n\n\n

It gives you an advantage over the maximum funding for your property. As\nper the guidelines banks will fund you 90% on the market value of the property\nwhich is below 30 lakh.<\/p>\n\n\n\n

2) Lower Interest Rates.<\/strong><\/p>\n\n\n\n

Generally the home loans with less than 30 lakh are the ones which get\nthe advantage of lower interest rates. Interest rates on small value home loans\nalways differs from normal home loan rates of the banks this is mainly because\nthe default\/NPA ratio in smaller value home loan is very low as compared to the\nother high ticket size home loans. This possesses minimum risk to banks in\nfunding the same and hence lower interest rates can be enjoyed.<\/p>\n\n\n\n

However with the introduction of government affordable housing scheme\nsuch as \u201cPradhan Mantri Aawas Yojana\u201d in 2015, there has been an increase in\nthe market for small value home loans. It was specially introduced to help the weaker\nsections or low income profile customers to build a house of their own, who\nnecessarily may or may not possess the formal income documents required for\ntaking a housing loan. Pragati scheme of ICICI Bank, Unnati of Punjab\nNational Bank, Khusi of Yes Bank, Aasha Home Loan of Axis Bank Swaraj of IIFL\nand Reach product of HDFC <\/strong>are few such products launched by the banks under\nthe scheme of affordable housing loans for the borrowers.<\/p>\n\n\n\n

Conclusion<\/strong>: Irrespective of the various small value\nhome loan products of the banks, they seem to be less focused and marketed, may\nbe due to the small turnover earnings on such small values. Income earnings on\nsmall value home loans are also small.<\/p>\n\n\n\n

Let not the worries for\napplying for a fresh home loan and home loan balance transfer trouble you. Get\nthe best guide to solve your worries on Loanfasttrack- A User friendly online\nportal that helps you to find the best bank for home loan\nin India<\/strong><\/a>. Also compare and evaluate the\ninterest rates, processing fees, tenure, other charges, funding, etc. Of the\ntop banks at a single click. Visit www.loanfasttrack.com<\/strong><\/a>.\nSeek expert advice on 9321020476. You can\nalso email on info@loanfasttrack.com.<\/p>\n\n\n\n

Loanfasttrack is a Mumbai based loan provider company since\n2015 offering loan services in Mumbai on– housing loan in Mumbai<\/strong><\/a>, mortgage loan in Mumbai<\/strong><\/a>, personal loan in Mumbai<\/strong>,<\/a> business Loan in mumbai<\/strong><\/a>, unsecured business loans<\/strong><\/a>,home loan transfer<\/strong><\/a>,\ntop-up loans, car loans<\/strong>,<\/a>\neducational loans and loan transfers<\/strong><\/a>. <\/p>\n\n\n\n

It\nalso helps you:<\/p>\n\n\n\n

\u221a To\nfind the best bank for home loan<\/strong><\/a><\/p>\n\n\n\n

\u221a To\nget lowest home loan rates in Mumbai<\/strong><\/a><\/p>\n\n\n\n

\u221a To\nget an instant loan in Mumbai<\/strong><\/a><\/p>\n\n\n\n

\u221a To\nget instant personal loan in Mumbai<\/strong><\/a>\n& business loan in Mumbai<\/strong><\/a><\/p>\n\n\n\n

\u221a To\nmake you qualify for the maximum loan against property\neligibility<\/strong><\/a><\/p>\n\n\n\n

\u221a To\nget a low cost home loan balance transfer<\/strong><\/a><\/p>\n\n\n\n

\u221a To get assured low interest rates for loan against property in Mumbai<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Small value home loans are the loans of smaller amounts that are commonly addressed as small ticket size loans in home loan industry. The loan value which is below 30 lakhs is generally termed as smaller ticket size loan. It is usually perceived that small value home loans means affordable housing loans OR Small value …<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[33],"tags":[5,11,9,12],"class_list":["post-346","post","type-post","status-publish","format-standard","hentry","category-finance","tag-home-loan","tag-home-loan-in-mumbai","tag-home-loan-transfer","tag-housing-loan-in-mumbai"],"_links":{"self":[{"href":"https:\/\/www.loanfasttrack.com\/blog\/wp-json\/wp\/v2\/posts\/346","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.loanfasttrack.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.loanfasttrack.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.loanfasttrack.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.loanfasttrack.com\/blog\/wp-json\/wp\/v2\/comments?post=346"}],"version-history":[{"count":1,"href":"https:\/\/www.loanfasttrack.com\/blog\/wp-json\/wp\/v2\/posts\/346\/revisions"}],"predecessor-version":[{"id":348,"href":"https:\/\/www.loanfasttrack.com\/blog\/wp-json\/wp\/v2\/posts\/346\/revisions\/348"}],"wp:attachment":[{"href":"https:\/\/www.loanfasttrack.com\/blog\/wp-json\/wp\/v2\/media?parent=346"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.loanfasttrack.com\/blog\/wp-json\/wp\/v2\/categories?post=346"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.loanfasttrack.com\/blog\/wp-json\/wp\/v2\/tags?post=346"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}