Is Using Personal Loan For Home Renovation A Good Idea or Not?

Are you feeling like replacing that old furniture, remodelling your kitchen, new fixtures and fitting to spice things up a bit, or even changing electrical wiring? You may want to renovate your home, need to carry out much-needed repairs or improve its aesthetic appeal. It can be costly, especially if the changes your home needs are fairly extensive. Everyone may not afford a renovation as they want. You need not delay your desires to the next salary increment. Also, you need not dip into your savings or withdraw your investments prematurely. Simply apply for a personal loan for home renovation available at nominal interest rates and repay it in a convenient tenure. Personal loans can be used to meet numerous financial requirements. There is no restriction to end-use of a personal loan.

A personal loan can be a quick go-to for home renovation. Simply because:

• The renovation adds to the property value

A renovation can improve your home and also increase the price of your home for future sale. You can utilise the funds from the best personal loan in India to make your home as good as new for maximum valuation when the real estate market is on the rise. 

• Home renovation is much-needed for maintenance. 

Whether a homeowner wants to use their property and self-occupy it or lease it out, it should be maintained well to decrease the tear and wear degradation. These instances can be even more costlier in future. It should be maintained timely for strengthening.

Benefits of personal loans 

Personal loans from NBFCs offer you convenience. Key benefits of availing of personal loans are enumerated below:

1. Easy loan with simple eligibility criteria 

Home renovation personal loans are easy to apply against minimal documentation requirements and meet a handful of criteria. You can finance a host of purchases for remodeling, interior change, and repairs to your home. Lenders provide a personal loan interest calculator to check the eligibility and affordability of the same. 

2. You can avail of a collateral-free loan

Home renovation personal loans don’t require you to pledge security. You need not worry about procuring and risking your personal assets as collateral with the lender. Easily avail of up to Rs.25 lakh without waiting for your collateral documents to be verified. Avail your funds faster. 

3. Simple application process with minimal paperwork to give you funds as soon as possible.

Availing of a personal loan for the home renovation is effortless. You can complete the loan application procedure online following easy steps and benefit from a quick approval and disbursal of funds within 30 minutes after successful document verification. To complete the loan procedure, you need to upload a few documents – ID proof, salary slips for the past 2 or 3 months, and bank statements for the past 6 months. Thereafter, the high-value personal loan amount based on your eligibility will be credited to your bank account. 

4. The facility of Flexi Loan 

You can find lenders offering a personal loan with flexibility in regards to using funds and loan repayment. The borrower can withdraw the funds from the sanctioned limit as per requirement during the loan tenure. Also, it may allow you to pay the interest on the amount utilised and not on the entire loan amount. 

5. Repay the loan in a convenient tenure

A borrower can choose a convenient tenure from 24-60 months based on the financial situation. It is better to apply for a long term loan, if you find it difficult to manage high amount EMIs. Otherwise, you can apply for a short term loan to close it sooner. You can use a personal loan calculator to calculate your monthly EMI before submitting a loan application and plan your repayment accordingly.

Easy Eligibility for a Personal Loan

• The applicant must be between 21-60 years.
• The applicant can be self-employed, an entrepreneur or salaried.
• The minimum monthly income for Delhi and Mumbai is Rs.25,000, and for other states, it should be Rs.20,000. The maximum loan amount you can apply for is up to 60-70% of your monthly income.
• Lenders want you to maintain a high credit score of 750+. You should make your EMI payments in a timely manner. It will help to maintain a high credit score. You can increase your chances to get a high loan amount with a high score above 750.

Thus, homeowners who intend to renovate, repair or extend their properties can consider hassle-free personal loans to finance the necessary expenditures at competitive interest rates and begin the exciting chapter of renovation.