Home Loans: Want to Reduce Your Home Loan EMI? Here’s What to Do

Home Loan Reduction: In the policy meeting held at the beginning of April, the Reserved Bank of India (RBI) has not made any changes to the repo rate for the seventh time in a row, due to which the repo rate is still at 6.5% and the home loan interest rate is above 9%. However, you can still reduce your home loan EMI by following some important tips.

Home Loan EMI Reduction

The benchmark rate is an important part of retail lending, which means that a loan below a decided rate cannot be given. The second thing to keep in mind is the loan switch. Currently, the lowest home loan rate is 8.3%. In this case, many lenders are giving loans at the rate of 8.5%, but if it is 9 to 10%, then you can switch your loan from any lender. You can also request refinancing at a lower rate from your current lender, which does not take much documentation and processing fees. You can also go to any lender and refinance. Last but not least, if your financial stability is good, then you must think about repaying at least 5% of the remaining loan, so that your loan will either reduce your tenure or your EMI will be reduced.