You can get a loan to reconstruct a home

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I am a civil engineer working for a very big real estate company in Mumbai. I use to stay in Badlapur where my father has a 1,500-sq ft bungalow at the centre of the town. I want to further extend it by 400 sq ft for personal use. Please advise how to get a housing loan for renovation and extension work. To date, I have not taken any loan from anywhere. Also, my annual income is Rs 400,000 and now I want a loan up to Rs 3.5 lakh.

You can take a home extension loan from any bank. You will need to mortgage the property with the bank and they should easily be able to lend you Rs 3.5 lakh for your renovation and extension work.

I reside in Navi Mumbai and I am self-employed. Due to this, my papers are not properly filed. I am unable to get a housing loan. My bank statement is good and I can pay an EMI of up to Rs 11,000 a month. I need a loan of Rs 8 lakh. Please help.

You should approach the same bank where your account is, as it will have greater comfort lending you money. That’s because your bank statement with them is good.

I am planning to buy the house I am residing in as a tenant. In a nutshell, I plan to buy land from the owner and appoint a contractor to demolish the present structure and construct a new one. What do I need to do avail of a home loan with low interest and a long tenure?

You should approach banks where you already have a relationship or institutions like HDFC. They will evaluate the property and your income sources, and sanction you a certain amount accordingly. You will need to complete the land purchase as well as the new construction within this sanctioned amount. The current home loan rates are between 9.5% and 11% and tenures range from 5 years to 20 years.

What are the documents needed for an NRI to get a home loan?

The documents needed for an NRI to get a home loan differ from bank to bank, but some of the common documents are:

Personal detail documents: Photographs, passport and visa photocopies, PAN card and residence proof

Financial detail documents: Income documents, bank and bank statements

Property detail documents: Legal title documents, and builder background