Transform your living space into a royal affair with the help of a Home loan for renovation. In modern times not everyone can afford the cost needed for home renovation. This is why banks offer the personal home loan for renovation. You can use this loan for various purposes whether it's about replacing the furniture or modifying the home interiors. This loan offers you vast opportunities and makes your renovation journey smooth and easy. It's time to say goodbye to the old boring spaces and enjoy the brilliance of the revitalized home. In this blog, we will talk about Home loans for renovation and 5 reasons why people prefer them. 

Home Renovation Loan

A home renovation loan is provided to make improvements to the house. This can be remodeling, fixing or enhancing the aesthetic appeal of the house. The loans are only given out in the situation of funds needed for home upgradation. The upgrade can be anything from a big renovation to a small ceiling fix, you can use them for various expenses. You can apply for this loan either individually or jointly, if the house has different owners then you are bound to opt for a joint loan. 

Why Individuals Opt For Home Loan For Renovation?

A home loan for renovation is one of the best choices for individuals looking to make several improvements in their existing home. But this loan's purpose is not limited to renovation. If you already have a home loan going on you can still take this loan as a top up on home loan. There are many other features of this loan that make it a popular choice among homeowners.

Easy Approval: The loan application process takes less than 24 hours to get approved, even less if you already have an existing loan. However, there are just basic requirements needed such as identity proof. Address proof and age proof to check eligibility. Once verified the funds will be credited to your account in no time.

Flexible Loan repayment: The loan amount granted for the renovation usually comes with 1-5 years of tenure. You need to repay the amount in equal monthly EMIs. However, you can change the loan tenure as well as the EMI amount depending on your financial condition. 

Lower Interest Rates: Before having knowledge about home loans for renovation individuals used to take personal loans. This is because the personal loan gave them the freedom to do anything with the loan amount. However, the interest rates on these loans were high due to their unsecured nature. But now with a home loan for renovation, you get the same freedom but with a lower interest rate amount. This would not be possible if you had taken a personal loan. 

Tax Benefits: When you opt for a home loan for renovation you are eligible for a tax deduction up to 30,000 per annum. Under section 24 this deduction is done on the interest rate applied to the loan amount. This can lower your interest rates and reduce your overall tax liability. It is advisable to consult with a tax advisor to understand the eligibility and the maximum benefits avail from it. 

Less Documents Needed: The home loan for renovation requires minimal documentation in comparison to other home loans. You only require simple documents like income proof. Photographs, property documents etc. However, if you want to top up on home loan the process becomes much simpler. Then the bank's only requirement is to check for eligibility. 

Conclusion

Giving your living space a new makeover can drastically change your lifestyle too. By opting for a home loan for renovation you are not only improving the quality of your house but also your quality of life. Having a well-decorated and furnished space can uplift your spirit and make your house feel like a home. The renovation loan removes all the financial constraints and helps in making your home more livable. You can also opt for this loan even if you already have an existing home loan. All you need to do is apply for a top-up on a home loan. Afterwards, you can collect the funds and renovate your house the way you want without worrying about the money.