21 August 2011
The Best Advantage of Taking a Home Loan
Not many people are aware of the best advantage of taking a home loan. Leaving aside the fact that you get to purchase a home immediately on home loan and get to shift in a place of your own there is another very important benefit you get which will give you a peaceful night’s sleep. Ownership title of the house or legal status of the property which is a important aspect of any building.
When you go to purchase house you are referred to some housing finance companies that offer home loans. Now you will wonder why the builder has these tie ups and you feel it is for their benefit and you hesitate to take this loan offer. I do not know about the tie up benefits as there are bound to be but the advantage here is that you are saved all the hassles for searching a housing finance institution, the interest rates on which the home loan is offered and also the legality of the building and builder. There are many fake builders who on giving some bribe construct buildings upon illegal land. They do not have a clear tile and the buyers are not aware of this.
You purchase a home in an illegal building without being aware of the fact that this property id sot registered with the government and is illegal. As you do not understand all these legal documents and pay more attention to the flat and amenities offered you may be taken for a ride. The problem comes up when the title of the property or land is raised or the real owner of the land may start a case against the builder and you are faced with the biggest problem, the building may have to be broken and the illegal construction erased according to government laws.
Then you have to face all the legal battles going on and sometimes there is also stay order on the incomplete construction of the building. This may go on for years till all the matter is solved and the result is you and your family get sleepless nights till everything settles and also the recovery of the flat amount is also very difficult form the builder.
All this has a solution, since you do no understand all the legalities of land ownership there is the reassurance form the housing finance institutions who offers home loans. As these banks already have their representatives peruse all the title ship documents and only offer loans to those flats in buildings that have clear titles. Every bank and lending institution has their own lawyers and representative managers who will go through all these procedures before making a tie up with any builder. Thus the borrower is assured of getting a legal flat and can therefore proceed with the purchase of the flat without any fear of the title ship issues.