The growing population has increased the demand for housing, leading to a boom in the real estate sector.
In addition to urban areas, apartments in planned communities offer a promising solution to this demand, providing optimism for the future.
These apartments can be purchased through monthly installments provided by banks and are popular among those moving to cities for work or business.
For individuals with a stable income and eligibility, acquiring these properties is convenient through easy installments, with a loan repayment period of around 20 years. This provides a sense of ease and comfort in the property acquisition process.
The monthly EMI payments cover both the principal loan amount and the interest. However, it’s essential to follow specific steps after paying off your home loan:
Obtain Original Documents: Collect the original documents related to your property after completing the loan.
These documents include the allotment letter, possession letter, sale deed, builder-buyer agreement, and other legal papers.
Full Lien on the Property: The bank places a lien on the property as collateral for the home loan. After the loan is fully repaid, this lien is officially removed, restoring your full rights to the property.
No Dues Certificate: Once you’ve repaid the home loan, request a No Dues Certificate from the bank or financial institution.
This document serves as proof of full loan repayment and contains essential details such as the borrower’s name, property address, loan account number, loan amount, start date, and completion date.
Non-Encumbrance Certificate: It’s crucial to obtain a Non-Encumbrance Certificate (NEC), which details all financial transactions, past sales, and loans associated with the property. This certificate is necessary if you plan to sell the property.
After repaying the loan, updating your credit profile is a decisive step to improve your credit score. This empowerment will make it easier for you to access loans in the future.