ICICI Bank chief executive officer and managing director K V Kamath has also hinted at a 'steep and substantial cut' in interest rates in two-three weeks.

While the interest rates on home loans for needy borrowers are likely to see a fall in the next few months those who are planning to buy a home of their own must bear these seven golden rules before joining the home loan band wagon.

Rule # 1: Never choose a lender till the property is identified

Speak to your bank about home finance only after you have identified a property/home/flat you want to buy. While most banks will provide finance for ready-to-move-in properties, some banks do not readily finance a property which is being self-constructed or a property under construction.

Also, if the property is very old or is being developed by a relatively unknown builder, the bank might have an issue with providing a property loan. Take a sanction for the loan only after identifying the property. Banks are known to reserve the best deals for immediate disbursement cases.

Text:

Apnaloan.com is a guide to home loans in India. Apnaloan also enables consumers get best best home loan rates by making banks compete for their loan.

Illustrations: Uttam Ghosh & Dominic Xavier

Also see: Get lakhs in return for Rs 1K

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