Rizwana Mundewadi Level: Platinum
Rizwana A. Mundewadi is a freelance Healing Artist and writer. Using her experience in the last decade she has been writing articles related to art, ...
Home loans have become very easy and are available to one and all. 'Loans for everyone' is the mantra nowadays seen everywhere in advertisements and hoardings. But do we really get home loans? This approval of application depends upon many factors. One of them is age of the borrower.
How does age matter if the taker of loan is a well established person and has assets in name? Yes age does matter. The lending institution first and foremost considers the age of the applicant. For example, two individuals applying for a loan one is 30 years old and the other is 45 years old than the lending institution will definitely be more lenient on the younger counterpart of the borrower as compared to the other one. The younger one will get loan for a bigger amount as they have more working years remaining whereas for the other client the lender will critically appraise all assets and also be willing to approve a smaller loan amount.
This happens because the working age according to government would be approximately 60 years and more so for self professionals the lenders accommodate till 65 years. This does not mean that the individual has any fault but the lender has to be cautious about the repayment of the loan. The younger age groups applying for a home loan may not have many assets but they indicate their job and salary proof. And it is understood that over the years their salary will go on increasing. Here the lender has the assured idea that the loan will be repaid on time.
For the latter individuals the lender is critical as the productive age will soon get over, and they have certain doubts that whether the loan will be repaid on time. Also they may be more documents required on the latter case to assure the lender of the repayment on time. This does not mean in any way that borrowers do not get loans if they are of more age. As we see many people are also applying for a second home loan for investment and retirement purposes. And the lender does not want to leave away the potential of so many new customers.
Many financial loan lending institutions have special rules for loan approval and each institution has own documents required. Some may be lenient with the age factor considering the loan repayment capacity of the individual by looking into the credit history and expenditure habits of the individual. They also offer bonuses on second home loans as they may know that the borrower is financially stable and has assets that can be mortgaged or fallen back to in case of failure to repay the loan on time. So whatever your age you do get the right loan and there is always a lender in the market who has to offer you a home loan!
Rizwana A. Mundewadi is a freelance Healing Artist and writer. Using her experience in the last decade she has been writing articles related to art, art investment, feng shui, symbolism, prosperity and good luck and has also added to this list her practical experiences with banking, loans and investments. Simplified facts about home loans can be found at http://homeloans-simplifiedfacts.blogspot.com/ without the technical jargon associated with this topic.
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