Skip to main content

LIC Housing Finance

 

LIC Housing Finance

LIC Housing Finance Ltd. promoted by Life Insurance Corporation of India, is one of the largest Housing Finance Company in India. LIC housing Finance is regulated by National Housing bank.

LIC Housing Finance is mainly engaged in the business of providing long term housing loans to individuals for purchase or construction or repair and renovation of new / existing residential properties. LIC Housing Finance also provides loan against existing properties for business or personal needs and for professionals for purchase or construction of nursing home, clinics, diagnostic centers, office space, etc.LIC Housing finance also provides financial assistance to builders and developers. 

One of the most popular product of LIC Housing Finance is "Griha Prakash", which is designed for individuals to provide finance for purchase or construction or repair and renovation of new / existing residential properties.

LIC Housing Finance offers maximum loan amount of 85% for property costing below Rs. 20 lakhs and 80% for above Rs. 20 lakhs. This amount includes stamp duty and registration charges. This loan amount can be repaid by way of Equated Monthly Installment (EMI) within tenure of 240 months i.e. 20 years.

Other products of LIC Housing Finance are:-

"Griha Vikas" is a home equity product where loan is provided by LIC Housing Finance against mortgage of residential or commercial property for purpose of any personal needs for child education, child marriage, foreign travel or financial needs for business. 

The minimum loan amount an individual can borrow under this scheme is Rs. 2 lakhs and has to be repaid by way of Equated Monthly Installment (EMI) within a period of 15 years.

To avail "Griha Vikas" the age of the property to be mortgaged should not be more than 35 years.

"Apna Office -1" is a loan from LIC Housing Finance to professional for purchase, repairs and renovation of commercial property to carry out professional activities and also to buy equipments. The minimum loan amount to be borrowed under this scheme is Rs. 5 lacs and can be repaid within a period of 10 years.

"Reverse Mortgage Loan" for senior citizens who can borrow against their existing self-acquired and self-owned property. 

The loan is provided by LIC Housing Finance through monthly / quarterly / half-yearly / annual disbursements or a lump-sum or as a committed line of credit or as a combination of the two. The maximum tenure of the loan is 15 years. The borrower can continue to stay in the residential property as long as his is alive and after him, his spouse can stay till her/his death. You can even prepay the loan, whenever you feel so during the tenure without any prepayment charges. 

The only pre-condition is the borrower should be the owner of a self-acquired and self-occupied house or flat located in India, with clear title indicating the ownership of the property. The residential property should be free from any encumbrances and the residual life of the property should be at least 20 years. 

LIC housing finance charges a processing fee of 1% of loan amount for all the loans

Best Tax Saver Mutual Funds or ELSS Mutual Funds for 2015

1. BNP Paribas Long Term Equity Fund

2. Axis Tax Saver Fund

3. IDFC Tax Advantage (ELSS) Fund

4. ICICI Prudential Long Term Equity Fund

5. Religare Tax Plan

6. Franklin India TaxShield

7. DSP BlackRock Tax Saver Fund

8. Birla Sun Life Tax Relief 96

9. Reliance Tax Saver (ELSS) Fund

10. HDFC TaxSaver

Invest Rs 1,50,000 and Save Tax under Section 80C. Get Good Returns by Investing in ELSS Mutual Funds Online

Invest in Tax Saver Mutual Funds Online

Invest Online

Download Application Forms

For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call

---------------------------------------------

Leave your comment with mail ID and we will answer them

OR

You can write to us at

PrajnaCapital [at] Gmail [dot] Com

OR

Leave a missed Call on 94 8300 8300

Popular posts from this blog

All about "Derivatives"

What are derivatives? Derivatives are financial instruments, which as the name suggests, derive their value from another asset — called the underlying. What are the typical underlying assets? Any asset, whose price is dynamic, probably has a derivative contract today. The most popular ones being stocks, indices, precious metals, commodities, agro products, currencies, etc. Why were they invented? In an increasingly dynamic world, prices of virtually all assets keep changing, thereby exposing participants to price risks. Hence, derivatives were invented to negate these price fluctuations. For example, a wheat farmer expects to sell his crop at the current price of Rs 10/kg and make profits of Rs 2/kg. But, by the time his crop is ready, the price of wheat may have gone down to Rs 5/kg, making him sell his crop at a loss of Rs 3/kg. In order to avoid this, he may enter into a forward contract, agreeing to sell wheat at Rs 10/ kg, right at the outset. So, even if the price of wheat falls ...
Read more

Zero Coupon Bonds or discount bond or deep discount bond

A ZERO-COUPON bond (also called a discount bond or deep discount bond ) is a bond bought at a price lower than its face value with the face value repaid at the time of maturity.   There is no coupon or interim payments, hence the term zero-coupon bond. Investors earn return from the compounded interest all paid at maturity plus the difference between the discounted price of the bond and its par (or redemption) value. In contrast, an investor who has a regular bond receives income from coupon payments, which are usually made semi-annually. The investor also receives the principal or face value of the investment when the bond matures. Zero-coupon bonds may be long or short-term investments.   Long term zero coupon maturity dates typically start at 10 years. The bonds can be held until maturity or sold on secondary bond markets.
Read more

Mutual Fund MIPs can give better returns than Post Office MIS

Post Office MIS vs  Mutual Fund MIPs   Post office Monthly Income Scheme has for long been a favourite with investors who want regular monthly income from their investments. They offer risk free 8.5% returns and are especially preferred by conservative investors, like retirees who need regular monthly income from their investments. However, top performing mutual fund monthly income plans (MIPs) have beaten Post Office Monthly Income Scheme (MIS), in terms of annualized returns over the last 5 years, by investing a small part of the corpus in equities which can give higher returns than fixed income investments. The value proposition of the mutual fund aggressive MIPs is that, the interest from debt investment is supplemented by an additional boost to equity returns. Please see the chart below for five year annualized returns from Post office MIS and top performing mutual fund MIPs, monthly d...
Read more

Benefits Of Repo Rate & CRR Rate Cut On Consumers

  How Reduction In Repo Rate & CRR Affects Customers Finally  RBI announced slashing of repo rate by 25 basis points (bps ) and cash reserve ratio (CRR) by 25 bps which industry experts believe will fuel the economic growth to some extent. Although experts were expecting higher rate cut this year. This lowering of the rate cuts has taken place for the first time in nine months. Now let's see how reducing the repo rate (defined in economic term as the rate at which RBI lends money to the banks) relates to the following individuals and sectors: Banking:   Lowering of repo rate directly reduces borrowing costs of a bank. Banks in turn reduces interest rates on different types of loans such as home, auto, business etc. Similarly trimming down of CRR allows banks to unlock money for lending to the customers i.e. with 0.25 rate cut banks are estimated to lend more than INR. 17 Crores. Consumers:   Lower repo rate does not necessarily benefit existing loan borrowers but new loan se...
Read more

NRI Corner: The process of remittances abroad

The process of remittances abroad, and back, is cumbersome. Here’s how you can wade through without hassles Approach The Right Place Outward remittances or the process of sending money abroad is governed by many regulations. In India, outward remittances are made mainly through banks. At the outset, you need to remember that you just cannot trust any individual or a financial firm with the responsibility of sending your money. Experts recommend that you should always try to choose a bank with an international footprint, which will make your job easier. Choose Mode Of Transfer The next step is to choose the mode of transfer. One option is to get a Foreign Currency Demand Draft ( FCDD ). This draft will be denominated in foreign currency and should be drawn in favour of the recipient/ beneficiary. The beneficiary does not necessarily need to have an account with the same bank. The other option is to send money via wire transfer. Do not be puzzled if the bank official uses the word SWIFT ...
Read more
Related Posts Plugin for WordPress, Blogger...
Invest in Tax Saving Mutual Funds Download Any Applications
Transact Mutual Funds Online Invest Online
Buy Gold Mutual Funds Invest Now