Searching for a mortgage in India can be a difficult task. With so many available players on the market, there is always the risk of being scammed or falling victim to predatory lenders. So before you start browsing for an Indian mortgage, make sure you know what to look out for. The first thing to note is that any mortgage company in India will be registered with the Reserve Bank of India (RBI). This helps to protect borrowers from being cheated by mortgage brokers, who sometimes pose as authentic lenders.
Look out for testimonials and recommendations provided by consumers. You will find plenty of recommendations about local Indian mortgage broker on various financial forums as well as individual websites run by professionals and experts in the field. Find out from these testimonials the level of service expected from the companies, how satisfied past customers are and the overall feedback of their experiences.
It is a good idea to check out the portfolio of a particular company when you approach them to find out more about their services. A mortgage broker will normally have a collection of residential and commercial properties listed with them. You should also make sure that the local bank or financial institution through which the broker works is listed on their website. If a brokerage company does not have a listed bank or financial institution, then look elsewhere. Avoid brokers who do not offer this crucial information.
As with anything that involves lending, it is important that you only borrow a small amount and try to get a mortgage from a credible lender. If you are unable to secure a mortgage with a particular lender, then do not proceed with that specific loan application. Instead, look for another lender who may be able to help you out.
Before taking up a mortgage broker’s services, always remember that you will have to pay back the money you borrowed. This means that you should have a clear understanding about how much money you can afford to pay off each month. Also, it is important to consider other expenses in your life apart from your home loan. Your children’s schooling fees, car expenses etc. should not be neglected as these can impact negatively on your credit score if any debts are incurred while trying to get a mortgage broker loan.
Once you have found a lender, the next step entails getting pre-approved. Banks and financial institutions usually ask for a lot of personal information. Only through a local Indian mortgage broker will you be able to see the relevant documents. However, you must understand that you will only know if you get pre-approved after going through the paperwork and the entire application process. It is best to go through the entire process with several local lenders as there is nothing worse than being turned down by a prospective lender.