Unlock Extra Funds with Top-Up Home Loans
Why Top-Up Home Loans Are a Smart Choice for Indian Homeowners
Top-up home loans allow you to borrow additional funds on your existing home loan at competitive rates. Unlike personal loans, these loans are cost-effective, as they usually have lower interest rates.
Benefits at a Glance:
| Features | Top-Up Home Loan | Personal Loan |
|---|---|---|
| Interest Rate | 8.80% – 11.30% | 10% – 24% |
| Loan Tenure | Up to 30 years | Up to 5 years |
| Loan Purpose | Flexible | Flexible |
How to Make the Most of Your Top-Up Loan
- Choose a Short Tenure: Opt for the lowest possible tenure to save on interest.
- Prepayment Advantage: Use surplus funds to prepay and reduce the loan cost further.
- Eligibility Check: Ensure you’ve paid at least 12 EMIs on your existing home loan.
Interest Rates: What to Expect
Top-up loan interest rates are slightly higher than regular home loans but still lower than personal loans. For example, SBI’s top-up loan rates range between 8.80% and 11.30%.
Did You Know? Some lenders offer tax benefits on top-up home loans if the funds are used for home renovations.
By planning wisely, a top-up home loan can simplify your financial obligations while giving you access to funds.
