Are you looking forward to funding your home purchase with a loan? You will find hundreds of lenders offering mortgage loans out there. These days, NBFCs make these loans readily available to borrowers. However, here are five valuable tips to get the best mortgage deal:

1. Maintain a High Credit Score

Lenders check your credit score before approving your mortgage loan. They decide your loan amount and interest rates based on your credit score. Therefore, pay your EMIs and credit card bills consistently, diversify your credit portfolio, and reduce your DTI ratio and credit utilisation rate to maintain a high credit rating.

2. Save More for a Bigger Down Payment 

You need to make a down payment while applying for a loan. The higher the down payment you make, the easier your loan approval will be and lower your interest rate. So, save more for a bigger down payment and get the best mortgage deal.

3. Pay Off Your Existing Loans

Lenders look at your current financial obligations before approving your loan application. Ideally, your debt-to-income ratio should not be more than 30-40%. Therefore, pay off your existing loans before applying for a new loan to get the best mortgage deal.

4. Select the Right Repayment Term

Mortgage loans often come with flexible repayment terms that you can choose according to your repayment capacity. Use a mortgage loan calculator to calculate your EMIs so that you can repay them on time. Assurance of timely payment can help you grab the best deal.

5. Compare Lenders

Shop around and find the lender offering the best mortgage deal according to your requirements.

Use these tips to find the best deal on your mortgage loan and become the proud owner of your dream home without stressing your finances.

Must Read: Step By Step Guide to Know How Loan Against Property is Processed!