Home Loan Mortgage Insurance — Helping You Realise Your Dream House
In today’s time, the availability of loans has helped numerous people realize their dream of buying a house. The faster approval time, lower interest rates and longer tenure have contributed to aid the financial potential of the home buyers.
However, the cap on the amount of loan still restricts a lot of applicants from getting the entire amount from one financier. This forces them to either drop the idea or look for other financing options like a personal loan, or loan from the local lender. These options come with higher interest rates as compared to the home loan. This is where the home loan mortgage insurance plays a vital role.
What is home loan mortgage insurance?
The home loan mortgage insurance is designed to help anyone who is facing a challenge to get a home loan sanctioned. It is a financial guarantee in which, the Mortgage Insurance Company assumes a portion of a lender’s risk in a mortgage loan.
One can ask the financer to process the home loan with mortgage insurance or mortgage guarantee. The same documents that were used to apply for the home loan are used to process the mortgage insurance.
Who is benefitted from home loan mortgage insurance?
Home Loan Mortgage Guarantee Company provides huge flexibility and improves affordability. The benefit of the mortgage is listed below:
1. Loans backed by mortgage insurance helps to expand home ownership opportunities for borrowers.
2. It allows the borrower to access improved cost of credit by increasing the possibility of getting a loan.
3. It helps the homeowners to purchase a home with a lower down payment amount.
IMGC — India’s first Mortgage Guarantee Company
IMGC is India’s first home loan mortgage insurance company. It is a joint venture that combines the development mandate of National Housing Bank and the resources of international Finance Corporation (IFC) & Asian Development Bank (ADB). The aim of this venture is to make home ownership a reality for those who are unable to avail higher loan amounts.