Skip to main content

Posts

3 Most Important Financial Ratios Lenders Evaluate For Home Loans

Self-employed businessmen and entrepreneurs assume that getting a home loan from banks and financial institutions is easy as a peach. With income statements, lenders cannot ascertain that the same pattern will follow in the future. And because of the same, profit to the businesses is not the only factor that banks look at while evaluating the financial prominence. To arrive at a clear image of the financial prominence, lenders also look at other key factors involving ratios. For a businessmen or self-employed entrepreneurs, this knowledge about the way in which banks assess and arrive at those ratios is vital. This article elaborates the 3 most important financial ratios that the banks evaluate. DSCR which expands as Debt Service Coverage Ratio: For people who run businesses, the banks evaluate the DSCR or Debt Service Coverage Ratio. This ratio identifies the ability of the borrower to repay the loan. With this ratio, the lenders can find out the profit in cash that is a
Post a Comment
Read more
Recent posts

How to Negotiate with the Home Owner during the Increase of Rent?

In India, rental values of properties are going one way and that is up. This is felt as a major burden for middle-class families who stay as tenants. Along with other obligations at home, tenants see the rental increase as a potential threat to their financial abilities. Usually, owners in various cities across the country, increase the rent of a property by up to 10% each year. But this margin can be negotiated if the tenant is well aware and smart in dealing with people.   Legally, the landlord has the right to revise the rent with proper notice delivered to the tenant according to the Transfer of the Property Act 1882, section 106. Still, as a tenant, you can induce a negotiation process without disrupting the relationship with the owner. Here are some tips on how to negotiate with a homeowner for raise in monthly rentals: Be aware: As a tenant, you should know about the average rental values in the locality. Talk to people in the neighbourhood, or just browse online i
Post a Comment
Read more

8 Common Feng Shui Mistakes to Avoid at Home

A house turns into a home only after it is adapted and transformed to exude the taste and expression of the people living in it. While personalizing the same, people tend to style it with many approaches, spiritual and aesthetical. Practices of Feng Shui and Vastu are incorporated into the space to enhance the energy revolving around the place. With this trend catching up, people are open to experimentation and they look to improve the energy of the living space for a better life, career, health, and relationship. In Feng Shui, “Chi” is the energy that they try to attract and the orientations of home elements focus only on concentrating this energy into the home. We tend to create a space that is alluring to look at and we ignore the importance of attracting positive energy and repelling the bad ones. Our planning efforts are focussed only on the aesthetical aspects and the spiritual aspect is seldom considered for attention. In this article, let us look at the common mis
Post a Comment
Read more

How to Optimize Compact Bathroom Space?

We all use bathroom almost every single day to start a day with a good cold bath or to end a tiring day with a warm shower. With the advent of small compact apartment units, the bathroom space is getting even smaller and the walls are closing in on us. Small bathrooms have become common everywhere and the lack of space is making us claustrophobic at a place where it ought to feel the most at ease. But even with such a small compact space in the bathroom, we can do a lot with the ergonomic planning of space. By using almost every section of the space intelligently, we can make the bathroom completely functional and convenient for our sake. Here we will see how to optimize small bathroom space: Creating spaciousness with reflection: We cannot possibly create space with reflective elements. But with smart use of mirrors can induce a spacious effect in the bathroom. A large mirror with a defining frame that looks daring is a great option to do this. By creating an illusion of
Post a Comment
Read more

7 Tips to Make your CIBIL Score Better

There are many types of loans that are lent by banks and other financial institutions. Out of them, all housing loans are the hardest to get because they involve a lot of money and the lenders scrutinize with a lot of factors before processing a loan. From the many factors involved in the process of loan application, the most important yet underrated one is the CIBIL score of the applicant. Even well-settled and well-earning applicants are straightforwardly rejected just because of a poor CIBIL score. Basically, a CIBIL score is a triple-digit value of the credit history of a person. This numeric summary is calculated using the history of credits across various other loans and credit based payments that the person has under his/her name. In this article, let us see how to improve that CIBIL scores for aiding a successful loan sanctioning process: Proper settlement of all the loans: The Credit Information Bureau India Limited or the CIBIL wants a former loan borrower to repo
Post a Comment
Read more

Property Rental Scams to be Wary of in India

Property rental sector is impacted in a huge way due to illegal practices followed by some scammers. The increase in these scams is a matter of concern for tenants and landlords across the country. People looking for lease and rental properties are often fooled by scammers and the following article is to raise awareness among the common populace. Some of the usual scamming practices are: Absence of legal rental agreements: It is straight away a red flag if property owners or agents agree to rent the property without drawing up a legal deed. A rental agreement has the important details like the time period of stay, rental amount and other clauses regarding the handling of facilities in the place. Without an agreement, there are chances of problems to arise between the tenants and the landlord in the future. Tenants can also easily practice illegal activities without a fret in case of the absence of proper rental agreements. Demand of money before seeing the rental/leasing
Post a Comment
Read more

Why you Should Opt for Co-Owned Properties?

With the searing rise in property prices, buying an apartment unit or house by a middle-class individual by himself/herself is almost impossible. It is a huge financial burden to bear by a single individual and thus the sector in general is evolving to other trends. One of those trends is the idea of having joint or co-ownership of a property. Instead of the conservative approach of owning properties individually, people are okay with considering joint ownership deals. Co-ownership has a lot of upsides and downsides that need to be discussed. The purpose is to leave nothing behind and help a reader to absorb a brief knowledge about the same. Experts advise that co-ownership has a lot of benefits if the owners are all equally responsible and financially able to come into a mutual agreement. Eligibility to co-own a property: By the country’s laws, the eligibility is quite simple to understand. Anyone can be a co-owner of a property like parents, siblings, children and spouse ar
Post a Comment
Read more