Types of Housing Loan

Housing loan is a financial help provided by a bank or financial institution in order to buy a house or modify the house. Banks offers housing loan even for small needs about house.
Nowadays, many people are getting help from bank in order to have their dream house most especially who are renting in an apartment. Of course, to be able to be qualified for a house loan, one should have stable job to sustain the monthly amortization.

Here are different types of Housing Loan:

• House Purchase Loan

This type of housing loan is applicable for those who are planning to purchase or buy a house or condo. Most banks offer seventy (70) to eighty percent (80%) of the appraised value of the house or condo.

• House Construction Loan

A bank will give financial assistance for those who already have their own lot and planning to construct their dream house. Construct costs includes permit processing, architect’s fees, manpower expenses and material cost.

• House Improvement Loan

If you are planning to renovate your ancestral house or planning to repair your home, this type of loan is applicable to you.

• House Extension Loan

This type of loan is for those who want to expand or extend their house. This house extension can be dirty kitchen, guest room or storage room.

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