Common Mistakes In Home Loan EMI Calculations

Home loans are complex yet worthwhile products as they offer you a chance to own your dream home. There are, however, a few mistakes that people make while making their home loan EMI calculations. Understand and avoid the same to make better financial choices.

1. People don’t undertake extensive research.

Any potential borrower can go online and find out important details from reliable third-party websites. Bank websites also promote their own products and services. There are also ample other websites that offer home loan EMI calculators in India . In addition, they also offer sophisticated financial advice on home loan calculations. Availing these services help you to understand the potential expenses that you are normally unaware about.

2. Factor in the minor expenses.

There are several expenses included in the home loan calculations, some of which are trivial and don’t seem to be important enough today. However, they are sizable collectively. Hence, it is important to take them into account from the start. Here are a few examples of such minor yet relevant expenses:

• HLPP
• Stamp duty
• Processing fees
• Additional expenses during the loan term such as prepayment penalties, switching charges

When you use the home loan calculator in India , include these amounts in your principal amount before you calculate your EMI.

3. People rush to seal the deal.

Most borrowers are in a hurry to complete this process. There is nothing wrong with that; however, in a hurry, they tend to ignore important details. Some of these include:

• Credit Score: People understand that their credit score affects the loan in more ways than one. Yet, people don’t take the time to improve it before applying for a loan. This small step is crucial for loan approval and better interest rates.

• Negotiating Interest Rates: You can negotiate the interest rates with the home loan officers. This practice is neither announced nor encouraged. But, people who are patient enough to ask and negotiate can avail it.

• Terms and Conditions: Very few people attempt to understand the terms and conditions for the loan. This document includes quite a few important conditions for the home loan. For example, most people opt for fixed interest rates, assuming they remain unchanged. Yet, the fact is that it is higher than floating interest rates and susceptible to change over a period of time.

Most investors and business owners, who avail home loan services frequently for their businesses, understand these principles and incorporate them. Thus, it is important to examine your loan applications, credit scores, repayment strategies and relations with banking officers to get the best results possible.

Why Selenium has an edge over other automation tools

Selenium is an open source set of libraries initially developed by ThoughtWorks. These libraries can be used with java, ruby, C#, perl, and other programming languages to interact with the web browser. Over time, selenium has evolved and became a widely used automation tool attributed to the wide community base which contributed to its enhancement, maintenance, and scalability. Thus selenium has gained an edge over other commercial tools available in the market. Getting started with selenium is easy and no commercial cost is involved for using selenium. It is free and easy to use. But unlike other commercial tools, it does not provide any UI to ease the automation. User has to write code even for slightest of web operation.

Components of selenium are :

RC
GRID
IDE
WEB DRIVER.

GRID and WEB DRIVER are the most commonly used components of selenium these days. Selenium RC became obsolete and replaced by webdriver. In Selenium RC, there used to be a separate server that acts as an interface between browser and selenium commands. On the other hand in selenium webdriver, a specific browser driver is initialized and invoked by webdriver object and executes selenium command without having anything acting in between.

Selenium Grid gives us the flexibility to execute our automation tests on various browsers, platforms, and operating systems. Visit our article SELENIUM GRID on how to create hub and nodes, define desired capabilities, and invoke remote web driver to execute automation tests on remote machines using selenium grid. Selenium IDE was used for record and playback.

Selenium support wide range of platforms and browsers. Below is the list of operating systems supported by selenium:

WINDOWS
MAC OS
LINUX

Below is the list of browsers supported by selenium:

CHROME
IE
FIREFOX
OPERA
EDGE
SAFARI

You can download selenium libraries from: Download selenium

You might be wondering when the selenium automation comes into the picture after seeing the below high-level life cycle
But it is not always at the end of the SDLC phase or during the testing phase. We’ll come to it in later posts.

In a nutshell, selenium webdriver is an interface that is used to interact with the browser. It is a collection of classes and comes in the form of a jar. It can be bound with any programming language like java, ruby , perl, C# to perform operations on browsers. Any web component which displays on the browser can be operated upon by a webdriver object. Out of the numerous operations performed by webdriver on web elements of a web page, some basic operations include inputting into text fields, clicking buttons, selecting radio buttons, click, right click, double click, mouse hover, drag and drop, a selection from dropdown, switching between the windows, and frames, handling alerts. Selenium web driver provides APIs and libraries to handle different aspects of web components.

Compare Home Loan Interest Rates To Find The Best One

Several banks and housing finance companies offer different home loan rates. If it was as simple as visiting a third party website and entering your details to compare the home loan interest rates, there was no need for this article. Yet, you know, there is certainly much more to it. So, how do you evaluate the best home loan rates in India ?

Put your best foot forward.

Clear your credit card debts and personal loans and get the best possible CIBIL credit score. You should revise your credit history without any damaging elements. Calculate the required down payment, since it will affect the banks and housing finance companies that approve your loan, interest rates offered, repayment strategy allowed and more.

You would need to start saving up to 20% of the principal amount. So, you should plan for it in advance as you will need all the necessary documents to demonstrate your assets, liabilities, investments and earnings. Your good position and salary in a reputed organization comes in handy too. Now, you are ready to compare the available home loan interest rates in India .

Apply, apply, and apply.

Most banks and housing finance companies have online eligibility calculators and loan application systems, which allow you to apply for home loan within a few minutes. When you apply for a loan, you receive realistic interest rates based on your repayment ability, income and potential to earn. As you receive approvals, you will get realistic interest rates and EMI projections as well. This is a great place to compare the loans as well as finance companies. As these rates are open for negotiations, though banks don’t encourage that practice, you can contact your loan officer and use this time to draft the best possible deal.

Compare the specifics too.

After comparing the home loan rates, you must compare minor details too as they help you to negotiate and customize the loan as per your convenience. Lenders with the best possible proposal would include the right repayment strategy, prepayment clauses etc. All comparisons will not help you to select the best deal. Yet, you must look into boring fine print documents such as terms and conditions that would shape your EMIs and financial life ahead.

No wonder the right foundation for a successful comparison and loan approval is thorough research. So, explore the details of the EMIs, documents, terms and conditions, repayment options and interest rates to finalize the home loan that suits you the best.