Mortgage guarantee makes home loans on hand but it comes at a price
Last week LIC Housing Finance (LICHF) tied up with India Mortgage Guarantee Corporation (IMGC) to offer longer-tenure loans. LICHF will now provide credits to older clients until the age of seventy-five. With a better tenure, borrowers might be capable of taking a better mortgage amount or opt for a lower equated month-to-month installment (EMI).
All this will become viable while a lender ties up with a mortgage guarantor. What is the loan guarantee? A mortgage guarantee is a chance switch device. The chance of the home loan receives transferred from the bank/housing finance company to the investment assure …