Smart financial planning is crucial when preparing for a home loan with HeroHousing. This involves assessing your financial situation, setting a budget, saving for a down payment, improving your credit score, reducing your debt-to-income ratio, researching loan options, maintaining an emergency fund, getting pre-approved, and seeking professional advice.

1. Best Practices for
Handling Your Finances
Before Home Loan
Application

2. Reduce DTI Ratio
1 2
This ratio indicates how
much of your income goes
towards debt repayment.
Reduce this ratio by
paying off existing loans.

3. Use Credit Cards Wisely
Avoid Extravagant
Usage of Credit Cards
Keep the utilisation
rate below 30%.

4. • Make an effort to increase your creditworthiness.
Work on credit score
2. Maintain loan repayment discipline and look out for inconsistencies in your
credit record.

5. Keep Emergency Funds
Set aside some of your savings for emergencies.
It will assist you in managing EMIs amid a
financial crisis.

6. Look For Passive
Income
Try to supplement your income by taking
on freelance work or renting out your
spare house/flat.

7. Sell Unused
Assets
Assets you no longer use can
help you arrange funds for a
down payment.

8. Avoid Overspending on
Furnishings
Avoid spending money on furnishings
that are not necessary.

9. Invest In Insurance
1 2
Get a loan or term
insurance.
It will assist you in making
EMI payments during
times of financial
uncertainty.

10. Keeping the above tips in
mind and conducting research
on lenders will assist you in
better managing your money
before applying for a home
loan.

11. Thanks.
Would Love to hear from you.
Hero Housing Finance Ltd.
09, Basant Lok, Vasant Vihar, New Delhi - 110057
Tel: 18001024145
Email: customer.care@herohfl.com
Website: https://www.herohousingfinance.com/
Visit here: Tips for smart financial planning to prepare for a home loan.