Maslow in his theory on the Hierarchy of Needs talks about the relevance of satisfying an individual's basic food-shelter-clothing needs before higher-level needs. Being the proud owner of their dream-home is one element that is definitely present in every person's wish-list. For ages, the dinner-table conversations of the Indian middle-class homes have revolved around building the perfect home for a better living; a better status.

The average Indian middle-class family has gone through enough and more ordeal concerning grouchy landlords, relocating houses, killing rents, etc. Then, there comes a time when things fall in place and the prospect of owning a home looks bright. This is a time of confusion as it involves making major decisions based upon numerous variables.

Taking a home-loan today has become a much simpler process compared to the past. However, it is imperative that one must be acquainted with all terms associated with Home Loans prior to applying for a loan. The sensible thing here to do is to seek advice from a home loan expert or consultant who can give you a better picture of how the whole system works. In India, home-loans are facilitated by several private and public sector banks and other financial institutions offering various easy-to-repay schemes.

There are different kinds of loans available in the market tailored to meet the requirements of individuals. Once the type of loan is decided upon, the next step would be to decide which lender to use and why.  Some may want to pay as little interest as possible while others don't want to worry about changes in interest rates. The reasons could vary. Choosing the right bank or institution may be time-consuming, but it is definitely worthwhile.

The entire home-loan process can be summarized in the following steps:

·    Deciding the type of loan based on your requirements
·    Choosing the right institution for the home-loan
·    Submitting the application form
·    Personal discussion
·    Field inquiry by bank
·    Credit assessment by bank
·    Loan sanction by bank
·    Submission of all the necessary documents
·    Property Valuation by bank
·    Registration of property documents
·    Signing the loan-agreement
·    Submitting post dated cheques
·    Disbursement of the loan cheque

The real-estate sector has stabilized post recession and so has the income of people. Housing-finance institutions continue to remain optimistic on the home-loan sector in spite of the rising interest rates and predict heavy demand in the affordable-housing segment. Hence, if you have taken stock of your finances and accessed your repayment capability well, then your dream home is just a step away.