Skip to main content

LOAN AGAINST PROPERTY - ELIGIBILITY, DOCUMENTS REQUIRED INTEREST RATES


Loan against property is another name for a mortgage loan. It is available for both salaried and self-employed individuals to fulfill their personal needs or for their business by mortgaging their property. The investment might be taken for expanding business, acquiring assets, education needs, marriage, etc. The loan is given against the mortgage of a residential, commercial, or industrial property. The end use of the loan should be mentioned in the application form, and the credit is granted only if the end user is allowed by the bank. The loan against property is provided at a particular interest rate.

Loans against properties can be beneficial in different ways. Opting for long repayment tenure of up to 20 years distributes the loan amount, and one can lower the EMI amount each month. Interest amounts are lowest when the loan is availed against a residential property. Documents required for a loan against property vary from bank to bank. It also varies based on a person being salaried or self-employed.

For salaried individuals, the documents required for a loan against property are as follows: 
• Latest salary slips.
• Bank account statements for the previous three months.
• Identity proof (PAN Card/ Aadhar Card/ passport etc.)
• Address Proof.
• Copy of the document of the property with Map
• Form 16/ IT returns (3 years).
• Passport size photographs.
• Duly filled application.

For self-employed individual, documents required for a loan against property are as follows:

 • Bank account statement for the previous six months.
• Identity proof (PAN Card/ Aadhar Card/ passport etc.)
• Address Proof.
• Copy of the document of the property with Map.
• Duly filled application.
• Income tax return.
• Passport size photographs.
• Latest three years Audited financials.

The "DOCUMENTS REQUIRED FOR A LOAN AGAINST PROPERTY" as mentioned, are indicative and vary from bank to bank. During loan processing, additional documents are required.

The eligibility criteria for a loan against property also depends on the fact whether one is salaried or self-employed. For salaried individuals, one should be between the ages of 33 to 58 years; one preferably has to be an employee in an MNC, a private company, or a public sector; one has to be a resident of India. For self-employed individuals, one has to be between the ages of 25 to 70 years; the individual should have a regular source of income; one again has to be a resident of India. 

"LOAN AGAINST PROPERTY INTEREST RATES" also varies from bank to bank. Approximately the range of interest rates vary from 9.80% p.a to 14.50% p.a, and the repayment tenure offered is between 2 to 20 years. However, the lowest interest rate currently in India is 8.70% p.a, with the processing of up to 1% of the loan amount, loan tenure of up to 15 years, lowest EMI per Lakh for Rs. 880 for 20 years and zero prepayment charges. However, loans for house construction or purchase are available at a lower rate of interest under home loan rather than against a mortgage loan. 

Labels:

Comments

Post a Comment

Popular posts from this blog

A COMPREHENSIVE GUIDE TO APPLYING FOR A USED CAR LOAN ONLINE

In today's fast-paced world, possessing a car isn't simply an extravagance but a need. For many, a used car is a magnificent choice to satisfy their transportation needs without breaking the bank. Notwithstanding, financing a used car purchase could appear to be daunting. Fortunately, to apply for a used car loan online has become a convenient and accessible choice. Here is a comprehensive guide to navigating the process without a hitch. Understanding Used Car Loans Before jumping into the application process, it's crucial to grasp the fundamentals of used car loans. These loans are specifically designed for purchasing pre-owned vehicles. Lenders offer varying terms and interest rates based on factors like credit history, upfront installment, and the vehicle's age and condition. Preparing for the Application 1. Know Your Budget: Decide your budget by assessing your financial situation. Consider factors like a month-to-month income, existing expenses, and potential init...
Post a Comment
Read more

DRIVING TOWARDS APPROVAL: UNRAVELING THE CRITERIA FOR USED CAR LOAN ELIGIBILITY

In today's speedy world, possessing a car is, as of now, not simply an extravagance but a need for some. Nonetheless, buying a pristine car may not generally be squeezed into everybody's financial plan. This is where the choice of purchasing a used car becomes engaging. Used cars offer a more affordable other option, permitting people to claim a vehicle without burning through every last dollar. To work with the purchase of these pre-owned vehicles, financial organizations give used car loans. However, what are the " Used Car Loan Eligibility Criteria " for acquiring such loans? We should dive into the subtleties. Understanding Used Car Loan Eligibility Used car loan eligibility alludes to the arrangement of conditions that people should meet to fit the bill for a loan to purchase a recycled vehicle. Lenders lay out these criteria to survey the borrower's financial capacity and limit the gamble related to loaning. Essential Criteria for Used Car Loan Eligibility ...
Post a Comment
Read more

A COMPREHENSIVE GUIDE TO AVAILING A LOAN ONLINE

In today's fast-paced world, the ability to get financial assistance rapidly and helpfully has turned into a need for many. While, you " AVAIL A LOAN ONLINE " offers a seamless answer for meeting various financial requirements, whether it's for education, starting a business, or dealing with startling expenses. Here is a comprehensive guide to navigating the process successfully. Understanding Loan Options Prior to plunging into the online loan application process, it's crucial to understand the sorts of loans available. Whether it's personal loans, business loans, or mortgages, each fills various needs and accompanies varying interest rates and repayment terms. Assess your requirements and financial situation to decide the most suitable loan type. Research and Comparison Whenever you've recognized the kind of loan you require, research various lenders. Various financial foundations, banks, and online lenders offer loans. Compare interest rates, repaymen...
Post a Comment
Read more