#loanonpropertyinindia

[financesrghousing-blog]

Importance Of Loan Against Property In India

Introduction

Loan Against Property in India is a secured type of loan that is helpful for a person in uplifting their fund standards. It is one of the cheapest retail loans that is applicable to all types of personal properties like residential, commercial or industrial. You can mortgage your property to take the loan amount from various financial organizations. This segment of loan is also known as LAP in which the borrower gets the loan amount according to the market value of its property. The property is taken as a guarantee from the lending institutions by the borrower as a security. But remember you can not purchase a new home or make a construction by this loan amount.

Advantages

Loan Against property in India is regarded as a fine option to fulfill your expected requirements.

Mortgaging the property is a tremendous idea to avail the loan facility without actually selling it.

You can send your kids abroad for higher education or can expand your current business. Along with that, it is helpful to fund your medical related expenses.

Maximum loan tenure is given at a time of near about 15 years. However many companies grants LAP between 7 to 9 years and selected financial authorities have a maximum limit of 25 years.

Loan against property will be easily granted against a plot, house or flat, etc.

Even the rates of interest are comparatively cheaper than the other loan segments, that’s why you will have to deposit cheaper EMI installments.

Maximum eligibility for this loan category is classified by the value of your property and income.

Based upon the CIBIL score, promptness in submitting the required documents and the financial condition of the borrower, the amount of loan will be pass under a couple of dozen days.

This top-up loan is advantageous in the expansion of business, for education and medical expenses, etc.

Things To Consider

Before going to knock the doors of any financial institution, it is better to compare their services like loan terms, rates of interest, and processing fees. All such information is available online in today’s time so that you can easily look which company suits best for you. LAP also contains top-up-loan that can be taken on your current mortgage loan. Along with that, there is an overdraft facility that can be availed by the trustees who expect to have a fluctuating annual income.

LAP also acts as the transfer of an interest in a landed property for the inhalation of dispatching the payment of money to be advanced or advanced through a loan, an existing debt or a future debt, or an enforcement of a commitment that may supply emergence to the monetary liability. Nowadays, the concept of loan against property in India is gradually increasing and we see a major growth in different sections like development and construction of real estate. That is why this loan scheme is proving out to be advantageous for the citizens of our country. The lending institution will ask for some documents and verification about the property. So try to make some homework before going to take the advantage of loan against property in India.

About The Company

The SRG Housing Finance company is a non-banking financial company that is providing its loan against property in India services to so many peoples and serving its facilities with a good response. If somebody wants to mortgage their piece of land in order to get a useful amount, they can take help from our side with complete assurance.

[financesrghousing-blog]

Loan Against Property

Introduction

The loan against property in India is defined as the type of loan given against the mortgage of the property. It is given near about 0 to 80 percent of the property’s market value. It is also termed as the LAP. This type of loan generally regards to the secured loan category in which the borrower signifies a guarantee by acquiring his property as a security.

Loan against property in India is given to meet any type of personal expenditure depending upon the needs like for higher education, medical expenses or marriage of children. It is also termed as a good option to fulfill your expected needs. This loan is also regarded as one of the cheapest retail loans.

Features

Mortgaging your existing property is classified as a great way in order to get a loan with low-interest rates without selling them. You can take the advantage of this loan for different purposes like expanding the current business, sending your kids abroad for higher education, funding your medical treatments, and getting your children married. The user can easily take a loan on its rented residential property or self-occupied property. This can be anything like a piece of land or a house.

Benefits

* The interest rates in this type of loan is lower, so the EMI will automatically turn out cheaper.

* The maximum loan eligibility is classified primarily not by the individual’s income, but by the value of the property as well as income.

* For this type of loan, the maximum loan tenure is exceeded up to 180 months (15 years).

* It is totally secured.

* It is considered as one of the finest ways to raise the money.

* It contains a high upper limit in which the trustee can avail the loan of near about Rs.10 crore or even more against property but only if the property will meet the required criteria.

Interest Rates

Possibly there are two types of interest rates present in these types of loans. They are Fixed Interest Rate and Adjustable Rate. The individual has the choice to choose between two of them.

Eligibility Criteria

The eligibility criteria for the salaried individual:

* Must be a permanent employee of a reputed company or by the government.

* The minimum age limit to avail this loan is near around 24 to 25 years.

For Professional:

* The borrower must be a professional in any type of field like an engineer, architect, chartered accountant or doctor, etc.

* Maximum age limit of the borrower can be 65 years.

For Self-Employed Individual:

* The applicant must be regular in terms of filing the income tax returns.

* Must have been in the same business for near about three to five years.

Documents Required

* Residence proof like ration card or any utility bill.

* Valid ID proof approved by the government.

* Those who are self-employed must need to provide a legal and certified financial statement of last 36 months. Along with that, they will have to provide their details of educational qualifications and the proof of existence of their corresponding business and profile.

* Properly filled form of application with an attachment of latest photograph.

* Copy of both income tax returns and the latest blank statement.

* All the legal documents regarding property that includes approved plan of the building.

* A copy that contains the details of all the existing loans and processing fee cheque as well.