Mortgage Loan or Loan against a property – It is a type of secured loan availed against a residential, commercial and industrial property kept as collateral with the banks or financial companies. Customers might avail loan against property to meet personal and business commitments. With the various attractive factors customers are interested to get loan against their own property.
Low Rate of Interest – Customers are attracted by the low rate of interest which makes their repayment affordable. This property loan enables borrowers to meet their personal commitments or business commitments with ease.
Lower EMI – Customers are advised to go for long term repayment tenure options up to 20 years for the loan amount so that they could avail low EMI amount every month.
Speedy Loan Approval – The quick loan process and disbursement of the fund to the customers’ account within a week attracted the customers to meet their personal and business commitments
No Prepayment Charges – The customers who get loan at floating interest rates could have the benefit of nil pre-closure or prepayment charges.
Types of collateral variants for Mortgage Loan
- Residential plot or vacant land
- Self occupied residential properties such as independent house, multi storey apartment, flats, etc.
- Rented residential properties
- Commercial properties such as Office building, shops, malls, complexes, etc.
It is very essential to insure the property being mortgaged before taking a Loan against Property. The insurance cover should cover the damages caused by fire and such calamities and should be valid throughout the loan tenure. The customers have to submit the proof of the insurance policy annually for the approval of loan.
A loan against property is a convenient option to avail funds to meet all high end expenditures for both business and personal commitments. The customers could avail loan amount up to Rs. 3.5 Crores.