A Beginner’s Guide to Availing Loan Against Property in Pune

Individuals who require additional funding to address big financial necessities can opt for a loan against property. Such loans allow applicants to access an amount as high as Rs. 3.5 Crore. Plus,affordable Loan Against Property Interest Rates and longer tenures  are a boon as compared to personal loans. These factors further make them a favourable financing option. Therefore, both salaried and self-employed individuals can opt for a loan against property in Pune, or elsewhere in India. These advances are ideal for financing everything from managing a high-end wedding to business start up. The garden city, Bangalore, is not only known as the IT capital of India but also as a city of expenditures. Whether it is meeting your month’s end or paying off your child’s semester fees, a couple of stretch marks are bound to appear on your forehead.

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So, the people of Bangalore tend to opt for loans (preferably personal loans) to come out of such monetary difficulties. However, situations such as starting off a new business or arranging for your daughter’s wedding may demand a significant sum of money. This is where a loan against property in Bangalore comes to the rescue.


Moreover, availing for such financing is now easier than ever with lending ventures who provide pre-approved offers. These offers are available with home loans, personal loans, and other financial services. In addition to easing out the process of availing financing, it also saves considerably on time.
One can simply check out their pre-approved offer by entering a few essential details on the official website of these organisations.
However, mortgaging your asset with an organisation is a crucial decision. Hence, one must check out the following factors before signing off the final deal.


Loan Against Property Tenure of Repayment
Mortgage loans are long-term loans that offer repayment tenor of up to 20 years. A longer tenure allows the borrower to repay conveniently.  


Age of Real Estate
Amount of loan sanctioned by a lending institution depends invariably on the age of your property. While the generic amount ranges around 75% of the property’s market value, fluctuations can occur depending on the age.
So, do not forget to compare and contrast the price offered by multiple lenders before settling for a loan against property in Bangalore.


Avoiding Forged Information
Sometimes, applicants tend to discard the importance of their credit score when availing a loan against property in Bangalore. Credit scores are not mandatory in a mortgage loan; yet, avoiding the same can lead to poor reflections for future financing possibilities.
So, avoiding certain practices when availing a loan can aid a borrower in securing the right value for his property.  


Note: Loan against property documents required includes salary slip and last 3 months bank statements for salaried prospects. Business personnel need to have at least 3 years of business vintage.


Regular Assurance of Income
A regular flow of income is imperative in ensuring a hassle-free sanctioning of your loan irrespective of whether you are salaried or self-employed. Salaried individuals need to be employed with a private or public sector or an MNC within the subcontinent.
In addition to this, other loan against property eligibility criteria include:
Applicants need to be between 33 – 58 years of age for salaried individuals and 25 – 70 years for their self-employed counterparts.
Must be a residing citizen of India.


Consideration of Interest Rates
Different organisations offer different interest rates. A loan against property, being long term in nature, incurs lower interest rates.
NBFCS additionally provides Flexi Hybrid features on their mortgage loans. This allows the applicants to withdraw any amount as and when required and pay interest only on the borrowed amount. Thus, this feature reduces the EMIs by almost 45%.

Additional Read: Private Finance against Property- A Guide to Follow


Besides the above, one of the notable loan against property features is minimal documentation required for its approval. Additionally, reliable lending institutions also allow applicants to monitor their loan intricacies via their online customer portal.
These features and benefits not only make a loan against property in Bangalore a viable option but also allow individuals to plan their finances better. So, opt for a loan against property today and eradicate all financial deficiencies in no time.

 PostFunding-Planning

However, individuals must keep a few points in mind before applying for a loan against property in Pune.

  • Keeping Property as Collateral

Borrowers have to keep their property as security with the lending institution to avail this loan. This feature also reduces interest rates making it easier for the applicant to save more.

However, applicants also run the risk of losing their mortgage in case of default. So, they must ensure to assess their repayment abilities before applying for a loan against property. Applicants should go for this financing option only if they’re able to make timely repayments in future.

  • Choosing a Convenient Loan Against Property Tenure

A loan against property comes with tenures as long as 18 to 20 years. But, individuals must note that longer tenures mean more interest payments, which might end up making the loan expensive.

Therefore, prospects must opt for these loans with a tenure that is best suited for repayment. Choosing a proper loan against property tenure allows borrowers to repay the debt in properly spaced instalments.

  • Having a high CIBIL Score

An applicant’s CIBIL score is one of the most crucial loan against property eligibility criteria. Prospects must ensure a CIBIL score of at least 750, for smooth processing of their applications.

Plus, high credit rating also has a positive impact on the loan’s interest rates. This is because financing institutions get assured of the borrower’s creditworthiness, owing to their high CIBIL score.

  • Arranging the Documents Required

An applicant should have a clear idea of the loan against property documents required to fasten the process of approval. Lending institutions ask for minimal documentation to make the process quick and hassle-free for customers. Some of the requirements include – aadhaar or pan card, address proof, bank account statements, latest salary slips, income tax returns and property documents.         

Are there any Advantages of a Loan Against Property in Pune?

A loan against property has considerable advantages to it:

  • Applicants can opt for a top-up on such loans.
  • Such loans also have the balance transfer facility. Meaning, borrowers can opt for switching their credits from one institution to another and enjoy lower interest rates.

Therefore, if individuals are sure of their creditworthiness and repayment abilities, they can opt for a Loan Against Property India. But first, they must clear all possible doubts that they might have concerning these loans and know the various loan against property features a lender is offering.

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