Mortgage Loan
What is Mortgage Loan and Why you should Consider It?
A Loan Against Property is exactly what its name suggests – it is a loan where the bank or NBFC (Non-Banking Financial Company) lends you money and holds your property as security until the loan is repaid. Once you repay the loan in full, you get back your property. In case you fail to repay the loan, the lender can attach the property and dispose of it to recover the unpaid dues.
If you require a significant amount of money and own property, then a Loan Against Property is an attractive, and relatively reasonable, credit option to consider. People often view a property as being of value only in bringing in rental income or selling at an appreciated price. It is often overlooked as an asset when raising funds for business or personal expenses. If you require substantial funds, you can unlock the dormant potential of your property and raise funds at a relatively lower cost with this kind of loan.
Features and Benefits of Mortgage Loan
- Comprehensive Solutions for Every Dream House: We have the perfect Loan Against-property solution if you are considering constructing your dream abode. Our versatile offerings cater to all your housing needs, ensuring your dream home becomes a tangible reality.
- Affordability at its Core: Our commitment to making homeownership accessible is reflected in our affordable Loan Against Property, starting as low as ₹5 Lakhs, coupled with competitive interest rates.
- Balance Transfer: Enjoy lower monthly EMIs by transferring your outstanding loan balance to Grihum Housing Finance and ease your financial burden.
- Top-Up Loan: Manage your sudden financial needs with a Top-Up Loan on your existing loan with minimal documentation.
- Competitive interest rates: We offer Loan Against Property at competitive and affordable interest rates, ensuring lower monthly instalments for you.
- Doorstep service: To make your loan experience effortless, our trained and knowledgeable executives are there to assist you whenever you need it your doorstep.
What kinds of properties are eligible?
- Residential properties are eligible, either self-occupied or rented out to a tenant. You cannot avail of a loan against property you do not own and pay rent on. It could be described as a mortgage loan against property owned. You can also avail of a LAP (Loan Against Property) for an empty unused plot of land. You must have a clean title deed, with no encumbrances (like other loans, mortgages, or litigation) that could adversely affect the title.
- Commercial properties can also be used for a mortgage loan against property. Using a commercial property for the loan will also require similarly clean property documentation.
- Industrial Property is the type of Property that has the patent of Inventions, aesthetic creations, Industrial Design, Trademarks, and Service Marks and abides by the other mandatory requirements that affix its existence as Industrial in Nature.
- Open Plot Investors are traditionally inclined towards buying land either purely as an investment or for building a house. So, if you are looking to buy a plot, you may not be eligible for a home loan, but for a land loan. Home loans are available only for the property already constructed, under construction or likely to undergo construction soon. For funding the purchase of a vacant plot, you will have to go for a land loan instead.
Requirements
Loan Amount
5 Lacs to 5 Crores
Age
Min 21 to 60 Years
Emplyoment Status
Self Employed Individuals, Salaried Employees, Business Man
Documents Required
It is necessary to get an accurate list of the required documents directly from your lender, but most lenders will require the following documents:
- Application form. Some lenders allow you to download the form from their website. The application form generally includes your personal information, contact details, details of the property (location etc.), various costs involved in buying property, the loan amount and the tenure sought, and your income details. The cheque for the processing fee is usually submitted with the form.
- Photograph
- Identity Proof (could include passport, election/voter’s ID, permanent driving license, Permanent Account Number (PAN) card or Aadhaar Card
- Address proof ( could include passport, election/voter’s ID, permanent driving license, Society outgoing bill (only from registered societies), electricity/water/telephone bill, Gas bill (pipeline connection only), Property tax bill, Domicile certificate with address issued by Municipal Corporation
- Signature Proof
- Date of Birth Proof
- IT Returns & Balance Sheet & P/L Account statement for the last 2 years.
- Business Continuity Proof for 5 years.
- Bank Account Statements for the last 6 months
- Copy of papers of property to be mortgaged
Note that there could be differences between the income documentation required from salaried employees and others.