What is the validity period of an Encumbrance Certificate (EC)?

The validity period of an Encumbrance Certificate in Tamil Nadu is typically for the specified period mentioned in the certificate, and it reflects the historical transactions up to that date.

Can the full value of the property be taken as a loan?

Only 80% of the property value can be taken as a loan from the bank. The lender evaluates the property’s current price before deciding your loan limit. And based on that, you will get a loan against your property. So don’t approach a bank for a loan against property in a myth that you’ll get 100% value of your property as a loan.

Where can I obtain an Encumbrance Certificate in Tamil Nadu?

Encumbrance Certificates can be obtained online through the TNREGINET portal, the official Tamil Nadu Government website for online registration.

Is There Any Restriction on Loan Again Property utilization?

Banks don’t levy any restrictions on loan usage for borrowers. It means they can use the loan for whatever purpose they want; the lender won’t track its usage. A loan against property is a secured loan in which the borrower pledges the residential and commercial property to get a lump sum amount.