*Disclaimer: Excluding Saturday, Sunday and public holidays. Subject to complying of terms and conditions herein, and completing the process.
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.
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.
The maximum loan borrowers can get in LAP is 80% of their property’s current price. So do evaluate the same before applying for a loan against your property. This way, you get the idea of what is the maximum loan the bank can offer you in a LAP. And knowing the maximum loan amount helps you manage the finances better for the purpose you are taking the loan.
Loan against property is available to both salaried and self-employed individuals. So if you don’t have a regular job but earn a handsome income to repay the loan, submit income proof. By submitting income proof, you can assure the bank that you are capable of paying back the borrowed amount even if you don’t have a regular job. For income proof, submit Form 16, bank statements, and income tax returns.
You can borrow up to 90% (upto 80% for original loan between Rs. 20-75 Lacs, & 75% for original loan above Rs. 75 Lacs) of the cost of the property in case of Home Loan Balance Transfer.