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20 APRIL, 2022
Sometimes, however hard you work, your savings can fall short to meet certain crucial financial goals. These could be your child’s education, marriage expenses, starting a new business or tackling any sudden emergency. In such circumstances, a loan against property can prove to be useful in providing you with the necessary funds. A loan against property is a secured loan wherein you can borrow money from banks or financial institutions by providing your property as collateral. You can mortgage a commercial or residential building, land or a house, a self-occupied or a vacant property.
Your eligibility for the loan and the eligible amount depends upon several factors like your creditworthiness i.e., your credit score, the value of your property, your income and ability to repay your loans, etc. Your eligibility criteria are also based on whether you are a salaried individual or a self-employed applicant.
Following are the eligibility criteria that you need to fulfil to get a loan against property.
Eligibility criteria of loan against property for salaried individuals:
Eligibility criteria of loan against property for self-employed individuals:
What are the documents that you need to furnish with the application form?
In addition to the above-mentioned eligibility criteria, you might also need to furnish documents like:
Factors affecting loan terms:
The loan against property interest rate, tenure, and the amount of loan, depends on various factors like -
Fulfilling the eligibility of a loan against property is probably the most crucial step to avail one. Before processing your application, lenders want to ensure that you are eligible for the loan. If you are ineligible, they can reject the loan application. Therefore, it is vital to check the eligibility before applying for a loan against property.
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