Loan Against Property: Smartest Financing Option

At times when the borrower is hard-pressed on cash loan against property can be a wise option to consider. As it offers benefits both to the lender and the borrower. In the sense, that you get to liquify your fixed assets easily. While, lenders receive security in terms of the loan such as your property and do not have to worry about creditworthiness of the borrower. Considering the Loan Against Property Interest Rates, the smartest financing option could be regarded as Loan Against Property.

If you are considering to opt for mortgage loan here are important things you must know about.

#1 Once the loan amount is deposited to your bank account you do not have to disclose its usage to the lender. Hence, the loan can be diverted to personal and business financial obligations. These include wedding, travel, business expansion, purchase of machinery for business use and much more.

#2 Loan against property is a secured loan. This is because you pledge your property as collateral/ security/ guarantee towards the loan. In a way, it benefits the lender too as they can trust you easily and offer preferable loan amount.

#3 Talking about loan amount lenders usually offer up to 70-80% of the value of your property as loan. You can avail high-value loan of up to Rs. 3.5 crores.

#4 Lenders such as NBFCs understand your loan use and thus offer up to 2-20 years flexibility in period to pay it off. You can choose to even part-prepay or prepay your loan at minimal charges.

#5 Flexi Hybrid feature is a unique facility offered by lenders on this loan. It allows you to utilize just the amount needed from the loan sanctioned. While, it charges interest on the amount utilized on a daily basis. This helps to lower your EMIs by up to 45% and easily pay off the loan.

Also Read here to know more:- Ease Your Finances With Loan Against Property