What Steps are Involved When you Acquire a Mortgage Loan in India?

Process of availing of the mortgage loan in India 

 Here is a post to go through

1. The pre-approval stage 

This is the first step before you apply for a loan against property. Now, you need to have a robust CIBIL score to secure the loan faster and at a lower rate. The lender pulls your credit score before considering you for a loan. The lender will know how much it can sanction you. You should maintain a credit score of 750 or more. You can do that by paying your loan EMIs and other bills on time. 

2. Getting an estimate of your mortgaged property 

Since the mortgage loan in India is given on the worth of the mortgaged asset, you need to get an estimation done. An older construction would be worth much less as compared to newer construction. Also, if the property is not centrally located, it may not let you get a large loan amount. Hence, getting an estimate of your asset is a must. 

3. The loan application 

The loan application will involve meeting your lender’s eligibility criteria. It also involves submitting the required documents. As a borrower, you can check out all such conditions on your lender’s site earlier and prepare accordingly. This can help you to avoid the possibility of loan rejection.

4. The mortgage loan processing 

Now, the processing of your mortgage loan in India will take place. If your creditworthiness is higher and you meet all terms, lenders may sanction your request. The inspection of your property will also be done by a lender’s representative to estimate its final value. 

5. The loan underwriting 

After the loan processing, your lender will review everything. And then, it will decide whether to approve or reject your application. Your documents may also be scrutinized to ensure that the loan is sanctioned to a genuine borrower. 

6. The loan agreement signing and funds disbursal

If your mortgage loan application is approved, you need to sign the loan agreement. Once you do that, your approved loan amount will be credited into your bank account. 

The mortgage loan process is now revealed to you. It is a standard procedure and may differ from creditors to creditors.