Loan Against Residential Property

How to Avail Loan Against Residential Property?

October 21, 2022 • 4527 views

Oftentimes, to receive something, you need to let go of something but that’s not the case with Loan against property (LAP). While you offer the property as a collateral for the loan you continue to be the owner as well as use the property while your loan is getting serviced. So with LAP you can avail of a Loan Against Residential your Property and also fulfil your financial requirements without letting go of the ownership or possession of the property. 
So, if you require financial assistance and want to know more about Loan Against Property, plot mortgage loans, the various benefits of LAP, and how to avail of this loan, you’ve come to the right place!

What is Loan Against Reasidential Property?

A Loan Against Property/loan against residential plots, or mortgage loan is a financial instrument that enables you to utilise the value of your property by putting it up as collateral to receive funds from a lending institution. It is a secured loan that provides substantial funding or loan against residential property, which can be repaid over a flexible tenure. Some non-banking financial companies (NBFCs) like Poonawalla Fincorp offer LAP with a repayment tenure of up to 15 years.

Let us check out the various features and benefits of a Loan Against Residential Property or plot.

Loan Against Residential Property; Features & Benefits

Higher LTV on Market Value

You can receive a higher loan-to-value ratio (LTV) on the market value of your property, which means a higher amount to fund your needs.

Quick and Easy Loan Processing

Unlike most lenders, applying for a Loan Against Property with Poonawalla Fincorp is not just quick but hassle-free as well. If you meet the basic eligibility criteria and provide the correct documents, your loan processing experience will be very smooth.

Minimum Documentation

Gone are the days of long queues and endless paperwork. A simple online application for Loan Against Property involves only basic documents, saving you precious time and energy.

Competitive Interest Rates

Always go for lenders who offer competitive interest rates and charges on your Loan Against Property. This will further ensure that you have budget friendly EMIs to pay against your loan without affecting your overall financial goals.

Transparent Processing  

A transparent loan processing experience builds a sense of trust and reassurance. Every charge during the process is swiftly communicated to the customer during each stage – from application to disbursement, ensuring there are no hidden fees involved.

Longer Tenure  

Loan repayment becomes easier when you are afforded a sense of flexibility on its tenure. You can receive a maximum repayment tenure of up to 15 years to pay back your Loan Against Residential Property without any hassle.

Foreclosure Charges

You can now foreclose your loan well in advance without incurring any high charges. Lenders levy a nominal foreclosure charge on the outstanding principal amount of your loan.

How Do I Get a Loan Against Residential Property?

To avail of a Loan Against Residential Property, you need to go through the following steps. Let’s get started!

First, make sure that you fall under any of these three categories, which are

  • Salaried individuals working with LLP,  private limited, public limited companies
  • Proprietor, Partner, Director; Self-employed professionals like Chartered Accountants, Company Secretaries, and Doctors
  • Partnership or private limited companies engaged in manufacturing, servicing, or trading

Eligibility Criteria for Loan Against Residential Property

The basic eligibility criteria to avail of a Loan Against Property include

Age

The minimum age for salaried and self-employed individuals as well as a proprietor / key partner / key director is 22 years at the time of loan application. Salaried individuals should be a maximum of 60 years while self-employed individuals and proprietors should be a maximum of 75 years of age at loan maturity.

Work Experience or Business Vintage

Salaried individuals should have 3 years of total experience and 1 year with their current employer. Self-employed professionals should be in the same business/profession for the last 3 years. Companies should have at least 3 years of business vintage.

Income

The net monthly take-home salary for salaried individuals should be at least Rs. 25,000. For self-employed individuals, their gross annual income should be a minimum of Rs. 3 Lakh. For companies, their annual turnover should be a minimum of Rs. 10 Lakh.

Citizenship

All key stakeholders should have Indian citizenship.

Also read: Advantages of Loan Against Property

Steps to Apply for a Loan Against Property with Poonawalla Fincorp

  • Step 1: Click on the ‘Apply Now’ button on Poonawalla Fincorp’s website
  • Step 2: Enter basic KYC details and upload all the required documents
  • Step 3: Await the assessment and verification of your loan application
  • Step 4: Receive confirmation
  • Step 5: Approve the loan offer and authorise its disbursal

Conclusion

A Loan Against Residential Property can prove to be the most worthwhile financial decision of your life, allowing you to fulfil your immediate or long-term requirements while paying it off at a relaxed pace.

Disclaimer

We take utmost care to provide information based on internal data and reliable sources. However, this article and associated web pages provide generic information for reference purposes only. Readers must make an informed decision by reviewing the products offered and the terms and conditions. Loan Against Property disbursal is at the sole discretion of Poonawalla Fincorp.
*Terms and Conditions apply

poonawalla fincorp team

Poonawalla Fincorp Team

We are a team of expert writers and editors passionate about providing our readers with authentic and valuable information on finance. Our aim is to simplify financial and finance-related concepts. We strive to help our readers become more aware and empowered to make informed financial decisions.

Trending Topics



Contact Us logo Quick Apply CIBIL Score logo Free CIBIL Whatsapp logo Connect on WhatsApp