Often times people need more money that they have. Rather than requesting your friends and relatives, it is far more easy to get a loan from bank.
Whether you need money for a new business or to arrange your child’s wedding, asking from your loved ones does not come easy. Not only it makes things awkward, it is best to keep money matters away from relationships. Getting a loan against property is one of the safest options as long as you have a capability to repay the same. We Indians are well known for our repaying instincts if we have borrowed anything from anyone, this is why it is so easy for Indian to get a loan from the banks. But before you go ahead and take a loan against property in Gurgaon, here is all that you need to know about it:
What it is
A loan against property simply means that your bank gives you money when you keep a property or a fixed asset as a collateral. The property can be a house, an apartment or merely a piece of land. You get the loan amount corresponding to the value of said property. To know more about eligibility, you can take an online home loan eligibility check.
What can it be used for?
There are various uses of money you get from loan against property. It can be used to build a new house or extend or repair an existing one. It can also be used for a medical emergency, as an education loan or for an upcoming family function. Basically, you can get the loan for any purpose as long as you repay it.
Eligibility criteria for getting loan against property
Getting this loan is not very difficult as long as you are eligible for the same. The criteria of eligibility differ from bank to bank but there are some common factors which are checked by every lender before giving you a loan. Your pending debt obligations, take home salary and savings are thoroughly checked. Maximum loan for salaried employees depends on their take home salary and debt to income ratio. The next step is estimating the value of property to ensure it can be mortgaged. Another aspect is your repayment history for loans and credit card bills of the past.
Yet, a loan against property is considered to be one of the best and safest ways to get a loan in India. But it is important to make sure that in case you are unable to repay the same, the property mortgaged will be taken over by the bank. Hence, it is important that you take repayment very seriously.