People plan for various things to upgrade their lifestyle needs such as getting the home renovated, sending your children for higher studies abroad, or financing their business so as to take it to the next level. You need to be very strong in your personal finance or you need to make financial arrangement for all. It’s often the fund availability that acts as a hurdle to fulfill their goals.
If you approach a traditional finance they will give you money at exorbitant interest rates, lesser repayment time. Secondly taking financial help from your family or friends would always keep a fear of a rift in the relation.
But one of the safest and most convenient ways to arrange finances is taking a mortgage loan from banks or private finances. You can go for the loan on property by pledging property as security.
Loan against property is one of the most convenient types of loans available in the markets. It can help you meet funds for various needs and comes with several benefits.
Some key benefits of taking a loan against property:
Good for availing higher amounts
This loan proves a good move when you take for higher amounts. The average interest rates, processing fees, and other charges incurred are relatively lesser compared to small amounts. Also, you get plenty of time for around 10-12 years towards loan repayments.
Lower Interest Rate
Leading banks and private finance companies have cut down the interest rates as low as 9.60 % – 11.60% with a processing fee of mere 1.5% of loan amount or Rs 4500 whichever is higher, plus applicable taxes. A good credit score and proper income source often help us get a fair deal. You can approach banks and finance companies to negotiate for better rates.
When you take a loan for longer tenure it will lower down your monthly installments. You can plan your finances accordingly and see through it that the amount is kept aside for timely payments.
Good debt consolidation tool
By taking loan on property you can combine several unsecured debts such as credit cards, medical bills, personal loans, etc. under one single bill. Instead of signing off several cheques and incurring different fees which proves expensive you can consolidate bills into one payment. Also, it eliminates mistakes that result in penalties due to an incorrect amount or late payments.
Funds for several purposes
Right from business expansion to children higher studies, starting a café to foreign trip all your dreams can be fulfilled through a loan on property. The extremely low-interest rates, flexible repayment options with ample tenure for loan repayment make them the most suitable borrowing finance options.
Every bank has a different form of processing fee. For a better understanding of documentation & fee charges, you can always visit the relevant site, discuss with the online chat team and make sure the mandatory document are handy for speedier approvals.
Loan on property is a blessing in disguise for millions who struggle to arrange money to fulfill their family dreams, medical emergencies or other priorities in life. It helps to get access to the large corpus in a short span of time. There are mortgage calculators as well that will help you plan your repayments in a very efficient manner. You can stay prepared with the monthly EMI’s, interest rates incurred and ways to save money on easy loan repayments.