Now get a loan as per your needs. A multipurpose Mortgage loans lets you fulfil your requirement for funds meeting expenditure on education, marriage, healthcare etc.

  1. Loan against Property commonly known as Mortgage loan is obtained by mortgaging the prime properties with the lending institution. The value of an asset or property should be enough to qualify the sanction of the loan amount which is generally 60% of realizable market value of the property and assessed based on the repayment capacity of the borrower.
  2. Loan against Property (Mortgage loan) is opted for when the amount required cannot be raised by means of unsecured loans/ amount required for increasing capex and net working capital to improve current ratio and for personal need. The repayment period generally varies from bank to bank. Generally the properties having appreciating value in market are considered good for mortgage Loan like non agriculture Land, Residential or commercial premises etc.
  3. The lending institutions follow the procedure of valuation of the property to acertain it's realizable market value from their approved valuer and the ownership by obtaining search and title clearance report from their empanelled advocate. The borrower cannot mortgage the property not owned by him or her. In that case the owner of the said property can be a co-borrower or guarantor but he will also have liability towards repayment of the loan. This mortgaged property may be sold by the lending institute by obtaining decree from the court/DRT or under Sarfaesi Act in case a borrower fails to pay the loan.
  4. The interest rates are higher than Home Loan but cheaper than Personal Loans. The rate of interest ranges between 11.5% p.a. to 14.5% p.a. depending on quantum of loan and financing institution.
  5. facilitate it's customer to avail the loan against property within the shortest time and at most competitive rate of interest from Banks/FI/NBFCs.

Documents required for applying for loan against property (MORTGAGE LOAN) are same to those for home loans there are some additional documents for loan against property. List of documents for loan against property are as follows.

PRE SANCTION DOCUMENTS for Loan against property / Mortgage loan :

  1. Pan Card is Mandatory.
  2. For proof of Identity : Pan Card/ Passport/ Voting I Card/ Driving license.
  3. Age Proof : Pan Card/ Passport/ Driving License.
  4. Residence Proof : Electricity bill/ Passport/ Telephone bill.
  5. Income documents for :
    • Self employed -- 3 yrs Income Tax Returns.
    • Salaried --- Form 16 for last 3 yrs & Salary certificate for previous three months.
  6. Copy of bank statement for previous six months, reflecting salary or the regular business transactions.
  7. Basic criteria.. Minimum two years service for salaried class borrowers as a permanent employee and minimum two years of earning profit for self employed person
  8. 4 Photos
  9. Valuation and title search report of the property.

POST SANCTION DOCUMENTS For Loan Against Property / Mortgage Loan :

  1. Post Dated Cheques (PDCs) or ECS Mandate form or Standing Instruction Request.

This are following steps taken by banks during process of loan.

  1. Application form in prescribed format
  2. Personal Discussion by bank officer with customer is mandatory
  3. Bank's Field Investigation (All documents are Verified by bank which are given with application form)
  4. Bank check CIBIL report as an standard practice.
  5. Appraisal of the proposal by the bank.
  6. Sanction of the proposal and issuance of sanction letter followed by acceptance of Sanction Letter by the borrower.
  7. Signing or execution of documents and mortgage of property and submission of post-dated cheques.
  8. Disbursement of loan.