Thinking of leveraging your property for a loan? Mortgage loans are a powerful financial tool for individuals needing large funds for business expansion, education, or emergencies. However, understanding the process, eligibility, and best practices is key to getting the right deal.
What is a Mortgage Loan?
A mortgage loan (loan against property) allows you to borrow money by pledging your residential or commercial property as security. You still retain ownership and usage rights, while accessing high loan amounts.
Who Can Apply?
- Salaried and self-employed individuals
- Must own clear-title residential or commercial property
- Stable income and good repayment history
Key Documents Required:
- Property documents (title deed, NOC, tax receipts)
- Income proof (ITR, salary slips)
- KYC documents (Aadhaar, PAN)
Pro Tips:
- Choose fixed or floating interest rates based on your risk tolerance.
- Avoid over-borrowing; use EMIs that are less than 40% of your monthly income.
- Check for foreclosure charges and prepayment flexibility.
