If you are freelancer, you are the boss of your own. You are basically setting up your business. A freelancing can be on writing, photography, designing or anything else. You may face the biggest challenge while funding to expand your business. For instance, if you’re a photographer looking to buy a studio, you will need funding.
You can always apply for a business loan,to fund your business needs, but it can be tedious if you are a freelancer. Lenders generally approve business loans to established businesses and think it risky to lend to freelancers. Freelancers are considered as a sole proprietor with no protection against liabilities.
Thus, as a freelancer, you can apply for a mortgage loan. If you have a property, you can keep that property as collateral and mortgage with the lender and get a loan against it. If you are ready to keep the property as mortgage, then there is no doubt that you will not get loan approval. Moreover, the rate of interest of such loans are pretty lower than that of a business loan. Other benefits that you can avail are:
Higher loan amount up to Rs. 3.5 crores
Lower rate of interest
Quick approval to the loan within 1-2 days
Additional Read: Things Self-Employed People Must Consider Before Applying for a Mortgage Loan
You just need to submit a few necessary documents such as identity proof of the borrower, address proof of the borrower, bank statements, income tax returns, Certified financial statements and property documents, to get the loan approval for your freelancing.
To know the other factors, read:
How to Fund your Freelance Business with a Loan Against Property
