Buying a home of their own is every humans’ dream. However, how do they prepare for this endeavour, especially in terms of finance, is completely up to them. We all know buying a home can be an expensive task and would require nothing less than a fortune. Some choose a simple home loan, some save a bit of their income every month and buy a house using it. However, there are people who would like to take a home loan but wouldn’t want to risk losing their property in case of non-repayment of loan. Thus, they go for a loan against property to finance the purchase of their new homes.
Loan against property is a credit scheme which allows people to mortgage their pre-owned residential or commercial property and avail a loan against it. The loan so borrowed comes with end-usage flexibility and hence, can be used for multiple things. However, if you are to use this facility for purchasing your first home; below are some things you need to keep in mind.
The eligibility for loan against property:-
You must be aged between 33 and 58 years
You must be an Indian resident
You must own a property in the cities mentioned in the list of approved cities by Bajaj Finserv
You must be an employee in a private company, the public sector, or an MNC
The documentation required for loan against property
3 months’ bank account statements
Identity proof such as PAN card, Aadhaar card
Address proof such as election card, driving license
Copies of property documents to be pledged
Income tax returns
You can apply online using the online application facility on the lenders’ website.