Typically, individuals can avail a mortgage loan against their immovable assets, residential property or commercial property. The attractive features and associated benefits of this loan make it a preferred funding option among borrowers.
Features and benefits -
High loan amount
Individuals can avail a high loan value that is usually up to 80% of the property’s current market value. Additionally, the rate of interest accompanying a mortgage advance is relatively lower than several other credit options.
Swift disbursal process
Select financial institutions also require minimal documents for a home mortgage loan, which helps to complete the verification process within 3-4 days. As a result, applicants experience quick disbursal of this advance to meet their requirements at the earliest.
Typically, a loan against property comes with a tenor ranging between 2 and 20 years. This offers individuals the flexibility in choosing a loan tenor that facilitates easy repayment. Individuals can also use a bajaj mortgage loan calculator to pick a suitable loan tenor and plan repayment more conveniently.
Balance transfer facility
Certain financial institutions also offer loan balance transfer facilities at attractive terms. Individuals can make the most of such a facility and lower their loan burden quickly. Also, some financial institutions provide a top-up loan facility to borrowers along with this refinancing option.
Leading financial institutions are transparent when it comes to levying additional charges. They also levy zero to nominal charges on part-prepayment or foreclosure facilities and help borrowers to pay off their debt early.
Other than these, zero restriction on the end-use and simple application process also act in favor of a mortgage loan. Regardless, individuals must weigh both the pros and cons of a credit option before applying for it.