Loan Against Property Delhi
In case you do own a property and need to take a loan for financing your business or for other personal needs, it would be advisable to consider loan against property as a viable option. It is a secured loan as you are offering property you own as collateral against the loan and it lets you get higher loan amount and lower EMIs along with several advantages.
Things to Keep in Mind While Opting for Loan Against Property:
However, there are certain points to ponder over before going in for a loan against property in Delhi, for instance.
1. The first thing to consider is the very purpose of taking a loan. You need to make sure that you are not going to use the loan amount as some kind of risk capital, which would not be recommended, as it might potentially hamper your ability to repay the loan as stipulated. Instead, if the amount is used for financing a business activity or for personal needs it would be much better. As a matter of fact, personal loan does not offer the kind of attractive interest rates and features that any loan against property would. This is one of the primary reasons why you can prefer to opt for loan against property instead of going in for a personal loan.
2. Repayment options must be considered beforehand to make sure that you can repay the loan as stipulated. No doubt, the bank would also evaluate your worth beforehand based on a host of factors including your age, income, existing liabilities and of course, your credit history. However, it is always better to take into account any future plans which might affect your course of career and influence in any way your income and repayment capabilities.
3. Usually, taking a number of loans beyond the capability to manage them is one of the reasons why borrowers find it difficult to manage their loans at a later stage. The same holds true for loan against property as well. However, what makes it especially relevant is the fact that your property is at stake here, being used as collateral, so it goes completely against your interests to accumulate credit beyond your abilities to manage it. It can lead to liquidation of property if you default on your loan repayment. On top of that, what you need to realize is that such things cannot remain hidden for long and would show up in your credit history to future lenders, thus reducing your chances of getting any more credit.
4. Where you live might affect your chances of getting attractive interest rates and other features on your loan. For instance, if you are looking for loan against property in Delhi, the interest rates offered by banks could differ from those in other metro cities. This difference needs to be kept in mind while looking for a suitable loan option which would affect the final outcome.
| Banks | Interest Rates | Processing fees |
| HDFC |
9.50% to 10.50% | Maximum of 1% of loan amount |
| SBI |
10.35% - 11.05% | Flat Rs. 10,000/- plus applicable GST |
| ICICI Bank |
9.75% - 10.90% | 1.00 % + AT* |
| Axis Bank |
9.90% - 10.35% | 1% or Rs 10,000 (whichever is higher) |
5. Do not forget to compare several options offered by banks before making any final decision. It would be prudent to make use of several online tools available for finding out your loan eligibility and comparing available loan options for interest rates and other features and consider more detailed factors as well. One of the most important things to remember is that you should not choose solely based on interest rates and study finer aspects of the loan agreement as well which would serve you well in the longer term. Here is a list of major bank branches in Delhi which you might contact for gaining more information on loan against property in Delhi. List of Major Bank Branches in Delhi for Property Loans:
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