Property Loan: Mortgage Loan big changes; Here are the important points

Some point, we need to borrow money to maintain our lives. Whether we buy a property, build a house, buy a car, we take a loan. Now if you keep some Good Credit Score it is very easy to get a loan. Property Loan: Mortgage Loan big changes; Here are the important points.

Interest rates are also lower now per month with private financiers. Now there is no concept of getting loan at 5 to 10 percent interest. Now the interest rate for mortgage loans (Loan against Property) is very low. Since the mortgage loan is a secured loan, you can get the loan very quickly. There will also be tax rebate etc. facility.

A mortgage loan is a loan secured by your ownership of gold, house property etc. The interest rate is very low and tax concessions are also available for home loan secured by property.

Keep these points in mind before getting a loan:

• If you have paid regular instalments on your previous loans and have a good credit score, getting a new loan is very easy. The loan is waiting for your approval.

• If you have been disciplined in defaulting on old loan instalments, the interest rate may be higher. Loan approval may be delayed.

• 70% of the money will be loaned to you by the bank. This amount may fluctuate based on your credit history of the total value of the property you are pledging. However, you can usually estimate in advance how much you can borrow.

• In case of home loan, the instalments are generally available for 20 years. But remember, the higher the instalments, the higher the interest amount. It is better to opt for lower instalments if you can.

• You can pay off the loan early if you want. You may have to pay some money for it. If the loan is taken on floating interest, there is no need to pay pre-closure fee. Floating interest here means that whenever the bank changes the interest rate frequently, it will be applicable to your loan. In non-floating interest, the interest does not change from start to finish.

Also Read: KGF Star Yash New Film: Yash asked for more time to wait for new film

• In the current market condition, the annual interest rate for mortgage loan is 9 to 13 percent. If your property, credit score, and income are all right then you can get loan at very low interest rate. If you get a loan of Rs 15 lakh at an interest rate of 9.5, you will have to pay Rs 25,000 per month in installments for seven years. The above is not an exact figure, just an estimate.