Tips & Advice on Understanding Loan Against Property

Loan against property is a type of secured loan wherein you pledge your residential or commercial property as collateral to a financial institution in exchange for a loan. It can help an individual take care of their financial needs and higher the value of the collateral, higher the amount that will be sanctioned. As long as the property is in your name, you can get a loan. In case the property to be offered as collateral is disputed, the chances for the application being rejected is high.

How To Avail A Loan Against Property On Low Interest Rates

A loan against property in India is a feasible financing option to meet big-ticket expenses like your children’s education, acquisition of a second home, business expansion and the like. Since it is a secured loan, lenders sanction it on lower interest rates as compared to an unsecured loan. However, you can further negotiate with the lender to secure a competitive loan against property interest rates based on certain factors.