How to Get a Loan Against Property Without Difficulty

Posted on Sunday, December 3rd, 2023 | By IndusInd Bank

A loan against property offers an excellent way to fund significant expenses such as setting up a business, financing higher education, or paying for unexpected medical expenses. IndusInd Bank offers a loan against property of up to 80% of the value of your property, with flexible tenures of up to 20 years. Other benefits include competitive interest rates, hassle free  application process, and an overdraft facility.

In a world teeming with loan offerings, choosing the ideal option can sometimes get befuddling. As a property owner, getting a loan against property is a practical way to secure substantial long-term funds for business expansion, education, and any kind of financial emergency. With this secured loan, you get a larger loan amount, get to retain ownership of the said property, and can continue to use it as before.

The Indian loan against property market is forecast to grow at a CAGR of over 14% in value terms, to reach USD857. 87 billion by 2026. This growth forecast is a clear testament to the popularity of such a loan. One of IndusInd Bank’s customer-centric offerings is the loan against property. In this article, we shall look into the key aspects of this loan, and guide you in navigating the process without any difficulty.

What is a Loan Against Property?

Put simply, a loan against property is a financial instrument where you pledge your property as collateral for a loan. The lender – usually a bank or a non-banking financial company (NBFC) – calculates the current market value of that property to ascertain the loan amount they wish to offer. Here are some facts to keep in mind before applying for a loan against property online, or in person:

• You can pledge both residential and commercial properties
• You can borrow up to 60-80% of the property’s market value
• These loans can have a tenure of up to 20 years
• You need to ensure the property you pledge is registered in your name
• You can add a co-applicant to your loan application
• You have the option to foreclose the loan
• An overdraft facility is also available
• If the property to be pledged is owned by more than one individual, all legal owners must apply together
• Factors such as the applicant’s age, credit score, income, and employment status will have a bearing on the loan amount offered by the lender

Expedite Your Loan Approval

1. Ensure You Meet the Eligibility Criteria

IndusInd Bank has a fairly simple loan against property eligibility criteria. The following borrowers are deemed eligible:

• Individuals (salaried and self-employed professionals/non-professionals) /Proprietorship concerns
• Closely held Public Ltd. Companies (not listed on any stock exchange)
• Partnership firms
• Private Ltd. Companies

2. Organise Your Documents

Gather all the necessary documents to ensure a swift verification process. In addition to the application form, you must provide your KYC documents, proof of income, bank statements, and property documents pertaining to the property you wish to offer as collateral.

3. Fill out the Application

Make sure to fill out the application form correctly and submit the requisite documents. Your application will undergo a careful evaluation. Once approved, the loan amount will be disbursed to your account.

4. Methods of applying through IndusInd Bank

1. Apply online by entering customer details (name, mobile & city ) and a bank representative will contact you to help you complete the process.
 2. Call our phone banking number, which is available on the website
 3. Visit your nearest IndusInd Bank branch
 4. Get in touch with your relationship manager for more details

Benefits of a Loan against Property with IndusInd Bank

Get a loan against property with IndusInd Bank and avail of the following benefits:

• Extended repayment period of up to 20 years
• Financial flexibility to use the loan funds for any purpose
• Swift process, with quicker disbursal time
• Doorstep banking services and assistance
• Flexible assessment programs to give maximum loan.
• Overdraft facility- you will be given a credit limit that you can utilise during the loan tenure. Interest is applied only to the amount you use.
• IndusInd Bank offers a loan-to-value LTV ratio of up to 80%, based on the market value of your property.

Make a Smart Financial Decision

When applying for a loan against your property, the bank conducts a series of checks. They will evaluate the property’s value, your ownership status, credit history, income, and existing debts. Meeting the eligibility criteria, maintaining a good credit score, and organising the required documents beforehand can help you expedite the loan process.

Unlock the potential of your property, and fulfill your financial goals with a loan against property from IndusInd Bank. Apply online to enjoy a smooth application process, speedy processing, and quick disbursal.

Disclaimer: The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Hence, you are advised to consult your financial advisor before making any financial decision. IndusInd Bank Limited (IBL) does not influence the views of the author in any way. IBL and the author shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information.