Whether you are willing to apply for a home property mortgage loan to meet your expenditure for marriage, healthcare or education, this fund comes really handy for a wide variety of speculative purposes. The rate of interest is generally dependent on the amount you have borrowed and the time span. Though the advantages one can reap by obtaining a mortgage loan is numerous, there are people who tend to stay away from those. One of the main reasons being there are few queries that crop up in one’s mind when we talk about property mortgage loan.
Availing Home Property Mortgage Loan Funding In India? Your Common Queries Has Been Answered
“How Does It Differ From Home Loan?”
Though they sound similar, the funding options are totally different. The mortgage is a type of loan in which your home property is used as collateral. You will be entering into an agreement with the loan provider under which you will have to repay the borrowed amount in small installments within the specified time period. You can use the amount for a wide variety of purposes. The Home Loan is the amount you borrow only to buy a property.
“Do I Need To Specify The Purpose?”
Irrespective of you applying for the loan through any banking or non-banking institution, specifying the purpose for which you have applied for the loan won’t be necessary. All you need to do is provide them an undertaking that the amount won’t be used for any illegal purposes. Though there are few banks who might ask you to specify the purpose, it is generally dependent on the loan amount.
“Are There Any Taxation Aspects?”
If any salaried person is applying for the fund, they don’t need to pay any amount as tax incentive on the EMI. But if you are a businessman, claiming the tax deduction on the total loan amount isn’t a daunting task if you can prove your loan provider than the amount has solely been used to enhance your business.
“Can I Pre-Pay The Amount?”
If you are availing home property mortgage loan funding in India you can re-pay the amount before the scheduled time span. According to the recent RBI (Reserve Bank of India) directive, it is illegal for commercial banks to demand any amount as foreclosure charge on floating rate term loans sanctioned to individual borrowers.
“What Is The Maximum Amount I Can Borrow?”
There is no fixed quantum for such loans but around 70% of the market value of the collateral property is treated as the sanctioned amount. The other criterion which determines the loan amount is job stability, income, investment, spouse’s heath condition, your age, and number of dependents, among others.
Resolving the queries surrounding home property mortgage loan is a must so that every Indian can make the most of the funding. So apply for your mortgage loan at www.bazaarmoney.com/home-property-mortgage-loan-funding-india.php