This is a process, wherein a secured loan is provided against the mortgage of the property with a lesser interest and longer repayment option. The loan against property can be used for various purposes such as a business expansion, a wedding, investment in a commercial property or any other greater priority.
| Sl | Feature | Advantages | Disadvantages |
|---|---|---|---|
| 1 | Secured Loan | Competitive Rate of Interest | Property Documents should be with approvals |
| 2 | Obligation | Repayment can be extended to 15 years. | Stricter Income Norms |
| 3 | Interest | Lower EMI compared to other loans | Valuation will be done less than market value |
| 4 | Maturity | ||
| 5 | Restrictive Covenants |