Do you want to get a large loan amount at a lower rate?
Do you want to get a considerable loan amount?
If yes, you can apply for a loan against property (LAP loan) and do that. Based on your eligibility and lender’s policies, you can get up to Rs.1 crore.
Read on and know more about the steps to get a loan against property at a lower rate!
What is a loan against property?
A loan against property is a secured debt. And that’s why the loan against property interest rate is offered at a lower rate.
This way, it is possible to repay reduced EMIs to manage outlays without issues.
How to get a lower loan against the property interest rate?
- Go for a shorter tenor
One of the best ways to get a lower loan against property interest rate is opting for a shorter tenor. Going for a shorter tenor means that your EMI amount may increase. But your loan against property interest rate amount will go down.
- Prepayments are a good option
Once you avail of a loan against a property account, you can further lower the rate of interest. And one of the best ways to enjoy a lower loan against property interest rate is by making prepayments.
Once you make prepayments, you will be able to bring down the interest amount. However, you should check if any processing charge is being levied.
- Compare all loans against property interest rate options
Another thing that can help you get a lower loan against the property interest rate is to compare all offers. You can do that on a third-party website free of cost.
Many offers in the market may lure you to go for them. But, you should check out the background of your lender before signing on the dotted line.
- Increase your loan EMI amount
Once you apply for the property loan, your lender may let you go for a tenor between 2 years and 20 years. But, if you want to decrease your loan against the property interest rate amount, you should increase your EMI per month.
This way, your outstanding loan amount may decrease. And once that goes down, your loan against property interest rate will also decrease. In turn, your loan against property EMI amount will also go down, helping you save huge.
- Negotiate with your current lender
Another trick to help you opt for a lower loan against property interest rate is negotiating with your lender. Once done, your loan against the property interest rate amount may decrease. If your lender does not do that, you have another option to do. It’s called a loan against a property balance transfer.
- Transfer your loan against the property account to another lender
One of the best tips to bring down your loan against the property interest rate is transferring your loan amount. It is done via the process of the loan against the property balance transfer.
One of the biggest benefits of a loan against property is a top-up loan. A top-up loan can help you get a considerable amount.
You are free to use the top-up loan amount for anything your need. The top-up loan account comes with a longer tenor and a rate of interest as your ongoing loan.
You are now aware of the tips that can help you enjoy a loan against a property interest rate. If you can implement these tips as per your preferences, you will manage an affordable loan against property interest rates.