A mortgage loan or loan against property is a secured loan where one can avail funds by pledging their asset as collateral to the lender. The pledged collateral can be a home, shop, or even a piece of land. To streamline the mortgage loan application, an applicant can opt for a mortgage loan calculator. Besides streamlining the application process, there are also additional benefits of using this calculator.
Advantages of using a Mortgage loan calculator
Using a mortgage loan calculator is both time-saving and hassle-free. However, manually calculating the mortgage loan interest rates can lead to errors. With a calculator, you get an exact value.
- Financial planning
With the help of a mortgage loan calculator, an applicant can know all the financial details regarding their loan application beforehand. This will help them plan their financial needs and capabilities accordingly.
- Free of cost
The online LAP EMI calculator comes free of cost. A user can use it for free for their EMI calculation.
The EMI calculator is accurate and provides all information related to your loan query.
What is a mortgage loan?
A mortgage loan or loan against property is a secured loan availed against pleading an asset as collateral. It is offered by several financial institutions and can be availed against commercial or private properties, including lands. The monetary funds from LAP can be utilized to meet several personal requirements like education, travel, etc.
So, before applying for a loan against property, you should conduct a thorough assessment to get maximum benefits.
- Lender assessment –
Before selecting a lender, a prospective borrower should know all the charges added with the LAP. This includes mortgage loan interest rates, statement charges, and others.
- Access the property value –
As the value of property varies with lenders, a borrower should be aware of all the common factors. Apart from that, an idea of how a loan against property is processed can also ease the application.
How to apply for a mortgage loan?
An applicant can follow the steps to apply for a LAP -
Step 1: Prospective borrowers must fill up the application form either online or offline. It is important to fill the application form correctly to avoid rejection.
Step 2: Submit the relevant documents to the lender for assessment.
Step 3: A representative will call and confirm the status of the application.
However, an applicant must check the list of documents needed to apply for loan against property, to avoid rejection. Applicants must note that the documents required for availing a loan against property vary with lenders. Hence, a clear idea of the needed documents comes in handy.
Documents needed for self-employed applicants
- Proof of address.
- Documents of property.
- PAN/Aadhaar card.
- Last 6 months bank account details.
Documents needed for salaried applicants
- Proof of address
- Property of documents to be mortgaged
- PAN/Aadhaar Card
- Most recent salary slips
- Last 3 months bank account details
- IT returns documents.
In India, leading financing institutions provide pre-approved offers to their existing customers. Such offers are available on several financial products like a loan against property, home loan, etc. You can check your pre-approved offer to make your loan application hassle-free. An applicant needs to enter their personal details, such as their name and contact details to avail of these offers.
A mortgage loan or loan against property offers several benefits. Besides providing high-value funds to meet big-ticket expenses, one can avail of tax exemptions from a LAP. Elderly applicants can also opt for a reverse mortgage loan and gain periodic funds against their property.
To compute EMIs, and other financial values, borrowers can use a mortgage loan calculator and estimate their financial capabilities before opting for a loan against property.