LOAN TO BY PLOT

Land Loans: What WE Should Know,

Are you considering the idea of buying a piece of land in Bangalore? Whether it's for investment or building your home, owning a piece of land guarantees your future.
With options to obtain loans easily from banks and financial institutions, you should not continue to postpone the idea of buying land. Because real estate prices in Bangalore are rising. If you are late, you may end up buying the same land for a higher cost in a year or two.
In this publication, we will help you understand everything about mortgage loans. So you can make an informed decision while applying for a land loan.

What is a land loan?
Most mortgages are referred to as home loans. However, both are completely different.
Simply put, land loans or loans are offered to purchase a piece of non-agricultural land for residential / commercial purposes. The mass of land you buy will fall under the boundaries of local government / municipal authorities.
Basically, when you apply for a land loan, you have two options to choose from. One is a compound loan, the other is a land loan.

Learn the difference between overall debt and land loans:Composite loans are land loans that come with a block, which guarantee you to build a building within a particular period. Generally, the time limit is two years, but there are financial institutions that offer to set the time of five years to begin construction.The overall credit will actually cover construction costs too.On the other hand, land loans cover only the cost of the conspiracy that you are buying. Unlike overall debt, this will give you the option of applying for construction loans in the future.








Eligibility Criteria for Land Loans:
 To repay the loan, your repayment capacity for banks and financial institutions is the most important concern. Therefore, if you meet the following criteria then you will be considered eligible only:For Salaried Persons:• Minimum wage should be Rs. 20,000 / -• However, if your salary is less than US $ 20,000, and if you have an additional income, then the bank may consider it.• Your CIBIL score (minimum 750 points) should be good, and it will be checked for the latest seven years• The maximum EMI you can pay is 50% of your monthly salary

 For Self-employed:• Minimum annual income should be Rs 3-4 lakhs• The maximum EMI you can pay is 50% of your average monthly income.
 Mandatory documents for land loan:While applying for land land, it is necessary to produce the following documents below:• Age proof (voter ID, PAN card, birth certificate, 10th mark sheet)• Income proof of applicant and co-applicant• Address proof (basic card, voter identity, driving license, basic receipts of electricity bill, phone bill, or gas bill)• Passport photographs of the applicant and co-applicant• Signature of the applicant and co-applicant• Relationship between your husband or father (child birth certificate, marriage certificate, no ID proof for establishing relations)• Passport• 6-12 months bank statement• Qualification proof (although not mandatory)If you have any other loan, then you have to submit the following document:• Old credit repayment track record• Proof of closed loan, if anyFor Salaried Persons:• Latest slip for the three to six months• If you have increased in the last 3 months, you need to submit an increase note. And if you change your company, you need to submit a proposal letter and relieve the letter.• Latest 2-year Form 16 and Form 26 AS
 For Self-employed:• Audited financial statement copy and balance sheet in last 2 years.• Partnership Work or Memorandum of Understanding / Association of Art• Income Tax Assessment Order (ITR)Understand your EMI
 One of the common questions asked by our prospects on Sizzle Properties is 'How much should I pay EMI?'This is primarily because everyone is worried whether they can pay monthly installments without teeth whitening in their monthly budget. And if they think that the EMI is in its budget, then generally they proceed and apply for land loans.Now, without getting much technical, we will give you a reasonable idea about the EMI which you need to pay for land loan.Almost (approximately), the EMI will be 1% of the loan amount.For example, if you take a loan for 1 lakh, your EMI will be 1000 rupees per month. EMI loan varies depending on the tenure. Normally there is a decrease in rates with increase in the tenure, but your interest rates will increase.

 We hope this information will help you make your decision-making process easier and quicker during the purchase of conspiracies. If you need more explanation about the loan for your property, please leave a comment below, and we will try our best to resolve your questions.
   And if you think this post will help someone, please do not hesitate to share it with you. 

” All content provided on this  blog is for informational purposes only. The owner of this blog makes no representations as to the accuracy or completeness of any information on this site or found by following any link on this site. “