HDFC Bank Loan Against Property

HDFC Bank Loan Against Property

For any major requirements such as funds for business plans, higher education or medical treatment etc, getting a loan against property could be a feasible option to manage the situation. Understanding the scenario, HDFC Bank, one of the leading banks in India, allows you to pledge your property to meet the goals or requirements.

Obtaining a HDFC Bank loan against property is simple as the process is quicker and approvals are done faster. With flexible repayments, this loan is preferable and affordable by all.

Key Highlights of HDFC Bank Loan Against Property

What is Loan Against Property?

Introduction to HDFC Bank Loan Against Property

HDFC Bank, one of the leading private banks in India, offers loans against your residential or commercial property. The borrowers can get funds up to 60% value of the property from HDFC Bank loan against property. With customised loan options, HDFC Bank provides competitive interest rates and flexible repayment options.HDFC Bank loan against your home could be the perfect solution for all your financial needs as the approvals are done in 3 days. Door-step services are offered, and the loan processing is done quickly and easily.

Advantages of HDFC Bank Loan Against Property

• Long tenure with small EMIs
• Attractive interest rates
• Hassle-free documentation
• Quick processing
• Loans for both commercial and residential properties

Features of HDFC Bank Loan Against Property

Purpose: The main objective of HDFC Bank loan against property is to provide finance to individuals who have various financials goals and requirements. Both residential and commercial properties are accepted by the bank as collateral.

Loan Amount: The borrowers can get up to Rs.10 crore at attractive interest rates.

Repayment Options: The customers can opt for low EMIs and longer tenure or overdraft facility on HDFC Bank loan against property.

Loan Processing: No hidden charges are levied on processing the loan and all the charges are communicated up front.

Customised Loan: One of the major benefits is that self-employed professionals can get their loans customised based on their needs. This is to facilitate better easy repayment and manage their business as well.

Prepayment charges: No prepayment charges are levied for floating interest rate type and fixed interest rate customers will have to pay 2.5% of outstanding loan amount and it can be done only after six months of taking the loan.

Processing Fee: The customers may have to pay up to 1.50% of the loan amount or INR 4,500 whichever is higher plus applicable taxes as processing fee.

Overdraft Facility: You can avail overdraft facility against property which allows you to use the loan amount up to an approved limit and pay interest only to the amount you have used.

Eligibility Criteria for HDFC Bank Loan Against Property

To apply for a HDFC Bank loan against property, you must be either a self-employed professional or a salaried employee working in a reputed private company or government organisations.

HDFC Bank Loan Against Property Interest Rate 

The borrowers can choose either fixed or floating type of interest rate and the charges differ accordingly.

Fixed Interest Type: For residential properties, the interest rate ranges between 9.50% to 11.50% and for commercial properties, the interest rate ranges between 10% to 11.50%.

Floating Interest Type: For residential properties – 9.60% to 11.60% and for commercial properties – 10.10% t0 11.60%.

HDFC Bank Loan Against Property Balance Transfer

The customers can transfer the loan against property from another bank to HDFC Bank for lower interest rate. This can significantly reduce the loan burden and monthly outgo on EMIs.

Documents Required to get HDFC Bank Loan Against Property

The documentation is easy and hassle free. The following documents are required to get HDFC Bank loan against property along with the application.

For Salaried Individuals

Application form with photograph

Any one of the following as proof of residence

• Aadhar card
• Ration card
• Telephone bill
• Electricity bill
• Voter ID card

Any one of the following as proof of identity

• Voter ID
• Driving Licence
• Aadhar card
• Employer’s ID

Bank statement of last 6 months where you can show your salary or income details

Salary slip of last 6 months

Photocopies of all documents related to the property that you are going to pledge for the loan

From 16 for the past 2 years

For Self-Employed Individuals

Certified financial statement for the previous 3 years

Any one of the following as proof of residence

• Aadhar card
• Ration card
• Telephone bill
• Electricity bill
• Voter ID card

Any one of the following as proof of identity

• Voter ID
• Driving Licence
• Aadhar card
• Employer’s ID

Bank statement of last 6 months where you can show your salary or income details

Salary slip of last 6 months

Photocopies of all documents related to the property that you are going to pledge for the loan

Benefits of HDFC Bank Loan Against Property

Using the funds acquired from HDFC Bank loan against property, you can fulfil your immediate and long-term needs such as business needs, marriage, medical expenses and other personal needs. The repayment is easy as you can get long tenure with small EMIs at attractive interest rates. The documentation is easy and hassle free and processed quickly. With the overdraft facility, the customers can pay interest to the amount you have used. The customers can avail the services from anywhere in India.

How to Apply for HDFC Bank Loan Against Property?

Applying for a HDFC Bank loan against property is simple. You can either apply online or visit a nearby HDFC Bank branch.

Applying Online

You can visit the official website of HDFC Bank and select ‘Apply Now’ option under ‘Loan Against Property’ page. It will be directed to another page where you need to fill up the personal and income details. After completing the application form, you can submit it which will be validated by the lender. A representative from the bank will call you for documentation following which it will be sent for approval.

Home Loan and Credit Score

A good credit score is really the starting point to get the best offers on home loans from all lenders, with a score above 750+ you will be able to get flexible repayment tenor, reduced interest rates and save on monthly EMIs.

You can also check your eligibility for a home loan through CreditMantri and apply for it.

HDFC Bank Loan Against Property FAQ

1. What are that properties that can be considered as collateral for HDFC Bank loan against property?

Self-occupied residential properties and commercial properties such as shops and offices are considered collateral.

2. What is the maximum loan amount I can get from HDFC Bank loan against property?

You can get up to 60% value of the property as the loan amount.

3. Can I pre-close my loan against property account?

Yes, you can. You need to submit a written request to the nearest HDFC Bank branch to close your account. You may have to pay a small fee as penalty while prepaying. However, it differs based on the loan amount and interest type.

4. Can I make part-prepayment on HDFC Bank loan against property?

Yes, you can make part-prepayment and no charges are levied on floating interest type.

5. How can apply for HDFC Bank loan against property?

You can either apply online or visit the nearby HDFC Bank branch or through CreditMantri official website.

6. Will I be charged a penalty for not paying my EMI on HDFC Bank loan against property?

Yes, you will be charged 2% of the EMI amount as penalty.

7. Can I get overdraft facility against my property?

Yes, you can avail overdraft facility against your property as a term loan.

8. What is the interest rate range to avail HDFC Bank loan against property?

The interest rate ranges between 9.50% to 11.60%.

9. What is the processing fee on HDFC Bank loan against property?

The processing fee is up to 1.50% of the loan amount or INR 4500 whichever is higher with applicable taxes.

10. Can I top up the HDFC Bank loan against property?

Yes, you can top up loans under adjustable rate which is linked to HDFC Bank’s retail prime lending rate.

11. Can I get HDFC Bank loan against property without any income proof?

No, you cannot get it without showing income proof.

12. In what cities HDFC Bank loan against home and land available?

HDFC Bank loan against property is available in Kolkata, Mumbai, Bangalore, Kolkata, Pune etc. The loan can be availed after submitting land or home documents to the bank as collateral.

About HDFC Bank

Headquartered in Mumbai, HDFC Bank Limited is an Indian banking and financial services company. Being the largest private sector lender by assets, HDFC has 84,325 employees, 4,727 branches and 12,220 ATMs across 2,666 cities.  It was ranked 69th in 2016 BrandZ Top 100 Most Valuable Global Brands.