How does a mortgage loan work
A mortgage loan is secured in nature. This means, you pledge a property and avail a loan against it. This property is the collateral that is held by the lender until you repay the loan fully. Repayment is made through equated monthly EMIs. Mortgage loan interest rates are lower than the interest rates of unsecured loans due to the presence of collateral, which reduces the lending risk.
In the initial stages, the interest component constitutes a larger part of your EMIs as compared to the principal amount. As you continue through the tenor, the principal component of your EMI increases while the interest value decreases. However, the total EMI value remains constant.
As you continue through the tenor, the principal component of your EMI increases while the interest.
What is the Mortgage loan process?
The mortgage loan process is simple and straightforward. Bajaj Finserv offers you a loan amount of up to Rs. 10.50 crore*, basis your eligibility. For that, you will be asked about information such as your name, contact number and PIN code apart from your employment type, loan type and the loan amount you are seeking. It may take around 24 hours* for a representative to get back to you and guide you further in the mortgage process - which will include property evaluation, document submission and verification.
Other features of mortgage loans
Here’s a look at some of the other features and benefits of a Mortgage Loan
- Higher loan amount
You can avail of loan up to Rs. 10.50 crore* at a lower interest rate.
- Longer repayment tenor
The repayment tenor ranges from up to 15 years, for salaried and for self-employed customers
- Competitive interest rates
Mortgage loan interest rates are lower than the interest rates of unsecured loans
- Minimal documents
You only have to provide few basic documents to avail a mortgage loan. Bajaj Finserv processes the fastest Loans Against Property in just 72 hours* along with loan amount disbursals within 3 days*
- Simple eligibility criteria
Bajaj Finserv offers a loan against property to self-employed and salaried individuals aged 25 years (18 years for non-financial property owners) to 85 years* (including non-financial property owners)
* 85 years* of age or less at the time of loan maturity
Apply for a Bajaj Finserv Mortgage Loan and finance your needs today.
Frequently asked questions
A mortgage loan, in simple terms, is a type of loan that you take out to buy a house or other real estate property. When you get a mortgage, a bank or a lender lends you the money you need to purchase the property. In return, you agree to pay back the loan amount, plus interest, over a specified period.
The terms "mortgage loan" and "home loan" are often used interchangeably, referring to loans that help individuals buy homes. The difference lies in regional terminology and context. In some places, "home loan" might imply a loan specifically for home purchase, while "mortgage loan" can be a broader term encompassing real estate-related loans. However, both serve the same purpose: providing financing to buy a home, with the home as collateral, and repayment over time.
