Kotak Mahindra Bank

KOTAK MAHINDRA BANK LOAN AGAINST PROPERTY

Apply Kotak Mahindra Bank Loan Against Property @ 9.50%
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Interest Rate

9.50%-10.25%

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Processing fee

Upto 0.50%

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Loan Tenure upto

15 years

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LTV (Loan to value)

75% to 90% of property value

About Kotak Mahindra Bank Loan Against Property

Kotak Mahindra Bank is one of the country's most popular private sector banks. In the year 2003 Kotak Mahindra Finance Limited, the flagship company of the Kotak group, received the license to run the banking business in the country. Ever since they have introduced several products catering to the MSME Sector, Corporate Sector, and the Retail Sector. The liberal eligibility parameters and the quick credit decision, are the trump cards for the products of the bank being so popular.

You can do a thorough comparative study and then decide to avail the Loan Against Property from Kotak Mahindra Bank as you will find the deal offered by the bank competitive and as per market standards.

Kotak Mahindra Bank Loan Against Property is offered at a competitive rate of interest and flexible repayment period ranging from 10 to 15 years. The repayment period as per the scheme is 10 years but can be stretched up to 15 years on a case to case basis.

Features of Kotak Mahindra Bank Loan Against Property

Following are the features of Kotak Mahindra Bank Loan Against Property:

Purpose Quantum Interest Security Repayment Charges
  • The loan can be used for personal as well as business requirements.
  • The loan can be availed either as a term loan or as an overdraft facility.

The quantum of the loan provided will be between 10 Lakhs to 5 Crores

9.5% to 11.60%, depends on the loan amount and borrower's gender.

Equitable Mortgage of the land against which the loan is granted.

  • The tenure provided generally for repayment of term loans is 10 years but can be extended up to 15 years on a case to case basis.
  • For the overdraft facility, the repayment is on demand.
  • The facility has to be reviewed and renewed every year

Processing charges: 3% of the loan amount or the sanctioned limit according to the facility availed.

Prepayment/Pre-closure charges:

  • No charges if the pre-payment is done within the lock-in period of 6 months from the date of commencement of the EMI.
  • If paid after the lock-in period of 6 months, no charges will be collected if a minimum pre-payment of 25,000 or 25% of the outstanding principal balance is done.
  • The time-gap allowed between each pre-payment will be 6 months.
  • If a pre-payment is made above 25% of the outstanding loan balance, then 4% on the excess pre-paid amount will be collected.
  • For full pre-payment after the lock-in period, charges will be collected at 4% of the pre-payment amount plus the pre-payment made during the past 12 months.
  • Applicable GST will be collected along with the charges.

Benefits of Availing Kotak Mahindra Bank Loan Against Property

The following are the advantages of availing Kotak Mahindra Bank Loan Against Property:

  • The loan can be availed against residential/commercial/industrial property
  • The rate of interest is competitive and as per market standards
  • The repayment period provided is flexible and as long as 15 years which will enable you to manage your EMI as per your convenience.
  • The processing and pre-payment charges collected are nominal
  • Quick processing and sanction
  • Easy documentation
  • Transparency in the charges collected and no hidden charges

Eligibility for Kotak Mahindra Bank Loan Against Property

The parameters stipulated by the bank to be eligible for the Loan Against Property are as given below:

Eligibility criteria for self-employed professionals and non-professionals:

  • Minimum annual income should be 1.80 Lakhs and above
  • Minimum age of the applicant should be 21 years when applying for the loan and maximum 65 years at loan maturity. 
  • Applicant's business/organization should be operational for at least last 4 years
  • Applicant's business/organization should be making consistent profit for at least last 2 years

Eligibility criteria for salaried individuals:

  • Minimum monthly income should be 40,000 and above
  • Minimum age of the applicant should be 18 years when applying for the loan and maximum 60 years at loan maturity.
  • Applicant should be an Indian resident
  • Applicant should hold a Graduate degree, if they are employed with a private limited company/ partnership firm. No such criterion is there if they are employed with Public limited company/ MNC/ Government or Public Sector Company.

Kotak Mahindra Bank Loan Against Property Interest Rates

Interest rates for the loan are linked to the bank's current EBLR. Following are the interest rates applicable on Kotak Mahindra Bank Loan Against Property:

Loan Amount Slab If Women Borrower is Main Applicant For Others

Less than 2 Crores

9.5% - 11.55%

9.6% - 11.65%

More than 2 Crores

9.55% - 11.60%

9.65% - 11.70%

Kotak Mahindra Bank Loan Against Property - Processing Fees & Other Charges

The charges applicable on the loan are as mentioned below:

Type of charge Description

Processing fee

Charged at 3% of the loan amount plus applicable GST, which is not refundable.

Documentation charges

  • For loan amount up to 2 Crores: 5,000 + GST and other statutory levies
  • For loan amount above 2 Crores: 10,000 + GST and other statutory levies

Charges for issuing copies of documents

500 plus GST per instance

Change in repayment mode

500 plus GST per instance

Cheque/ECS dishonour charges

750 plus GST per instance

Charges for issuing duplicate NOC

500 plus GST per occasion

Pre-payment charges

  • No pre-payment charges will be collected if the pre-payment is made after 6 months from the commencement of the EMI. For a pre-payment up to a minimum of 25,000 and a maximum of 25% of the outstanding loan amount made after the lock-in period, there will be no charges. The time gap permitted between two pre-payments is 6 months.
  • For any part-payment made in excess of 25% of the outstanding loan balance, 4% on the excess pre-payment made plus the applicable GST will be charged.
  • For full pre-payment after the lock-in period, charges will be collected at 4% of the pre-payment amount plus the pre-payment made during the past 12 months along with the applicable GST.
  • No pre-payment/pre-closure charges will be collected for a loan granted to individuals at a floating rate.

Charges for delayed payment

3% p.m. plus applicable GST on the overdue amount for the overdue period.

Default collection charges

30% plus GST of the dishonoured cheque amount plus penal interest at 3% on the overdue amount for the overdue period.

Issue of amortization schedule

Free for the first time during the financial year. 250 plus GST thereafter.

Annual review charges for an overdraft facility

1.5% of the renewed limit or 5,000 plus the applicable GST

Limit termination charges

If terminated within the lock-in period of 6 months, charges will be collected at 6% of the limit sanctioned plus GST and if terminated after 6 months, charges will be collected at 5% of the sanctioned limit plus GST.

For not maintaining the minimum credit turnover

A maximum of 1% of the sanctioned limit per year.

Charges for using the limit over and above the sanctioned limit

Penal interest at 3% over and above the regular interest charged for the OD Account for the overdrawn amount till regularisation.

Commitment charges

0.25% will be charged on the difference between the actual average utilisation and 25% of the average operating limit sanctioned during the quarter with a minimum of 1,250 plus GST.

Charges for issuing interest certificate

Issued free for the first time during the financial year and with a fee of 250 plus GST thereafter.

Stamp duty

As per actuals in the particular State.

Documents Required for Kotak Mahindra Bank Loan Against Property

The following documents have to be submitted along with the relevant loan application for the scheme and two passport photographs:

Type of document Salaried Self-Employed

Address Proof

Voter's ID Card, Aadhar Card, Passport, Driving Licence, Utility bills

Photo ID Proof

PAN Card, Passport, Voter's ID Card, Passport

Income Proof

  • Salary slips for the last 6 months
  • Form 16 and ITfor the last 2 years
  • Bank account statement for the last 12 months of the salary account
  • Audited Balance Sheet and Profit and Loss Account for the last 3 years.
  •  ITR with income computation for the last 3 years.
  • Bank Account statement of all operative accounts for the last 12 months.
  • Sanction letter and account statement for the last 12 months of all the loan accounts.

Business Proof

N.A.

  • Business profile on the lette head of the business entity.
  • MOA and AOA for Companies.
  • Partnership deed for Partnership Company.
  • The license under Shop Act for Proprietorship Company.
  • GST Registration Certificate and GST Returns for the last 1 year.

Property Documents

Chain of title deeds relating to the property along with the sanctioned plan.

Why Apply for Kotak Mahindra Bank Loan Against Property through MyMoneyMantra?

If you are a novice to the whole idea of availing a loan and do not understand the pros and cons of the whole process it will be difficult for you to proceed. At every stage, you will be facing a challenge. You will be advised to compare the offers from different loan providers, and you will not know how to go about it. You may not be comfortable in approaching a loan provider to understand the deal for the loan scheme. With so many confusions, doubts and inconveniences you may feel it is not worth going for a loan.

MyMoneyMantra, a leading online lending marketplace, can help you wade through all these issues. You will have to access our website to understand how to go about the online application for a particular loan. You will be able to compare the data of various loan providers from the data provided on a single screen on the home page of the website. You can also calculate the EMI by applying the various combinations from the data available on the website to settle for a deal that is the most beneficial with an EMI that suits your budget.

The expert team of MyMoneyMantra will help you understand the best deal as per the details provided by you and your requirements. They will be assisting you through and through right from the stage of filling up the online application. They will collect the application along with the required documents from your doorstep and will deliver the same to the loan provider of your choice. They will be guiding you till the loan disbursement. They will help you understand the fine prints in the loan agreement. They will also help you understand the rate of interest, pre-payment and foreclosure charges of different lenders and will help you select the best deal.

MyMoneyMantra will do all the hard work for you without charging any fee. We will make the whole process seamless and hassle-free.

How to Use the MyMoneyMantra Loan Against Property Calculator?

EMI is the repayment of the loan availed in equal monthly instalments that consist of both the interest and the principal component. Calculating the EMI before applying for a loan is very much essential to be prepared for the additional commitment that comes by way of the EMI for the proposed loan. The calculation will help you decide the loan amount according to the additional burden that your monthly income can accommodate. You can calculate the EMI with the EMI calculator available on the website of MyMoneyMantra by following a simple procedure.

You will have to access the MyMoneyMantra website and select the financial tools on the home page. Under the financial tools tab,you will find various EMI calculators like EMI Calculator, Balance Transfer Calculator, Prepayment Calculator, Full Payment calculator, etc. Choose the EMI calculator and provide the details of the loan amount, loan tenure and the rate of interest as per your choice. The EMI will be calculated instantly, and a list of best quotes also will be displayed. You can calculate the EMI multiple times using the parameters in the various quotes available on the screen until you arrive at the one that suits your pocket. Once the EMI calculation is done and you have set your mind on the loan provider you can apply for the loan through MyMoneyMantra and with their assistance go through the whole process without any stress or confusion.

Why Use Loan Against Property EMI Calculator?

As suggested, understanding the EMI for the desired amount is very essential before applying for a loan. You have two choices for calculating the EMI. If you are game for a lengthy manual calculation, you can calculate the EMI by applying a complicated formula and investing your precious time. The other choice would be by calculating the EMI using the EMI Calculator where you get the result in a jiffy. If you are choosing the first option, you will need to reconsider the idea considering the fact that for applying the comparative data from different loan providers to arrive at the most comfortable EMI with the best deal, you will have to do the calculation a number of times.

Using the EMI calculator will not only spare you from the laborious manual calculation but also will give a 100% accurate result. Also, with the EMI value available before applying for the loan you can rework on your monthly budget to accommodate the new commitment. It is the most convenient option since you can do the calculation 24 x 7 at the comfort of your home or workplace.

FAQs - Kotak Mahindra Bank Loan Against Property

How to apply for the Kotak Mahindra Bank Loan Against Property?

You can apply for the Kotak Mahindra Bank Loan Against Property online through the official website of the bank. You can visit the nearest branch of the bank and apply for the loan by submitting the required application along with the necessary documents. You can also apply online through MyMoneyMantra, for quick and seamless loan application process.

Can the Kotak Mahindra Bank Loan Against Property be availed jointly?

If the property is in the joint names, all the joint owners should be co-borrowers for the loan. If the property is in individual name, the loan can be availed in joint names along with close relatives of the borrower to supplement the income for higher eligibility. The co-borrowers need not be joint owners of the property.

What are the processing charges and pre-payment/pre-closure charges for the Kotak Mahindra Bank Loan Against Property?

  • Processing charges will be collected at 3% of the loan amount or the sanctioned limit according to the facility availed along with the applicable GST.
  • Prepayment charges:
  • No charges if the pre-payment is done within the lock-in period of 6 months from the date of commencement of the EMI.
  • If paid after the lock-in period of 6 months, no charges will be collected if a minimum pre-payment of 25,000 or 25% of the outstanding principal balance is done.
  • The time-gap allowed between each pre-payment will be 6 months
  • If a pre-payment is made above 25% of the outstanding loan balance, then 4% on the excess pre-paid amount will be collected along with applicable GST.
  • For full pre-payment after the lock-in period, charges will be collected at 4% of the pre-payment amount plus the pre-payment made during the past 12 months along with the applicable GST.

What is the maximum repayment period provided for the Kotak Mahindra Bank Loan Against Property?

The maximum repayment period provided for the Kotak Mahindra Bank Loan Against Property is 15 years.

What is the quantum of loan provided for the Kotak Mahindra Bank Loan Against Property?

The minimum quantum of loan provided is 10 Lakhs and the maximum quantum of loan provided is 5 Crores.

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