Shriram Housing Finance Loan Against Property

Shriram Finance Mortgage Loan facility is open to members of the public but only qualified applicants who are eligible for it will be able to access it. To make the loan application process a lot easier for applicants, Shriram has put in place a straightforward system that works for everyone. Here is the loan process to follow if you want to apply for a Shriram Housing Finance loan against property.

Check the Loan Against Property Interest Rate for the lowest LAP Rates.

Shriram Housing Finance mortgage loan facility is open to members of the public but only qualified applicants who are eligible for it will be able to access it. To make the loan application process a lot easier for applicants, Shriram has put in place a straightforward system that works for everyone. Here is the loan process to follow if you want to apply for a Shriram Housing Finance loan against property.

Online/Offline Application: To kick-start the process, you will first need to apply for the Shriram Finance mortgage loan against property. To do so, Shriram offers two options. You can either apply via their official website where their application form can be found or you visit the nearest SHFL (Shriram Housing Finance) branch to fill the form manually.

Provide your loan requirement: When filling the Shriram Finance lap loan application form, you are expected to provide your loan requirement. This entails providing details about the loan amount you seek and the loan tenure.

Submission of necessary documents: There are stipulated documents you are expected to submit as part of the application process to complete it. If you are using the lender's website you can upload the soft copy of the various documents into the portal. If you are filling the form manually, you can also attach the hard copies (photocopies) of the documents to your loan application form and submit.

Application Assessment: After submitting your application form and documents, SHFL will take time out to assess the documents you've submitted based on the personal information you provided. If some or all of your documents are not valid or they are at variance with the personal details you provided, SHFL can reject your application. You can call the customer care team of the firm to know your SHFL loan status.

Repayment Capacity Evaluation/Property Appraisal:  At this point, SHFL's team will carry out a double evaluation of your income and the property you brought forward as collateral if they are satisfied with the validity of the documents. Your income will be evaluated by the team to see if you will be able to repay the loan based on your monthly income. They will also appraise the documents to see if it is eligible as collateral for the loan you've applied for.

Home Loan Approval: This is the stage where SHFL's credit team will make a decision based on their findings. If you qualify for the last stage, the credit team will approve your loan application and will put modalities in place for loan disbursal.

Loan disbursal according to pre-agreed conditions: This is the final stage of the Shriram Finance property loan application process. After the loan has been approved, SHFL will disburse the loan according to pre-agreed terms in the loan contract.

Before you apply for this loan, here are some very important details about the interest rate and other concerns you should take note of.

Many borrowers have come to trust Shriram Housing Finance' loan against property for the following advantages they confer.

Flexible property requirements: You can avail Shriram mortgage loan by presenting varieties of residential or commercial properties which include newly purchased properties, properties under construction or ready to occupy houses and buildings. You are not limited to the types of properties you bring forward as long as their value more than cover up for the loan.

Tax Benefits:  The tax benefits attached to this loan are clear. Under Section 24 and Section 80C of the Income Tax Act of India, you are eligible to enjoy certain tax incentives which will go a long way to reduce your level of indebtedness.

Funds for business/career expansion: The funds SHFL issues to you can be used to pursue any economic interest of your choice. You are not limited to what you can use the loan for.

Quick Loan approvals: Even if the property you brought forward has not been approved yet, SHFL may still go ahead to approve your Shriram Finance loan against property application if your income is adjudged to be acceptable. No need for delays and long processes.

Fast Loan Disbursal: Once your application is approved, you should expect to have your account credited with the funds within a matter of days.

Individual/Joint application: You can apply for this loan with a co-applicant if your income is insufficient to cover for it.

Varying rate structure: SHFL also gives you the option to choose between a fixed or flexible interest rate. The choice is yours.

Shriram Housing Finance has two types of Loans against property. These schemes are curated to help borrowers access the loan based on the type of properties they have as security.

Loan Against Property- Residential

The loan against property for residential property owners is issued to borrowers who bring forward residential properties as collateral for a loan. The funds issued to you can be used to pursue any economic interest of your choice. The features of this loan scheme are

• Only Indian residents qualify for this loan
• Applicant must be at least 21 years old as at the time of applying
• Loan eligibility is based on the applicant's repayment capacity and property considerations
• Individual or joint application is permissible
• Age of maturity will be considered for all self-employed applicant
• The loan installment plan is flexible or Tranche-based EMI
• The minimum loan amount is 1 lakh - 15 lakh maximum
• Shriram Finance mortgage loan interest rate for this scheme ranges from 12% p.a.

Loan Against Property - Commercial

The loan against property for Commercial property owners is issued to borrowers who have commercial assets as collateral for the loan. This loan may be taken for business expansion purposes. Commercial assets may be office blocks, shops, warehouses, etc. Find below some of the features of this loan scheme.

• Minimum interest rate is 12% while the maximum rate is 15%
• Only Indian residents qualify for this loan
• Applicant must be at least 21 years old as at the time of applying
• Loan eligibility is based on the applicant's repayment capacity and property considerations
• Individual or joint application is permissible
• Age of maturity will be considered for all self-employed applicant
• The loan installment plan is flexible or Tranche-based EMI
• Minimum Loan amount is 1 lakh - 15 lakh maximum

Only eligible applicants will quality to access SHFL's loan against property. The eligibility criteria for loan against property are listed below

• To avail this loan, you must be an Indian resident.
• If you have a good credit score then you can avail of an affordable Shriram Finance loan against property interest rates.
• Only Self-employed and Salaried applicants may apply
• The minimum age requirement is 21 years of age
• Only applicants with a verifiable means of income may apply

Here is a checklist of documents required for loan against property you must attach to your completed loan application form and passport-size photographs, for evaluation and approval by SHFL's team: 

• Proof of Identification (any one of the following):
  • Driving License
  • Ration Card
  • Passport
  • PAN Card
  • Voter’s ID Card
  • Employee ID
  • Bank Passbook
• Proof of Age (any one of the following):
  • PAN Card
  • Driving License
  • Bank Passbook
  • Passport
  • Birth Certificate
  • 10th Class Marksheet
  • Passport
• Proof of Age (any one of the following):
  • Bank Passbook/ Bank Account Statement 
  • Voter’s ID
  • Ration Card
  • Passport
  • Utility Bill (telephone, electricity, water, gas) less than 2 months old
  • LIC Policy/ Receipt Letter from a recognized public authority verifying the applicant’s residence address
• Income Documents: Salaried individuals (any one of the following)
  • Form 16
  • Certified letter from the Employer
  • Pay Slips of last 2 months
  • Increment/ Promotion Letter
  • IT Returns for 3 years
  • Investment Proofs (fixed deposits, shares, etc.)
• Income Documents: Self-employed or businessman (any one of the following)
  • Last 3 years IT Returns of the applicant along with Computation of Income duly attested by a Chartered Accountant
  • Last 2 years Balance Sheet and Profit & Loss Account of the firm duly attested by a Chartered Accountant
  • A brief introduction of the applicant’s profession/business
  • Photocopy of Registration Certificate of Establishment under Shops & Establishments Act/ Factories Act
  • Photocopy of Registration Certificate for deduction of Profession Tax Proof of investments
  • Certificate of Practice
  • Receipts of Advance Tax payments (if any) 
• Property Documents
  • Sale deed
  • Agreement of Sale with the builder (original copy)
  • Land and Building Tax paid receipts
  • Location sketch of the property certified by the revenue authorities
  • Possession Certificate Letter of Allotment by the Housing Board/ Society/ Private Builder
  • Original receipts of the advance payments made towards the purchase of the flat
  • An approved copy of the building plan (key plan/floor plan in case of purchase of flats)
  • Original of the Land Tax paid receipt & Possession Certificate issued by the revenue authority
  • Original No Objection Certificate (NOC) from the housing society/ builder 
  • A detailed estimate of the cost of construction of the house
  • Letter from the builder/ society/ housing board, stating their account number & name of their bankers for the remittance of instalments