Having found the dream plot or property, you are now aiming to purchase it. At the same time you also intend to sell the current property before purchasing the new plot. But it seems to be only dream because your pocket has limited money. As the plot seems to serve your purpose well, and you do not want to loose it, so you are now seeking for a financial aid. This financial support can be accessed by subscribing the benefits of . It is a secured form of loan scheme and so applicants' have to pledge collateral. The collateral should carry equity. Some among the readily accepted collateral are: land, estate, car, house, commercial sites etc. Persons can also pledge the property that he/she intend to buy as collateral.
Loan amount of this scheme is released based upon the equity of the collateral. The higher the equity collateral carries the more funds you can procure. The repayment term is short and it stretched from 1-12 months. Within the stipulated date, borrowers have to sell the current property and repay the loan amount. You might find lenders that provide the feature of moratorium in cases if any inconvenience occurs while repaying the loan.
Interest rates are slightly higher. The rates of interest ebb and flow from lender to lender. This is because of competitive atmosphere. Amidst the competitive scenario if you contrast the loan quotes of different lenders then existing cheap and low rates comes to view. While deriving the interest rates you should always consider the income and repayment ability of yours.
As the market is highly competitive so you might lose your property is not applied at apposite period. The best way is to consider the online application method because it reduces the paperwork and enables applicants to derive facilities from home or office.
Thus, bridging loan abridges the financial breach that erupts in purchasing property and also for development projects.
