Getting house loan for ready property is easy.

Q: It is tough to get a housing loan for an under construction property. Why it is easier to avail housing loans for ready to occupy property?

sophia, Bangalore

18th April 2012

Home Loan in Bangalore

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buying property

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Replies (5)

The buyers will have more need of money while purchasing a plot and building over it. This may lead to more debts.

shettychandrashekar84,

18th April 2012

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And its a risk to get loans against NPA's.

nagraj.venkatesh,

18th April 2012

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According to RBI, the value of the security of a property does not cover the outstanding loan amount, which leads to larger non-performing assets

sumanth.namdeo,

18th April 2012

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Hi Sophia and Manohar, most of the real estate investors are looking for higher return and invest into the under construction projects and once the project is ready, they sell it to the actual buyers.

Vijay, Bangalore

18th April 2012

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Sophia, this is because the risk factor in ready to occupy properties are less than the under construction properties. That is why it is easier to avail housing loans for ready properties.

Manohar, Bangalore

18th April 2012

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