Loans against property are an excellent way to raise money when you need huge funds. Whether you are expanding your business or pursuing your higher education, these loans will always have your back.
Apart from loan against property interest rate, there are other factors you need to consider. The tenor of your loan is one of them. It denotes how long you will take to repay the loan.
Things To Consider While Deciding The Tenor Of Your Loan Against Property
- Your Loan Amount
It is the most crucial factor affecting your loan tenor. Have you taken a loan of a higher amount? Then your tenor will be longer. That will help in spreading out the interest payments. So, your finances will not be under pressure.
- The Interest Rate
The interest rate of your lap loan plays a vital role in deciding your loan tenor. You have two options. If you wish to reduce your total interest outgo, it is better to choose a short tenor. That way, your loan will get repaid fast, thereby reducing your interest payment.
However, if you wish to pay lower EMIs, you can go for a longer tenor. It will reduce the burden on your monthly expenses.
- Your Age
You cannot ignore your age while deciding your loan tenor. If you are below 35 years, you can go for a longer tenor. You will get enough time to repay the loan. Moreover, you will also have a steady source of income. However, if you are close to your retirement, it is better to choose a shorter tenor.
Whatever loan tenor you choose, do not forget to check out your EMI on a property loan calculator.
Final Word
Fullerton India offers lap loans at affordable rates. Moreover, you will also get a flexible loan tenor. So, why are you waiting? Apply for a loan if you need funds.
Additonal Read: 6 Things to Check Before Taking a Loan Against Property
