We know that it’s easy to get Home loans. The loan amount could be ma 85% of registered value. Also the tenure can be for 20 years. What is the easy way to get loans for plots with minimal interest than a personal loan?
There are still certain banks like HDFC and LIC which give loans for plots without any house construction conditions. However the tenure would be just 10 years. There will be 1% more interest when compared to home loan. The disadvantage here is as the tenure is less, the eligibility of max amount will get decreased. Also, most of the banks will give just 60 to 70% of the registration cost as the allotted loan amount. If you plan to build a house too within a year or two, then your interest rate decreases and overall % of loan allotment would increase. The tenure can also be extended to 20 years. But total budget for buying a plot and house construction reminds the ‘fox and grapes’ story J.
ICICI bank provides loan for plots alone but the condition is that the plot should come under city limits!! Based on your repayment power they are ready to provide the tenure for 20 years with 11% floating.