Mortgage loans are often used by businessmen and common people. It is a kind of loan in which the loan borrower obtains a loan against his/her property like land or home. Mortgage loans are generally obtained for a variety of reasons such as education, medical care, or education.

IIFL mortgage loan is normally chosen by people who want low interest rates and several repayment options. It offers both benefits and drawbacks to the loan borrowers. This blog lists the advantages and disadvantages of borrowing an IIFL mortgage loan.

Benefits of taking an IIFL mortgage loan

If you want to buy a new property, choose a mortgage loan. It gives various benefits such as:

• No proof of income to show: One of the major benefits of taking a mortgage loan is that you do not need any income proof. As a result, the loan approval process becomes much easier and quicker for loan borrowers. You can receive the loan within a few weeks.
• Low interest rates: The biggest advantage of taking an IIFL mortgage loan is the low rate of interest. You can get a mortgage loan to buy a new property. Some loan borrowers may also have a higher loan amount depending on some factors.
• No need for a credit score: While borrowing a mortgage loan, you do not need to verify your credit score. Most lenders do not see credit history while giving a mortgage loan. This mortgage loan is good for people who have low credit scores.
• Secures the property: One of the major benefits of borrowing a mortgage loan is the security of property. Your land or home will be safe with the lender. You will get the property back after repaying the loan. There is no delay in the transfer of ownership of property after the loan repayment.
• No documentation work: Taking a mortgage loan is easy and does not require filling any documents or papers. All you need is property documents to take a mortgage loan.

Disadvantages of taking IIFL mortgage loan

We discussed the various benefits of taking a mortgage loan. However, it also has many disadvantages such as:

1. The price of the property may change: You may not get the correct property value by taking a mortgage loan. There is no defined pattern to assess the real value of property while lending a mortgage loan. You may have to face some losses in the actual value of the property by taking this loan.
2. Property might be at stake: Taking an IIFL mortgage loan might put your property at stake. If you are not able to repay the loan, the bank or lender will sell your valuable property to take funds.
3. Taxes: Mortgage loans do not give any tax exemption.

Conclusion

Borrowing an IIFL mortgage loan might involve many benefits as well as drawbacks. Consider all these points and then decide whether to go for a mortgage loan or not. You can consult financial advisors before approving a mortgage loan from the lender.