Things To Know Before You Transfer Your Mortgage Loan (Loan Against Property)
Mortgage loans are the high interest loans in the home loan industry. A loan secured against the pledge of an unmovable asset mainly the residential & commercial property are high end risk loans to the banks though being secured against the collateral, the interest rates offered are therefore high in comparison to interest rates in home loan. And this high interest rate component is the basic reason for transferring / switching the mortgage loan to more cost effective lenders. Many a times the current mortgage lender seems unfavourable and is unwilling to negotiate on the mortgage rates, even though when there is a reduction in their base rates. The benefits of reduced rates are not transferred to the mortgage borrower and so the mortgage borrower feels the need for switching his mortgage loan to a better mortgage lender especially with a lower interest rate and value-added services. Pre-Transfer Analysis It is important for the mortgage borrower to first evaluate