IDBI Commercial Property Loan

IDBI Bank commercial property loan facilitates the purchase of buildings for carrying out business or commercial activities. that are ready to use, are under construction, or are being resold

Highlights and How Does This Work?

The highlights of a commercial loan from IDBI Bank are:

• Commercial buildings can be under construction, ready to move, or being resold.
• Loan value can be approved up to INR 5 crore.
• Loan above INR 5 crore can be granted based on the merit of individual business propositions.
• Maximum loan funding would be the lower of two options: 55% of the property’s market value or 65% of the property’s registered value (inclusive of registration fees and stamp duty)
• Competitive IDBI Bank commercial property loan rate of interest and affordable EMIs

IDBI Bank Commercial Property Loan Features

The loan for purchase of commercial property by IDBI Bank has some stellar features, like:

• High loan value of INR 5 crore and more (case basis)
• Loan funding up to 55% of market value or 65% of the registered value of property
• Quick loan processing
• No bar on the commercial property type

IDBI Bank Commercial Property Loan Interest Rates

The IDBI Bank commercial home loan interest rate is not publicly disclosed. You can approach the bank with your application, and based on the merits of your case, a suitable loan value would be approved at an attractive rate.

The IDBI Bank interest rate for commercial property is usually in the range of 9%–11.05%. Processing fees and stamp duty are extra.

IDBI Bank commercial property loan Eligibility Criteria

The eligibility criteria for loans vary based on the applicant type. These have been discussed below.

IDBI Bank Commercial Property Loan For Salaried Person

A salaried person becomes eligible for a loan by fulfilling the following conditions:

• Age: Minimum 22 years while applying and maximum 65 years at loan termination or retirement (whichever occurs earlier)
• Must be able to furnish satisfactory proof of loan repayment

IDBI Bank Commercial Property Loan For Self-Employed

Self-employed people can get the loan by meeting certain conditions.

For Self-Employed Professionals:

• Must be earning consistent income by being in the profession of doctor, engineer, architect, dentist, management consultant, chartered accountant, company secretary, etc.
• Minimum age during loan application: 25 years
• Maximum age at loan termination: 65 years

For Self-Employed Non-Professionals:

• Must be a businessman with a consistent stream of revenue
• Minimum age during loan application: 25 years
• Maximum age at loan termination: 65 years (age relaxation possible upon submission of proper business succession plan)

IDBI Bank Commercial Property Loan Documents Required

The documents needed to avail a commercial loan for salaried professionals are:

• Application form with photograph
• Identity and Residence Proof (UIDAI, PAN, Utility Bills, Passport, Voter ID, etc.)
• Last 3 months salary slips
• Last 6 months bank statement
• Last year’s Form-16 or Income Tax Return
• Processing fee cheque

For self-employed professionals, the following documents are needed:

• Application form with photograph
• Identity and Residence Proof
• Education Qualification Certificates
• Proof of business existence
• Last 3 Years’ Income Tax returns, profit/loss, and Balance Sheet
• Bank statements for the last 6 months
• Processing fee cheque

* The documents outlined above are indicative, and the bank may demand additional documents if required.

IDBI Bank Commercial Property Loan Processing Fees And Other Charges

A loan processing fee of up to 0.75% of the loan value is applicable. Further, stamp duty would be levied based on the prevalent rate in your state. These fees are different from commercial shop loan interest rates of IDBI Bank and are charged only once.

IDBI Bank Commercial Property Loan Benefits And Features

The advantages of commercial property loans from IDBI Bank are:

• Competitive commercial shop loan interest rate
• Affordable EMIs
• Quick processing
• High loan amount
• Minimal documentation

IDBI Bank Commercial Property Loan: Terms And Conditions

The terms and conditions for availing of an IDBI Bank commercial property loan are mentioned in the loan documents issued after loan approval.