Plot and construction loan
Buy a residential plot in a JDA or other approved scheme, then finance the construction of your house on it. Construction funds are released in stages as the work progresses, so you only pay interest on what has been drawn.
What you can use it for
- A residential plot in a JDA-approved scheme
- Construction of a house on a plot you already own
- A combined plot plus construction loan
- Adding construction finance after buying the plot with your own money
Who it suits
- Families planning to build rather than buy ready
- Owners of an approved plot who want to start construction
- Salaried and self-employed applicants with income proof
Eligibility
General guidelines. Each bank has its own policy, and we match your profile to the bank most likely to approve it.
| Plot location | Approved residential layout within municipal or JDA limits |
|---|---|
| Title | JDA patta or registered sale deed |
| Building plan | Approved map and a cost estimate for construction |
| Income | Salary or business income to support the EMI |
- JDA patta or registered sale deed of the plot
- Approved building map
- Construction cost estimate from an engineer or architect
- Possession letter of the plot
Questions
Can I get a loan for a plot on agricultural land?
Usually not. Banks finance plots only in approved residential schemes. Land that has not been converted for residential use generally does not qualify.
How is the construction amount released?
In stages such as plinth, slab and finishing, after the bank’s engineer checks progress at each stage.
Is there a tax benefit?
Tax benefits generally start after construction is complete. Your CA can confirm what applies to you.
Other loans
Talk to Mukesh Kumar
Share the property details and your income. You will know your likely eligibility and the right bank in the same call.
