I work in Bangalore and have decided to purchase a plot in Hyderabad. Will the process be different because I am based in a different city?

Kishore Anand, Bangalore

Not all banks or housing financing lending institutions extend plot loans. Most banks, which offer these loans, insist that the land is purchased from a development authority. Some banks also permit purchase of land from a list of approved developers. However, the land has to be developed and clearly demarcated for any bank to accept the proposal for land finance. Plot loans are not available for agricultural land. Banks also don’t normally provide loans for land already bought, or land sold by an individual owner. Getting finance for a plot is also difficult, because land can be purchased for speculative purposes, and valuation tends to be more difficult to assess. You should directly visit the bank, either by calling their central call centre numbers or by visiting the nearest branch.

olmdesk@outlookindia.com