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Loan against property

Loan Against Property or LAP as they are referred commonly are secured loans, the loans are disbursed by Housing Finance Companies (HFCs) Banks, Non-Banking Finance Companies (NBFCs) these companies hold the property document till the loan amount is not cleared from the borrower.

Unlike Home loans the proceeds from this loan can be utilized for personal expenses business expenses or an individual can even use the money to buy a property in outright purchase.

The loans have a duration of up to 20 years. Shorter tenure results in higher EMI amounts, while longer tenure results in lower EMIs.

There is a tax benefit of up to INR 5 Lakhs for individuals who file their ITR returns under Section 80C 24B and 80EEA.

Interest Rates

Interest rates on Loan Against Property are a bit more than Home loan Interest rates. The interest rate starts 9% The interest rate on a Loan Against Property varies from one bank to another bank and even NBFCs and HFCs It also depends on your credit score


The documentation for applying a Loan Against Property depends on the nature of the employment. The standard documentation includes Individual KYC like PAN Card, Aadhaar Card Home address proof and Company KYC like GST certificate, Shop and Establishment certificate Business Registration certificate etc. and Financial documents like returns filed for last 3 years, Bank statement for personal and current account for last 1 years. Most importantly the property kept as a collateral should be in the name of the applicant.


To become eligible, one must be 21 years or would have attained 60 at loan maturity with all valid and updated financials along with a credit score of 750 Plus

Loan Amount

The maximum loan that can be disbursed under LAP will be 65% to 70% of the property value which is kept as a collateral.


What is the objective of a loan against property?

A Loan Against Property helps you meet all your investment and personal needs, as well as your contingency requirements.

How can I repay my Home Loan?

Like any other loan you can set up an ECS facility or NACH which will systemically deduct the EMIs from your preferred bank account.

What makes Loan Against Property more expensive than Home Loans?

Individuals receive home loans to acquire affordable housing facilities. In contrast, through Loan Against Property, loans can be obtained for business/personal purposes, generally to increase working capital for an existing business or to meet personal requirements.

How can I apply for a Loan against property?

We make it easy for you to apply for a Loan Against Property. Easy, fast, and free! Fill out a short form and you're good to go. That's how we know you'd like to speak with us. One of our representatives will contact you shortly!

If you have a question that isn't answered here, please contact us.