Apply for Loan Against Property Starting at 9.55% p.a. (LAP)
A Loan Against Property (LAP) is a secured loan offered against residential or commercial property owned by the applicant. The property’s market value determines the loan amount, making LAP an excellent financing option for high-value needs.
Compared to personal loans, LAPs come with lower interest rates, longer tenure, and higher loan amounts making them cost-effective and convenient to repay.
At FinMarket.in, you can, apply for a Loan Against Property quickly and seamlessly to bridge the gap between your dreams and financial needs:
Lowest Interest Rates
Competitive rates make repayment more manageable.
Flexible Loan Tenure
Flexible tenure options up to 15 Years or more.
Higher loan amount
Get loan amount from ₹10 lakh to ₹50 crore.
Balance Transfer
With better interest rates and topup facility.
Features & Benefits of Loan Against Property at Finmarket
- Attractive Interest Rates: Starting from 9.55% p.a.
- Higher Loan Amounts:
- Mortgage loan amounts typically range from ₹20 lakh to ₹7.5 crore, with loan-to-value (LTV) ratios going up to 75% of the property’s market value.
- This option is ideal for meeting large funding needs. In fact, many banks even offer Loans Against Property of up to ₹100 crore, depending on the property’s value.
- Flexible Tenure: Repayment tenures can range up to 15 - 20 years. The extended tenure makes it easier to repay through smaller EMIs, reducing the monthly financial burden.
- Balance Transfer & Top-Up: Transfer your existing loan at lower rates or avail additional funds on your current LAP.
- Multi-Purpose Use: Use funds for education, marriage, medical expenses, home renovation, business expansion, debt consolidation, or travel.
- Ownership Retained: Borrowers remain the legal owners of the property pledged as collateral. In case of repayment difficulties, they retain the option to sell the property and use the proceeds to settle the loan.
Loan Against Property Interest Rates & Charges
Get an attractive LAP Loan Interest Rate transparent charges on your loan against property from FinMarket.
| Factor | Rates / Charges |
|---|---|
| Interest Rate | Starting at 9.55% p.a. onwards |
| Processing Fees | Up to 3% of loan amount |
| Documentation Charges | As per lender norms |
| Prepayment Charges | Varies by lender/NBFC |
| EMI Bounce Charges | ₹400 - ₹1,000 (plus GST) |
| Stamp Duty | Applicable as per state laws |
Compare LAP Loan Interest Rates Offered by Various Banks & NBFCs
| Bank Name | Interest Rate from | Loan Amount |
|---|---|---|
| HDFC LAP Loan | 9.55% p.a onwards | up to 100 Crores |
| Axis Bank LAP Loan | 9.55% p.a onwards | up to 100 Crores |
| ICICI Bank LAP Loan | 9.55% p.a onwards | up to 100 Crores |
| Kotak Mahindra Bank LAP Loan | 9.50% p.a onwards | up to 100 Crores |
| Standard Chartered LAP Loan | 9.55% p.a onwards | up to 100 Crores |
| Bajaj Finserv LAP Loan | 9.25% p.a onwards | up to 25 Crores |
| SBI LAP Loan | 9.65% p.a onwards | up to 100 Crores |
| IDFC FIRST Bank LAP Loan | 9.55% p.a onwards | up to 1 Crores |
| Tata Capital LAP Loan | 9.65% p.a onwards | up to 10 Crores |
| Yes Bank LAP Loan | 9.55% p.a onwards | up to 10 Crores |
| Bank of Baroda LAP Loan | 8.95% p.a onwards | up to 100 Crores |
| PNB LAP Loan | 10.00% p.a onwards | up to 100 Crores |
| IndusInd Bank LAP Loan | 9.70% p.a onwards | up to 1 Crores |
| Aditya Birla Finance LAP Loan | 9.85% p.a onwards | up to 10 Crores |
| Poonawalla Fincorp LAP Loan | 9.55% p.a onwards | up to 1 Crores |
| DCB Bank LAP Loan | 10.00% p.a onwards | up to 5 Crores |
| Piramal Finance LAP Loan | 11.00% p.a onwards | up to 10 Crores |
| Aadhar Housing Finance LAP Loan | 15.00% p.a onwards | up to 1 Crores |
| L&T Finance LAP Loan | 9.45% p.a onwards | up to 7.5 Crores |
Note: Interest rates, processing fees and other charges are indicative purposes only and are subject to change based on applicant profile, credit score, property type, and lender policies.
Why Choose FinMarket for LAP?
- Expert Guidance: Professional assistance from application to disbursal.
- High LTV (Loan to Value) Ratios: Loans up to 70% of property value for maximum leverage.
- Loan Amount & Tenure: Access higher loan amounts with the flexibility of a repayment plan tailored to your needs.
- Lowest Rates: Interest on the loan is recalculated daily, which helps lower the overall interest payable over time.
Eligible Properties for Loan Against Property
Any registered property with the necessary approvals from the relevant town planning authority is generally eligible for a Loan Against Property (LAP). However, General Power of Attorney (GPA) holders cannot apply, as a GPA does not equate to legal ownership, and lenders do not recognize it for loan purposes. Similarly, most financial institutions exclude agricultural land from LAP, since such land is reserved strictly for agricultural use.
Below is a List of Property Types Typically Accepted for LAP:
- Residential (self-occupied or rented).
- Commercial (self-occupied or rented).
- Residential plots with proper approvals.
- Industrial property (case-based).
Not eligible: Agricultural land, GPA (Power of Attorney) properties.
Advantages of a Loan Against Property
- Secured Financing: Reduced risk for the lender, higher approval chances.
- Lower Interest Rates: More affordable than personal loans .
- Flexible Loan Amount: 40% - 75% of property market value.
- Long Tenure: Repayment up to 15 - 20 years.
- Multi-Purpose: Use funds for personal or business needs.
- Customised Solutions: Loans tailored to your profile.
- Eligibility Criteria: Borrowers must be at least 21 years old to apply. For salaried individuals, the maximum eligible age is 60 years, while for self-employed applicants, it extends up to 65 years.
LAP (Loan Against Property) vs Personal Loan
| Parameter | Loan Against Property | Personal Loan |
|---|---|---|
| Security Required | Property mortgage | Unsecured |
| Interest Rate | 9.55% p.a onwards | 9.95% - 24% |
| Loan Amount | Up to ₹50+ Cr | Usually up to ₹25L |
| Tenure | 15 - 20 years | 3 - 5 years |
| EMI Burden | Lower (spread out) | Higher |
| Processing Fees | 1%–3% | 2%–4% |
Documents Required for LAP / Loan on Property
- Identity Proof: PAN Card / Aadhaar / Passport / Driving License.
- Residence Proof: Voter ID / Electricity Bill / Property Tax Receipt.
- Bank Statements: Last 6 months.
- Processing Fee Cheque.
- Income Proof:
- Salaried: Latest salary slips, Form 16, ITRs (3 years).
- Self-employed: Business proof, P&L statements, Balance Sheet, ITRs (3 years).
Eligibility Criteria LAP (Loan Against Property)
To get a loan with your property, the applicant must be the legal owner of the property. Other eligibility conditions may differ across finance companies, but some common requirements are listed below:
| Criteria | Salaried | Self-Employed |
|---|---|---|
| Age Limit | 21–60 years | Up to 65 years |
| Minimum Income | ₹10,000 per month | ₹1,20,000 annual |
| Work / Business Vintage | 3+ years of employment | 2+ years of business |
| Eligible Professions | Salaried, Doctors, Engineers, CAs | Business owners, Partnership firms, Pvt. Ltd. Cos. |
| CIBIL Score | 700+ | 700+ |
Types of LAP (Loan Against Property)
A Loan with property as collateral (LAP) is a versatile financing option that can be used for multiple purposes, such as medical expenses, weddings, travel or vacation, higher education, business expansion, home renovation, and more. Generally, lenders provide 50%–60% of the property’s value as a loan. However, the exact funding ratio may vary depending on the type and nature of the property.
Based on the type of property pledged, Loans against Property can be classified as:
- Self-occupied residential property: Up to 65% of market value.
- Rented residential property: Up to 60% of market value.
- Self-occupied commercial property: Up to 55% of market value.
- Rented commercial property: Up to 50% of market value.
- Residential plots: Around 60% of market value.
- Commercial plots: Around 50% of market value.
- Industrial properties: Case-based funding.
Note: LAP cannot be availed for speculative purposes such as gambling, stock market investment, or speculative business investments.
FAQs on Loan Against Property
What is a Loan against Property?
A secured loan provided against the mortgage of residential or commercial property, up to a percentage of its market value.
Who can avail LAP?
Both salaried and self-employed individuals for personal or business needs (except speculative activities).
Which properties are eligible?
Residential, commercial, industrial property, and lease rental discounting.
How long does approval take?
Typically 10 - 30 days, depending on documentation and verification.
What is LTV (Loan-to-Value)?
It’s the ratio of the loan amount sanctioned to the property’s market value (generally 50% - 75%).
How to apply with FinMarket?
Simply click Apply Now fill in your details, and our team will guide you through the process.
What is the applicable rate of interest? (New)
The rate of interest varies depending upon your loan amount, property type, income etc and this will be communicated to you by our sales representatives.
Read More FAQs on Loan Against Property Eligibility Online
Note: Wherever the details regarding interest rates, processing fees and tenure are mentioned, they may differ as per the lenders' discretion. The actual eligibility will be determined based on the borrowers' risk profile during the loan application process.
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