Loan Against Property
"Unlock Your Property's Potential."
Loan Against Property is a secured loan product that can be useful for both salaried individuals as well as businesses.Â
Benefits of Loan Against Property
- Access to Funds: LAP gives you access to funds when you need them, allowing you to use the equity in your property to finance various needs like home improvements, education, or starting a business.
- Lower Interest Costs: Because LAP typically comes with lower interest rates, you can save money on interest payments over the life of the loan compared to other borrowing options.
- Longer Repayment Periods: LAP often offers longer repayment periods, spreading out your loan payments over time and making them more manageable.
- Retain Ownership: You can still own and use your property while using it as collateral for LAP, giving you the flexibility to access funds without selling your property outright.
- Tax Benefits: In some cases, the interest paid on LAP may be tax-deductible, providing potential tax benefits to borrowers. However, it’s essential to consult a tax advisor for specific details.
Characteristics of Loan Against Property
- Secured Loan: LAP is a type of loan where you use your property (like a house or land) as security for borrowing money from a bank or lender.
- Higher Loan Amounts: You can typically borrow larger amounts of money with LAP compared to other types of loans because the value of your property acts as security.
- Flexible Repayment Options: LAP comes with flexible repayment options, allowing you to choose a repayment period that fits your budget and financial goals.
- Lower Interest Rates: Since LAP is secured by your property, it often comes with lower interest rates compared to unsecured loans like personal loans or credit cards.
- Quick Processing: LAP usually has quicker processing times because the property acts as collateral, making it easier for banks and lenders to approve the loan.
Personal Loan - Eligibility Criteria
| Personal Loan Eligibility Criteria | Constraints |
|---|---|
| Age limit | 21 years to 60 years |
| Net monthly income | 15,000/- for both salaried and self-employed |
| Yearly transactions | Minimum of 20 lakhs |
| Credit score | Must be good & Above 650 |
| Employment | stability |
| Citizenship | Resident Citizen of India |
EMI Calculator for Loan Against Property
We approves the credit amount, which is equivalent to the current value of the property. As a loan buyer, you can mortgage a property that is self-occupied, rented or any piece of land owned by you. However, you need to make sure that the title of the property is clear.
Feel free to use our Equipment Finance Calculator
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| Period | Payment | Interest | Balance |
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Calculate Your Loan EMI
The loan gets sanctioned once you mortgage your residential or commercial property. Calculate Your EMI here:
The formula to calculate EMI for a Personal Loan is:
EMI = [P x R x (1+R)^N]/[(1+R)^N-1]
- P represents the principal loan amount
- R represents the monthly interest rate, calculated by dividing the annual rate by 12 and converting it to a decimal.
- N denotes the loan tenure measured in months.
Calculate Your Loan EMI
The loan gets sanctioned once you mortgage your residential or commercial property. Calculate Your EMI here:
The formula to calculate EMI for a Personal Loan is:
EMI = [P x R x (1+R)^N]/[(1+R)^N-1]
- P represents the principal loan amount
- R represents the monthly interest rate, calculated by dividing the annual rate by 12 and converting it to a decimal.
- N denotes the loan tenure measured in months.
Documents required for Loan Against Property
Photo Identity Proof:
- Passport
- PAN Card
- Voter’s ID
- Aadhar Card
- Driving License
Address Proof (Any one):
- Passport
- Utility Bill (telephone, electricity, water, gas) – less than 2 months old
- Aadhaar Card
- Driving License
- Ration Card
Income Proof:
- Salary slips (Last 3 months)
- Bank statements for the last 3 to 6 months (showing salary credit)
Proof of Property documents:
- Registration certificate
- Sales Deed
- Lease Agreement
- Property Tax Receipts
- Property Insurance Documents
Tax Paid (Any one):
- IT returns (for 2 years)
- Form 16
A personal loan is a type of loan that is typically unsecured, meaning it doesn’t require collateral like a car or a house. It is often used for various personal expenses such as home renovations, medical bills, or debt consolidation.
Depending on several factors, including the loan amount, loan term, income, and employment history credit score requirements may differ. Credit score of 650 or above to be strong enough to qualify for a personal loan. To be eligible for a personal loan with low-interest rates and advantageous terms, you require a credit score of 700 or better.
Interest rates can vary widely based on your creditworthiness. They can be fixed (the rate stays the same over the loan term) or variable (the rate can change).
Students are eligible to apply for a personal loan. However, depending on the student’s financial situation, the eligibility criteria and loan terms may differ. If the student is employed or has a steady source of income, procuring a personal loan may be easier. A good credit score can also increase the likelihood of approval and result in lower interest rates.
On the other side, the student might require a co-signer if they have little to no income to be accepted for a personal loan. A co-signer is a credit-worthy individual who consents to accept financial responsibility for the loan if the borrower is unable to pay it back.
The minimum salary required to be eligible for a personal loan is Rs. 15,000 per month. This means that if you earn less than Rs. 15,000 per month, you may not be eligible for a personal loan.
Eligibility criteria vary but generally include factors such as credit score, income, employment status, and debt-to-income ratio.
You can contact us through online. Our representative will contact you shortly.
Yes, we allow you to repay the loan early without penalty.