Download AppWin Assured Cashback
Paisabazaar Logo - Compare loans and credit cards

Plot Loan

Get Home Loan

Lowest interest rates starting from 7.1%

google-play-icon

Google Play Store

4.5/5

15.6L Reviews

6cr+Satisfied Customers
30+Lending Partners
₹65k Cr+Loans Disbursed
Icon image of Competitive Interest Rates

Competitive Interest Rates

Starting 7.10% p.a.

Icon image of Handpicked Home Loan Offers

Handpicked Home Loan Offers

Offers from 25+ Banks & HFCs

Icon image of Dedicated Customer Support

Dedicated Customer Support

Expert Assistance at Every Step

Icon image of Transfer Balance & Get a Top-Up Easily

Transfer Balance & Get a Top-Up Easily

Additional Funds when Required

Find Best Home Loan Offers

Sort by:

HDFC Bank
Min Loan Amt. ₹15L
Rate of Interest7.2% - 13.2%
Tenure uptoUpto 30 Years
Processing Fee₹ 10,000
ICICI Bank
Min Loan Amt. ₹15L
Rate of Interest7.65% - 9.80%
Tenure uptoUpto 30 Years
Processing Fee₹ 10,000
Axis Bank
Min Loan Amt. ₹30L
Rate of Interest8.35% - 11.90%
Tenure uptoUpto 30 Years
Processing Fee₹ 14,000

Plot Loan Interest Rate 2026

Plot loan interest rates are either similar to or slightly higher than the regular home loans. However, the interest rates vary across lenders.

Lenders usually offer plot loans after factoring in the job profile, credit score, loan amount, employer’s profile, monthly income, EMI/NMI ratio and applicant’s existing relationship with the bank.

Prospective borrowers can visit the Paisabazaar app to compare the interest rates offered by multiple lenders and opt for the one best suited to their budget.

Key Features and Benefits of Plot Loan

Plot Loan Interest Rate

  • Lenders usually provide plot loans at floating interest rates.
  • Many lenders also determine the interest rate for loan applicants based on factors like credit score, loan amount, monthly income, occupation profile, employer’s profile, etc. of the loan applicants.
  • The plot loan interest rates are usually similar or a bit higher than the interest rates of regular home loans.

Loan-to-Value Ratio

  • Lenders usually offer an LTV ratio of up to 80% of the plot value.
  • The final LTV ratio set for an applicant would depend on the credit risk assessment undertaken by the lender.
  • Factors considered while undertaking credit risk assessment include the credit profile and repayment capacity of the borrower, market value of the property, location of the plot, etc .

Loan Tenure

  • Most lenders offer plot loans for tenures ranging between 10 and 20 years.
  • Lenders would usually consider the repayment capacity of an applicant while setting their loan tenure.
  • Plot loan applicants can use the home loan EMI calculator to determine the optimum tenures and EMIs for their plot loans based on their repayment capacity.

Tax Benefits on Plot Loan

  • Borrowers are not eligible for availing income tax deductions on the repayment of principal and interest components of the plot loan.
  • Such borrowers, however, would be eligible to claim tax deductions on the repayment of home loan availed for constructing the residential property on the plot purchased through plot loan.

Availability of Balance Transfer Facility

  • Existing plot loan borrowers can exercise the home loan balance transfer facility to transfer their outstanding plot loan to other lenders at lower interest rates and thereby reduce their interest cost.
  • However, the approval of the balance transfer application would primarily depend on the credit risk assessment of the applicant by the new lender.

Processing Fees and Prepayment Charges

  • The processing fees charged by home loan lenders for availing a plot loan range from 0.25% to 1.50% of the total loan amount.
  • RBI's circular bars lenders from charging prepayment fees on floating rate loans. However, lenders are free to charge or waive off prepayment fees on fixed rate loans.

Plot Loan Eligibility

Below-mentioned is the eligibility criteria set by the lenders offering plot loans:

  • Resident Indians and NRIs who wish to buy a plot for constructing their residential property can apply for a home loan .
  • Lenders generally offer plot loans to fresh applicants/existing borrowers (in case of balance transfer) aged between 18 and 70 years.
  • Salaried and self-employed individuals/business owners are eligible
  • Loan applicants with credit scores of 760 and above have a higher chance of getting their plot loans approved at relatively lower interest rates.

Other factors that individual lenders might look at while determining the eligibility of plot loan applicants include an applicant's income, liabilities, assets owned, work experience (for salaried) and business continuity (for business owners), etc. Note that the eligibility criteria for plot loans vary across lenders.

Documents Required for Plot Loans

The documentation process for a plot loan is not very different from a home loan. The following are some of the main documents required to apply for a plot loan:

  • Duly filled application form
  • Age proof
  • Income proof
  • Proof of employment/business
  • Address proof
  • Plot/land-related documents
  • Layouts/drawings of the plot (approved by the respective authority)

Note that the documents required for a plot loan application vary across lenders. Therefore, applicants should check the list of documents required by respective lenders before applying for a plot loan.

Get a Home Loan For
Your Dream Home

Avail Home Loan Banner

How can Adding a Co-applicant be Beneficial?

Adding a co-applicant to the plot loan benefits the applicants in the following ways:

  • Enhances the loan eligibility.
  • Increases loan approval chances.
  • Lower interest rates.
  • Increased loan amount.
  • Combined income increases the repayment capacity.
  • Reduces financial stress.
Why Choose Paisabazaar?
image of Compare & Choose the <strong>Best Offer</strong>

Compare & Choose the Best Offer

image of Curated Offers from <strong>Multiple Lenders</strong>

Curated Offers from Multiple Lenders

image of Highest <strong>Loan Approval Chances</strong>

Highest Loan Approval Chances

image of Easy & Transparent <strong>Borrowing Process</strong>

Easy & Transparent Borrowing Process

Explore Our Home Loan Lenders

HDFC BANKHDFC BANKAxis BankAxis BankKotak Mahindra BankKotak Mahindra BankICICI BankICICI BankFederal BankFederal BankIDFC First BankIDFC First BankIndusind BankIndusind BankRBL BankRBL BankSBI BankSBI Bank
View All Partners

Get a Home Loan For
Your Dream Home

Avail Home Loan Banner

FAQs

How will I decide the home loan amount I am eligible for?

You can decide the home loan amount you are eligible for by checking your EMI/NMI ratio. Your EMI/NMI ratio should be below 55% to get a higher loan amount.

What does an EMI mean?

An EMI, or the Estimated Monthly Instalment, is the fixed amount that is paid every month to repay the loan.

When should I apply for a plot loan?

If you want to purchase a plot and construct a house on it, you should apply for a plot loan.

How do I repay a plot loan?

You can repay a plot loan in Equated Monthly Installments through ECS/NACH mandate, standing instructions, online banking, online banking, post dated cheques, etc.

Can I get a loan to buy a plot?

Yes, you can get a loan to buy a plot if you fulfil the eligibility criteria.

Is there any plot loan processing fee?

The plot loan processing fee is usually the same as that for home loans. The fees might range up to 1.50% of the loan amount.

Is a plot loan better than a home loan?

It is difficult to say whether a plot loan is better than a home loan. Individuals should apply for either of the two loans based on their requirements and the rates and charges offered by the lenders.

How long will it take to process the plot loan?

The loan process might take around 2-7 working days after the loan application.

Are tax benefits available on plot purchase loans?

Plot purchase loans do not provide any tax benefits. To avail tax benefits, one must build a house on the plot purchased within 5 years of plot purchase.

Who can apply for a plot loan?

Both salaried and self-employed borrowers can apply for a plot loan.

quotes icon

What our customers say

Time saving process

Office ke chalte jyada samay nahi nikal pata tha. Paisabazaar ke online process ki wajah se na hi mene banks ke rates compare karliye ghar bathe balki mera loan application aur disbursal bhi ghar bathe hi ho gaya...bank jana hi nahi pada...

icon image of avatar
Pradeep SinghJan 7, 2026

Kam rates pe loan mila

Paisabazaar se mujhe bahut kam rate pe loan mil gaya...isse mere budget pe jada asar nahi pada aur jald hi mera apna ghar ho jayega..

icon image of avatar
Nidhi SharmaJan 6, 2026

eligibility check ho jati hai free

me home loan lene ka soch raha tha uske liye mene pehle paisabazaar app se free me apni eligibility check ki..usse mujhe pata chala muje kya cheeze improve karni hai aur fir mera loan jaldi approve ho gaya.

icon image of avatar
Shikhar SahuJan 5, 2026

Home loan mila yaahaan par

Mujhe home loan chahiye tha aur yahaan par sahayta kiya inhone aur loan mila. Pehla loan tha mera lekin sab ache se ho gaya.

icon image of avatar
Prem Prakash PandeyDec 7, 2025

Home loan here

I took home loan here and they helped me in every step specially in collecting and submitting documents at the time of approval.

icon image of avatar
Chandan SinghDec 1, 2025

Got the best home loan interest rate

I was confused and did not have so much time to carry out all the research, so I logged in to Paisabazaar’s portal and was able to see the home loan options I was eligible for. With the assistance of Paisabazaar’s experts, I was able to find the home loan that offered the rate of interest I could afford. Thank you Paisabazaar!

icon image of avatar
Anu BhatnagarSep 10, 2021

Excellent Home Loan Service by Paisabazaar

Ended up taking an ICICI Home Loan and I think it was one of the best decisions I ever made. I thank Paisabazaar for helping me out and answering my questions with so much patience.

icon image of avatar
KJ ThomasSep 10, 2021

Had a great experience with Paisabazaar

I have always heard my friends talking about how tedious it was for them to avail a home loan and decide the most suitable option. But with the help of Paisabazaar, I was able to compare several home loans and opt for the one that suited my needs. I am happy that I considered Paisabazaar for helping me.

icon image of avatar
Ritesh SharmaSep 10, 2021

quick and easy home loan process

I had never thought that applying for a home loan could be so easy. The entire process was online and I didn’t have to go anywhere for application or documentation of my home loan. Paisabazaar experts helped me navigate through the process and later the bank collected my documents and everything was quick and seamless.

icon image of avatar
Rupanjali MishraSep 3, 2021

Satisfied experience with Paisabazaar

I am satisfied with my home loan experience with Paisabazaar. I could easily compare different home loan options and apply for the home loan. Their customer care team also called me to confirm all the details and soon after the bank contacted to take the process forward. The process was really smooth.

icon image of avatar
Soumil KhannaSep 3, 2021
View All Testimonials
Anubhuti Agrawal profile
Written ByLinkedIn icon
Anubhuti Agrawal
Shamik Ghosh profile
Reviewed ByLinkedIn icon
Shamik Ghosh

Paisabazaar is a loan aggregator and is authorized to provide services on behalf of its partners

*Applicable for selected customers

Knapsack with coins

Check Handpicked Home Loan Offers
At Affordable Rates

Scroll to top