LIC Loan Against Property 2020
|Interest Rate||Decided at the time of loan application|
|Minimum Loan Amount||Rs. 2 lakh|
|Loan Tenure||Up to 15 years|
|Processing Fees||1% of the loan amount sanctioned+GST|
LIC Housing Finance offers Loan Against Property (LAP) at an attractive interest rate which is decided on the basis of the required loan amount, borrower’s CIBIL Score, and the age of the property. Availing LAP from LIC provides the flexibility to use both residential and commercial property as collateral. The funds availed against the property can be used by a customer to fulfill his/her personal as well as business requirements. LIC LAP facility is available only to Indian Resident customers.
Features & Benefits of LIC Loan Against Property
Mentioned below are some features and benefits of LIC LAP that customers get to enjoy.
- Flexible tenure of up to 15 years
- Dedicated schemes for individuals and listed/unlisted companies
- Freedom to use funds for any financial need
- High loan-to-value ratio
- Affordable rate of interest
- Swift and hassle-free loan processing
- Simple documentation
LIC Housing Finance Interest Rate
The interest rate offered by LIC Housing Finance on a Loan Against Property is decided at the time of loan application, on the basis of the required loan amount, borrower’s repayment history (CIBIL Score), and age of the property to be mortgaged.
Check Also: Interest Rates of Loan Against Property
LIC Housing Finance Processing Fees & Other Charges
|Processing Fee||1% of the loan amount|
|Stamp Duty/Franking charges||As per Actual|
|Statutory/Regulatory Charges||As per Actual|
* Applicable Goods and Services Tax (GST) will be levied in addition to the mentioned charges.
Note: Other loan-related charges as applicable will be levied by the bank as and when required.
LIC Loan Against Property EMI Calculator
Loan against property EMI calculator is a free and easy-to-use online tool to find an estimate of the monthly instalments to be paid towards loan repayment. Customers can use Paisabazaar’s Loan Against Property EMI calculator any time, as it is available 24/7 on the Paisabazaar website.
Follow the below-mentioned steps to calculate EMI using Paisabazaar’s LAP EMI Calculator.
- Visit Paisabazaar’s Loan Against Property EMI Calculator page
- Enter the following details, manually or by using the movable slider available on the page:
- Loan Amount: This is the principal amount borrowed from the bank or NBFC by the customer. Higher the loan amount, higher the EMI
- Rate of Interest: This is the most critical factor that determines your ability and the ease to repay the loan. Different banks and housing finance institutions offer different interest rates which keep changing from time to time. Higher interest rate on your loan means higher EMI amount to be paid
- Loan Tenure: This is the time within which the borrower needs to repay the loan amount fully. The loan tenure depends on the borrower’s current age and the retirement age. Longer the tenure, smaller the EMIs and vice versa
Upon filling all the relevant details, the monthly installment amount will show up instantly in the right panel.
LIC Housing Finance Eligibility Criteria
The minimum requirements that a customer must meet in order to avail a mortgage loan from LIC Housing Finance are as follows:
|Eligible Profiles||● Salaried and Self-employed Resident Individuals|
● Listed/Unlisted Companies
|Other Conditions||Age of the property to be mortgaged should not be more than 35 years|
|Age||Minimum: 21 years|
Maximum: 65 years (at the time of loan maturity)
Documents Required for LIC Loan Against Property
The table below shows the list of documents required to apply for a Loan Against Property with LIC.
|Salaried Individuals||Self Employed Individuals|
|Duly filled in and signed the application form with photographs||Duly filled in and signed application form with photographs|
|Identity, address and age proof||Identity, address and age proof|
|Salary slip of last 3 months||ITR and financial statements, including balance sheet, profit & loss account, schedules. (documents must be certified by a CA)|
|Bank statement of the past 6 months||Bank statement of the past 12 months|
|Form-16 and Income Tax Returns (ITR) details of two years||For partnership firms: Latest partnership deed|
For companies: Latest Memorandum and Articles of Association (CA certificate on profit sharing ratio/list of directors/shareholding partnership)
For Limited Liability Partnership: LLP Agreement
|Title documents of the property||Title document of the property along with business address proof|
Apply for LIC LAP on Paisabazaar.com
Customers can apply online for LIC LAP through Paisabazaar.com by simply following the below-mentioned steps.
- Visit Loan Against Property page
- Fill in the following information:
- desired loan amount
- employment type
- annual income
- contact details
After this, various LAP offers, which you are eligible for, will appear on your screen from multiple banks. Select LIC Housing Finance from the list and click on the ‘Submit’ button. Soon, a representative from Paisabazaar will connect with you on the provided contact number to process your application.
LIC LAP Schemes
LIC offers two LAP schemes to meet the needs of customers. Here are the details.
- LAP Individual: This scheme is available to individual resident Indian customers who wish to avail a loan against mortgage of a residential house/flat. The loan amount can be used for:
- Children’s Education / Marriage
- Purchase of another Property
- Business Expansion
The disbursement of the loan is done in the form of Equated Monthly Installments (EMI) – Monthly Rest Basis.
- LAP for Companies: This scheme is specially designed for listed/unlisted companies, to offer financial assistance against the security of commercial property (owned/to be purchased with the help of the loan). The loan amount can be used for repayment of existing loans (including takeover), purchase of fixed assets, etc. It is important to note that the maximum repayment tenure offered under the scheme is 10 years.
LIC Housing Finance Customer Care Details
Customers can reach out to LIC Housing Finance Limited through the below-mentioned contact details to get their loan-related queries addressed.
- Email: firstname.lastname@example.org
- Phone: 912222178600
Alternatively, customers may visit this link and fill in the required details to register an enquiry.
Q1. What is the security required to avail a LAP?
The security required to avail a LAP from LIC are:
- Equitable/Registered Mortgage of Residential Property
- Demand Promissory Note.
Q2. How does LIC Housing Finance calculate loan amount eligibility?
The eligibility of a customer to avail a certain loan amount depends upon the following factors.
- Repayment capacity,
- Co-applicant’s income,
- Age of the property,
- Value of the property,
- Current liabilities, and
- Credit history.
Q3. Is it mandatory to have property Insurance?
Yes, it is necessary to have property insurance in order to protect it against any uncertain disaster or natural calamity during the tenure of the loan.