Loan against property can help you cope up with your emergency fund requirement or when required to repay some on-going loan amount. It is a secured loan which means it is offered only when you keep freehold residential property with the bank as security. Home loan interest rate is allocated according to the customer’s age, salary, loan amount, financial stability, repayment capability, etc.
Loan Against Property (LAP) Interest Rates
Different banks offer different loan against property interest rates. It majorly depends on the property amount and your CIBIL score that speaks about your repayment capacity. Your monthly income is also considered for the property loan.
|Loan Against Property Interest Rates|
|Interest Rate||9.90% onwards|
|Processing Fee||Upto 1% of loan amount|
|Loan Tenure||Upto 20 years|
|Prepayment Charges||Nil charges|
Loan Against Property Interest Rates Comparison
Mortgage Loan Interest Rates in All Banks and NBFCs
|Processing fee||Loan Amount (Rs)||Maximum|
|Canara Bank||11.70%||Rs 5,000-50,000||Up to 50% of the property’s value (Maximum Rs 10 crore)||7|
|SBI||9.95%-11.55%||1% of the loan amount (Maximum Rs 50,000)||10 lakh-7.0 crore||15|
|Syndicate Bank||11.60%||0.5% of loan amount (Minimum Rs 500)||Up to 50% of the property’s realisable value||10|
|UCO Bank||10.85%-11.85%||1% of loan amount||2 lakh-5 crore||12|
|Kotak Mahindra Bank||9.90%-10.65%||Up to 2% of loan amount||10 lakh-5 crore||15|
|ICICI Bank||10.20%-11.95%||1% of loan amount||10 lakh-5 crore||15|
|Axis Bank||11.35%-11.85%||1% of loan amount (Minimum Rs 10,000)||5 lakh-5 crore||20|
|Federal Bank||11.90%-15.15%||1% of loan amount (Minimum Rs 3,000)||Up to 5 crore||15|
|HDFC Ltd.||10.65%-12.40%||Up to 1.5% of Loan amount||Upto 60% of the property’s market value|
(existing customers); Up to 50% for new ones
|IIFL||12.50%-22.00%||Up to 3% of loan amount||Up to 10 crore|
(Up to 65% of property’s market value)
|LIC Housing Finance||11.30%-12.30%||1% of loan amount||Rs 2 lakh onwards||15|
|Piramal Housing Finance||10.00% onwards||Up to 4% of loan amount||Up to 75% of property’s|
current market value
LAP Interest Rate Calculator
Loan against property interest rate calculator helps you get the approximation of the loan amount you are eligible for and the interest rate at which you can borrow the loan against your commercial or personal property. The rate of interest for the loan is based on the customer’s profile, which covers company name, salary, credit history, etc.
Below mentioned are the top leading banks/NBFCs providing LAP at attractive interest rates, features and benefits:
Any individual employee / professional & self-employed and other can apply for Loan Against Property with State Bank of India. Loan should be liquidated before the age of 70 yrs of the borrower.
Loan against property Interest rate: 9.95% onwards
- Loan Amount: Min Rs. 10 Lakhs
- Loan Amount Max: Rs. 7.5 Cr (depends on property location)
- Minsalary requirement: Rs. 25000/- per month
- Processing Fee: Upto 1% of loan amount+ taxes, maximum Rs. 50,000 + taxes
Max: 65% of market value of property subject to EMI/NMI not exceeding 50% with a ceiling:
- For Tier I and Tier II Cities (list annexed-I) : Max: Rs 2.00 Cr
- Rest of India: Max : Rs 1.00 Cr
- Max Rs: 50 lacs for the State of Orissa, West Bengal, Meghalaya, Mizoram, Arunachal Pradesh, Assam, Tripura, Manipur and Nagaland but excluding those cities which are covered under Tier I and II cities given in Annexure – I
HDFC offers higher Loan amount with Lower EMI (Equated Monthly Instalment) for personal or professional use. It provides flexible repayment – Option to choose between Dropline Overdraft Facility and EMI based loan. And, it has specially designed programs for the Self Employed.
Loan against property Interest rate: 10.80% onwards
Marginal Cost Lending Rate (MCLR): 9.60%
|Charges||Loan Against Property / Loan for Commercial Property||Loan Against Rent Receivables||Dropline Overdraft Against Property / Commercial OD against Property|
|Rack Interest Rate Range||MCLR + 1.20%|
MCLR + 2.10%
|MCLR + 1.20%|
MCLR + 2.10%
|MCLR + 1.70%|
MCLR + 2.60%
|9.60% to 10.50%||9.60% to 10.50%||10.10% to 11.00%|
There are other charges also associated with the same such as prepayment, late payment, bounce cheque, stamp duty etc.
ICICI Loan against property safeguards your personal and business dreams. It comes with attractive interest rates and faster processing. The tenure is up to 15 years and can be availed against commercial / residential property availed for Starting a new business, long term working capital, funding children’s higher education or repaying your high interest debts.
Loan against property Interest rate: 11.35% onwards
- Loan Amount: Min: Rs. 20 lakhs
- Loan Amount: Max: Rs. 20crores
- Maximum Tenure: 15 years
- Pre-closure charges: Upto 4% of loan amount
Axis Bank Loan Against Property
Axis Bank offers loan against property wherein you can put your commercial or residential property as collateral.
Loan against property Interest rate: 11.30% onwards
- Loan Amount: Min: 5 lakhs
- Loan Amount: Max: 5 crores
- Maximum Tenure: 20 years
TATA Capital is considered as one of the leading provider of loan against property which can be used for personal use and are offered at attractive interest rate.
Loan against property Interest rate: 10.50% onwards
- Loan Amount: Min: 1lakh
- Loan Amount: Max: 3crores
- Maximum Tenure: 15years
- Pre-closure Fee: Up to 2%of loan amount
Loan against property has always been a handy option for people who own residential or commercial property. Getting loan becomes easy as collateral is provided and further is considered as less risky for lenders to sanction loan to applicants.