Copyright © 2024 MultiOwner All Rights Reserved.
India’s First Property Investment
Platform
OVERVIEW
Loan Against Property
In today’s dynamic financial landscape, individuals and businesses often seek innovative ways to leverage their assets to meet diverse financial needs. One such avenue gaining traction is the concept of “Loan Against Property” (LAP), a versatile financing solution that allows borrowers to unlock the value of their real estate holdings.
At its core, a Loan Against Property is a secured loan that enables borrowers to pledge their owned property as collateral in exchange for a lump sum of money from a financial institution. The property offered as collateral can be residential, commercial, or even a piece of land, providing borrowers with a wide range of assets to tap into for financing purposes.
At its core, a Loan Against Property is a secured loan that enables borrowers to pledge their owned property as collateral in exchange for a lump sum of money from a financial institution. The property offered as collateral can be residential, commercial, or even a piece of land, providing borrowers with a wide range of assets to tap into for financing purposes.
Send Inquiry
Apply for Loan Against Property
Send us your details, and our executive will be in touch with you shortly.
Key Features and Benefits:
- Larger Loan Amounts:Compared to other forms of personal or business loans, Loan Against Property typically offers higher loan amounts, as the value of the property serves as security, mitigating the lender's risk.
- Lower Interest Rates: Due to the secured nature of the loan, lenders often extend more favorable interest rates on Loan Against Property, making it an attractive option for borrowers seeking cost-effective financing.
- Flexible Repayment Terms: Borrowers have the flexibility to choose repayment terms that align with their financial capabilities, with options for longer tenures to spread out the repayment burden.
- Multipurpose Utility: One of the most significant advantages of Loan Against Property is its versatility. The funds acquired can be utilized for a variety of purposes, including debt consolidation, business expansion, home renovation, education expenses, medical emergencies, and more.
Eligibility Criteria for Loan Against Property
The eligibility criteria for availing LAP varies across lenders, below are some general conditions that must be fulfilled to apply for loan against property:
- Residential Status: Resident Indian and Non-resident Indian
- Minimum Age Limit: 18 years
- Maximum Age Limit: 70 years
- Employment Type: Salaried, Self-employed Professional and Self-employed Non-Professional
- Minimum Salary: At least Rs. 12,000 per month
- Net Annual Income: At least Rs. 1.5 lakh p.a.
- Work Experience: At least 1 year in the current organization
- LTV Ratio: Up to 75% of property value
- Credit Score: Preferably 750 and above
- Property Type: Residential, Commercial and Industrial properties are eligible to be pledged as collateral. Lenders will also consider the age and condition of the property before accepting the property as collateral.
Documents Required to Apply
- Proof of Identity (Passport/ Voter ID Card/ Driving License/ PAN Card)
- Proof of Residence (Ration card/ Telephone Bill/ Electricity Bill/ Rental Agreement/ Passport/ Bank Passbook or Statement/ Driving License)
- Proof of Age (PAN Card/ Passport/ Any other certificate from a statutory authority)
- Proof of Income for Salaried (Form 16, Latest Payslips, ITR of past 3 years and investment proofs (if any)
- Proof of Income for Self Employed (Details of ITR of last 3 years, Balance Sheet and Profit & Loss Account Statement of the Company/Firm, Business License Details and Proof of Business Address)
- Property-related Documents (Title Deeds including the previous chain of the property documents, Nil Encumbrance Certificate on the concerned property, approved plan [if applicable])