A loan against property, or LAP, is a mortgage or secured loan that is availed after pledging a property as collateral. The interest rate starts at 9% p.a.
You can avail of a LAP up to 80% of the property value for a maximum of 15 years.
Loan Against Property (LAP) is a secured loan availed by mortgaging your self-owned property. You can use it for personal or business purposes. The property acts as collateral, and the Loan-to-Value (LTV) usually ranges from 50% to 90% of the property value.
| Bank Name | Interest Rate | Processing Fees |
|---|---|---|
| HDFC Bank | 9.50% - 11.00% | Up to 1.50% + taxes |
| IDFC First | 9.00% - 20.00% | Up to 3% of Loan Amount |
| HSBC Bank | 9.75% | 1% + GST |
| Kotak Mahindra Bank | 9.50% - 10.50% | 1% + GST |
| PNB Housing | 9.24% - 12.45% | 2% + GST |
| SBI | 10.10% - 11.65% | Up to 1% |
| Federal Bank | 11.15% - 14.80% | 0.50% |
| Home First | 12.80% - 18.50% | Rs 2,500 + GST |
| Bank of India | 10.10% | Up to 0.50% |
| Yes Bank | 8.85% | Up to 1% + GST |
Other charges may include upfront fees, valuation charges, legal scrutiny, mortgage registration, prepayment charges, and insurance.
LAP can be prepaid before the end of tenure. No prepayment charges for floating rates; for other loans, charges may range from 2% to 5% of outstanding amount.