What Is a Loan Against Property?

A Loan Against Property is a secured loan where the borrower mortgages a property to obtain funds. Banks and NBFCs evaluate the property's market value and offer a loan amount typically between 50% to 80% of the value. This type of loan is suitable for business expansion, working capital, debt consolidation, medical emergencies, education expenses, home renovation, or large personal financial requirements.

Why Loan Against Property Is One of the Most Preferred Loan Types

This loan is widely used because of its cost-efficiency, stability, and high approval possibility. Since lenders have collateral security, the interest rate remains significantly lower than Personal Loans or Business Loans.

Eligibility Criteria for Loan Against Property

Eligibility varies depending on the lender, but the general criteria include:

• Applicant age: 21–65 years
• Stable income source (salaried or self-employed)
• Property ownership must be clear with valid legal documents
• Property should not be disputed or under litigation
• Good credit profile (650+ recommended)

Documents Required for Loan Against Property

The standard document list includes:

• PAN Card
• Aadhaar Card
• 6–12 Months Bank Statement
• Salary Slip or Business Proof (for self-employed)
• Income Tax Returns (optional for some NBFCs)
• Property Chain Documents
• Property Tax Receipt
• Electricity Bill / Address Proof
• Latest Photographs

You can also check the LAP category here: Property Loan / LAP

Interest Rates for Loan Against Property

Interest rates depend on the lender and applicant profile. LAP interest rates are generally:

Top Benefits of Loan Against Property

• Lower interest cost than Personal Loan
• Large loan amount depending on property valuation
• Repayment flexibility up to 20 years
• Available for both salaried and self-employed
• Loan can be used for business, personal, or emergency needs
• Property ownership remains with you
• High approval rate when documents are complete

Why LoanSathi.in Is the Best Platform for Loan Against Property

Loansathi.in is one of India’s fastest-growing digital lending support platforms. We help borrowers get approved by matching their profiles with the right lenders among 150+ Banks and NBFCs. LoanSathi does not issue loans directly — instead, it prepares your documents, evaluates your financial profile, and applies on your behalf to the best suitable lenders to maximize approval chances.

What LoanSathi Does:

• Collects required documents from the customer
• Checks profile eligibility for best interest rate
• Submits applications to multiple partnered lenders
• Handles verification process assistance
• Provides complete guidance until loan approval

Loan Types Supported by LoanSathi:

• Personal Loan
• Business Loan
• Home Loan
• Education Loan
• Credit Card Loan
• Quick Loan
• Easy Loan
• Gold Loan
• Car / Vehicle Loan
• Loan Against Property

When Should You Choose a Loan Against Property?

LAP is the right choice when you need large funds at affordable interest rates. It is ideal for:

• Business expansion or new startup investment
• Working capital requirements
• Medical expenses
• Higher education funding
• Home renovation or construction
• Debt consolidation

How to Apply for a Loan Against Property Through LoanSathi

You can apply directly via the official LAP form link: Apply for Loan Against Property

After filling the form:

• LoanSathi team verifies your documents
• Your profile is matched with best lenders
• Application is submitted to suitable NBFCs/Banks
• You receive the best offer based on your property valuation