Loan Against Property

A Loan Against Property (LAP) is an amount that an applicant can borrow from a bank/ financial institution against the asset pledged as a collateral/ security and can use the borrowed funds for their personal or business use. The asset is either be an owned land, house, shop or any other commercial property. The asset remains as collateral with the lender until the loan against the property amount is fully repaid.

Applicant pay it back in Equated Monthly Instalment (EMI) over a tenure upto 15 years. Applicant can use Loan Against Property for a variety of purposes, such as expansion of business, to increase working capital needs, for buying or replenishing inventory, for purchasing equipment, for office expansion, debt consolidation or to meet any other business needs.

Following are the key features and benefits of a loan against property:

No end-usage restriction
No-Limit of Loan amount
Flexible repayment tenure of upto 30 years
Minimal documentation
Quick disbursals

To apply for LAP, applicant need to submit the following documents:

KYC documents :Passport size photos, Photo ID (Aadhaar Card & PAN Card or Voter ID or Driving Licence), residential proof (utility bills/ration card/ Bank Passbook, etc.)
Income/Financial Documents : Latest 3 years ITR with annexures of all the partner/directors/Company
Partnership Deed / MOA & AOA with Certificate of Incorporation
GST Registration Certificate with GST returns
Permanent Account number (PAN)
MSME Certificate
List of Directors and Shareholding in case of Company
Latest paid Utility Bill of business premises
Professional Qualification Documents : Degree of Doctorate/Chartered Accountant/ Company Secretary, if any
Bank Account Statement : Latest 6 months/1 year bank statement
Property Documents : Complete Chain since allotment of the proposed Property

Note: Additional documents may be requested at the time of loan processing depending upon the requirement of the lender.

Age : 25 years to 70 years
Employment : Salaried or self-employed with own business or proprietor / partner / director of an existing business
Credit Score : 650 or above