Loan Against Property (LAP) Interest Rates
A Loan Against Property (LAP), also known as a property loan, is a secured loan where you obtain funds by pledging your property as a collateral. When seeking a LAP, it is prudent to check the interest rate as it affects the overall cost of borrowing. While a lower interest rate can reduce your total repayment amount, a higher rate can increase your financial obligation. To minimise the cost of borrowing, it is essential to opt for a property loan at competitive interest rates.
Bajaj Housing Finance offers Loans Against Property at attractive interest rates starting at just 9.40%* p.a. for salaried and professional applicants. We disburse the loan amount in as few as 72 hours* from document submission.
You can avail of a Loan Against Property, at nominal fees and charges. Salaried, professional, or self-employed applicants can make the most of our offerings at the below property loan interest rates.
Salaried Floating Reference Rate: 15.30%*
Interest Rate (Floating) for Salaried Borrowers and Self-Employed Professionals
| Loan Type | Effective ROI (p.a.) |
|---|---|
| Fresh LAP | 9.40%* to 18.00%* |
| LAP (Balance Transfer) | 9.40%* to 18.00%* |
Self-Employed Floating Reference Rate: 16.20%*
Interest Rate (Floating) for Self-Employed Applicants
| Loan Type | Effective ROI (p.a.) |
|---|---|
| Fresh LAP | 9.40%* to 18.00%* |
| LAP (Balance Transfer) | 9.40%* to 18.00%* |
For a complete list of interest rates, please click here.
Note:
- Bajaj Housing Finance charges an additional rate, called ‘spread,’ over the benchmark rate to arrive at the final lending rate. The spread varies on the basis of various parameters, including the bureau score, profile, segments, and approval from competent authorities, among others.
- BHFL may grant loan below or above the documented rate of interest (up to 100 basis points) in deserving cases on exceptional basis under the powers of the competent authority, vested with them.
- The above benchmark rates are subject to change. Bajaj Housing Finance will update the current benchmark rates on this website in the event of a change.
Processing Fees and Other Charges for Loan Against Property
| TYPE OF FEE | CHARGES APPLICABLE |
|---|---|
| Processing Fee | Up to 4% of the loan amount + GST as applicable |
| EMI Bounce Charges | Refer to the table provided below for the full break-up |
| Penal Charges | Click here to know about the penal charges |
Note:
- For term loans, charges will be calculated on the outstanding principal amount
- For flexi interest only/hybrid flexi loans, charges will be calculated on the sanctioned limit
- For flexi term loans, charges will be calculated on the current dropline limit
EMI Bounce Charges
| Loan Amount (in Rs.) | Charges (in Rs.) |
|---|---|
| Up to Rs.15 Lakh | Rs.500 |
| More than Rs.15 Lakh and up to Rs.30 Lakh | Rs.500 |
| More than Rs.30 Lakh and up to Rs.50 Lakh | Rs.1,000 |
| More than Rs.50 Lakh and up to Rs.1 Crore | Rs.1,000 |
| More than Rs.1 Crore and up to Rs.5 Crore | Rs.3,000 |
| More than Rs.5 Crore and up to Rs.10 Crore | Rs.3,000 |
| More than Rs.10 Crore | Rs.10,000 |
Prepayment and Foreclosure Charges
| Borrower Type: Individual | Term Loan | Flexi Loan |
|---|---|---|
| Foreclosure Charges | NIL | NIL |
| Part-Prepayment Charges | NIL | NIL |
*For purposes other than business
| Borrower Type: Non-Individual | Term Loan | Flexi Loan |
|---|---|---|
| Foreclosure Charges | 4%* on the Principal Outstanding | 4%* on the Sanctioned Amount during the Flexi Interest Only Loan Repayment Tenure; and 4%* on the available Flexi Loan Limit during the Flexi Term Loan Tenure |
| Part-Prepayment Charges | 2%* on the Part-Prepayment Amount | NIL |
*Not including GST
Application Process for a Loan Against Property
The Loan Against Property application process is simple and straightforward with Bajaj Housing Finance. Individuals should try to meet all eligibility requirements before they go ahead and apply to increase their chances of approval. Once applicants meet the eligibility criteria for property loans, approval and disbursal can be easy.
- Visit our Loan Against Property application form.
- Fill in the required personal, financial, and property-related details.
- Proceed to enter OTP and enter the required financial details.
- Submit the application form online.
A representative from Bajaj Housing Finance will contact you within 24 hours*. Make sure to keep the required documents handy before initiating the mortgage loan process to fast-track loan processing and improve the chances of approval.
Tips to Avail of a Mortgage Loan at Low-Interest Rate
Here are some of the tips to avail of a Loan Against Property at a low rate of interest:
- Maintain a credit score of 750 and above
- In case you have other sources of income, disclose them to show a higher repayment capacity
Factors Affecting Mortgage Loan Interest Rates
The property loan interest rates are influenced by various factors:
- Credit Score: A higher credit score can lead to a lower interest rate as it indicates responsible credit behaviour.
- Type of Property: Self-occupied residential properties often receive lower interest rates compared to commercial or non-self-occupied properties.
Considering these factors can help borrowers secure favourable mortgage loan interest rates.
*Terms and conditions apply.
Loan Against Property Interest Rate: FAQs
You can use a Loan Against Property EMI Calculator to compute the total interest payable on the advance for a selected tenure. Access the Bajaj Housing Finance EMI calculator and enter the required details, including the loan amount, the desired tenure, and the interest rate applicable to calculate the amount payable accurately. The EMI calculator also provides you with the EMI payable, the total loan amount, and the amortisation schedule.
Yes, existing Loan Against Property borrowers can benefit from our competitive interest rates, through our attractive Loan Against Property Balance Transfer options. If borrowers are dissatisfied with their Loan Against Property interest rates, they can consider moving their loan balance to Bajaj Housing Finance. They can benefit from our low interest rate starting from 9.40%* onwards, for self-employed applicants, basis eligibility.
Both salaried and self-employed individuals can avail of a property loan from Bajaj Housing Finance, provided they fulfil the necessary eligibility requirements. The criteria you need to fulfil for successful loan approval include age, employment, property value, and city of residence.
Yes, it is possible to apply for a property loan while you are servicing an existing loan. However, to receive hassle-free approval, make sure that your repayment capacity is at par with the new EMI liability as well as the existing EMIs payable. Note that you cannot obtain a Loan Against Property using a property that already serves as a collateral for another existing loan.
You can check your credit utilisation ratio and fixed obligation-to-income ratio to better assess your loan eligibility. Check the applicable property loan interest rates for accurate EMI determination and proceed with repayment capacity evaluation.
The CIBIL score is an important parameter that indicates an individual’s creditworthiness and financial habits. It is, thus, ideal to maintain a CIBIL score of 750 or more to secure credit.
Check all eligibility requirements on the dedicated, Loan Against Property eligibility criteria page. Both salaried and self-employed individuals can check their approximate loan amount eligibility with the property loan eligibility calculator provided for free. The financial tool is easy to use and requires only a few essential details to display the eligible loan amount.
Eligible salaried, professional, and self-employed applicants can avail of a Loan Against Property at attractive rates and repay the total sum over a repayment tenure that can stretch up to a maximum of 17 years. The Loan Against Property tenure is meant to accommodate a relaxed repayment schedule that meets your financial needs.
