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View AllA secured loan known as a "loan against property" is authorised against a piece of property that serves as security. Banks, housing finance firms, and NBFCs offer loans secured by either commercial or residential property. Regardless of whether they operate a business or are employed, anyone with a pre-owned property may apply for one of these loans.
You can get high-value funds via a loan against property at rates that are far lower than those of conventional loans. In comparison to other loan options, Loan Against Property is a wise financial decision that will support you over the long term and aid in maintaining stability.
Features of SS Finance Loan Against Property
Eligibility Criteria for Loan Against Property
There are certain age and income specifications that borrowers have to meet, to mortgage their property. Financial institutions mostly offer LAP to the below mentioned category of borrowers:
Salaried applicants
Self-employed applicants
Note: Loans are approved only when the self-employed can show an earning track record of three years, usually via income tax returns.
LAP processing fee: Most banks, including public lender SBI, charge 1% of the loan amount as processing fee, which could go as high as 3% too. Apart from the processing fee, the borrower also has to pay several small expenses, including documentation charges, commitment fee, valuation fee, stamp duty charges and GST.
Salaried applicants
Self-employed applicant
You can avail up to 50% of the property value as LAP. However, the amount will depend on the property type and other checks.
You can mortgage residential property for availing loan against property. However, the property should be free from any charge, i.e. there should be no other loan running on the property offered as a security for LAP.