Loan Against Property Eligibility Criteria

Some of the Elgibility Criteria when applying for a Loan Against Property Are As Follows

•    Income

•   Age (min. 21 years)
•   Property Valuation
•   Existing Liabilities (if any)
•   Current Work Experience
•   Financial Documents
•   Number of Dependants

The eligibility for LAP is calculated on basis of either the percentage of property value that you own and the amount of income you have to enable you to return the EMI on the Loan. So you can get Loan against property upto annex % of property value and the net amount that you earn after other EMI has been deducted from your net income

Loan against Property is given on the below mentioned property types and the percentage of loan you can get is given below:

Loan Against Property – For a Residential Property

•    Self Occupied – 65% of Property Value
•    Vacant – 55% of Property Value
•    Rented – 55% of Property Value

 

Loan Against Property – For a Commercial Property

•    Self Occupied – 50% of Property Value
•    Vacant – 40% of Property Value
•    Rented – 40% of Property Value
•    This varies from Bank to Bank by 5 – 10% of the above mentioned percentages.
•    In order to calculate how much you would be estimated to pay, most banks use a formula which is given below.

 

Loan Against Property for Salaried Individuals:-

{(NTH – Obligation) * 60%} / EMI per Lac

Loan Against Property for Self Employed Individuals:-

{(NTH – Obligation) * 65%} / EMI per Lac

Whichever is lower from the value of the property or your income- that loan amount will be given to you.

Other Eligibility Criteria Revolves Around the Maximum Age of The Person Applying For The Loan

•    For Salaried employees – 60 Years
•    For Self-Employed – 70 Years