Loan Against Property (LAP)

Guide: Eligibility, Benefits & Why Use IRB’s Intermediate Service

What is a Loan Against Property?

A Loan Against Property (LAP) is a secured loan where individuals or businesses can borrow money by pledging their residential, commercial, or industrial property as collateral. This type of loan can be used for various personal or business needs like:

• Business expansion
• Education expenses
• Medical emergencies
• Debt consolidation
• Wedding or travel funding

Since it’s a secured loan, interest rates are usually lower and loan tenures are longer compared to personal loans.

✅ Eligibility for a Loan Against Property

Eligibility may vary depending on the lender and the applicant’s financial profile. However, general eligibility criteria include:

1. Applicant Type

• Salaried professionals, self-employed individuals, and business owners.

2. Age

• Salaried: 21 to 60 years
• Self-employed: 25 to 65 years

3. Income Stability

• Salaried applicants should have steady employment with a regular monthly income.
• Self-employed applicants must show consistent business income and profitability over the last 2–3 years.

4. Ownership of Property

• Applicant must be the legal owner of a residential, commercial, or industrial property located within approved municipal limits.

5. Credit Score

• A credit score of 650 or above is generally preferred. Higher scores may qualify for better rates.

6. Property Condition

• The pledged property should be free from legal disputes, structurally sound, and properly documented.

🌍 Why Use the Intermediate Service for Loan Against Property from International Resource Bank (IRB)?

The Intermediate Service from IRB simplifies and enhances your experience of availing a Loan Against Property. Here’s how:

1. Expert Loan Structuring

• Get help to structure your loan amount, tenure, and EMI based on your exact financial needs and property value.

2. Higher Loan Sanctions

• The Intermediate Service maximizes your chances of getting up to 70% of your property’s market value as a loan.

3. Better Interest Rates

• Benefit from customized rate negotiations, especially if you have a good credit profile or are a long-term IRB customer.

4. Fast and Hassle-Free Processing

• Dedicated loan advisors ensure speedy processing, from application to property valuation and disbursal.

5. Legal & Technical Assistance

• Get help with property title verification, valuation, and documentation, reducing the chances of application rejection.

6. Transparent Communication

• Get full clarity on loan terms, interest rates, foreclosure charges, and documentation with no hidden costs.

💬 Frequently Asked Questions (FAQs)

Q1. What types of properties can be used for LAP?

A: You can pledge:

• Self-occupied or rented residential property
• Commercial spaces (shops, offices)
• Industrial properties owned by the applicant

Q2. What is the maximum loan amount I can get?

A: IRB typically offers up to 60-70% of the property’s market value, depending on the type, location, and documentation.

Q3. What is the interest rate on a Loan Against Property?

A: Interest rates generally start from 9.25% p.a. and vary based on credit profile, income, and loan amount.

Q4. How long can I take to repay the loan?

A: Tenures can range from 5 to 20 years, depending on the borrower’s profile and repayment capacity.

Q5. Is income proof necessary?

A: Yes. Even though the loan is secured, lenders assess your repayment ability using salary slips, bank statements, or ITRs.

Q6. Can I continue using the property after getting the loan?

A: Absolutely. You retain ownership and usage rights of the property during the loan period.

Q7. Why should I apply through the Intermediate Service at IRB?

A: IRB’s Intermediate Service ensures:

• Personalized support and financial advice
• Accurate property valuation
• Faster approvals
• Negotiated terms and lower interest rates
• Seamless documentation and legal support

🏁 Final Thoughts

A Loan Against Property is one of the smartest ways to unlock the value of your owned assets and raise funds for large-scale financial needs. And with the expert assistance of IRB’s Intermediate Service, the process becomes faster, safer, and more rewarding.

Before applying:

• Get your property papers ready
• Understand your funding requirement
• Use IRB’s EMI and eligibility calculators
• Consult an Intermediate Service advisor for a smoother journey