Can i get loan against property is a question many people ask when they need a large amount of money for business or personal use. If you own a house or a commercial space, you might be thinking: can i get loan against property even with a mid-range salary? The answer depends on your property value and your monthly earnings. In 2026, banks have made the process clear for everyone. To see if you can i get loan against property, you must look at your credit score and the legal status of your asset.
A loan against property (LAP) is a secured loan where you pledge your property as collateral. Banks give you money based on a percentage of the property’s market value. Since the bank has your property papers as security, the interest rates are often lower than personal loans.
Eligibility: Who Can I Get Loan Against Property From?
To know if you can i get loan against property, you need to meet certain age and income rules. Banks divided applicants into two groups: salaried and self-employed.
Salaried Individuals
If you work for a company, your eligibility depends on your monthly take-home pay.
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Age: You should be between 21 and 60 years old.
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Income: Most banks need a minimum net monthly income of ₹25,000 to ₹40,000.
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Work Experience: You need to have a job for at least 2 to 3 years.
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Property Use: You can use your residential or commercial property.
Self-Employed Individuals
For business owners, the rules are slightly different.
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Age: You should be between 25 and 70 years old.
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Income: Banks look at your Profit and Loss (P&L) statements for the last 3 years.
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Business Stability: Your business should be running for at least 3 to 5 years.
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CIBIL Score: A score of 750 or higher is best.
Many people wonder, can salaried person get loan against property? Yes, and they often get better rates since their income is stable. If you are a business owner, you can check business loan eligibility to compare it with LAP.
Main Factors for Approval in 2026
In February 2026, the Reserve Bank of India kept the repo rate at 5.25%. This means interest rates for LAP are stable. But, just having a property is not enough. To answer “can i get loan against property,” banks look at these four main things:
1. The Property Valuation
Banks do not give you 100% of the property value. They use a metric called Loan-to-Value (LTV) ratio. For residential properties, the LTV is usually 60% to 70%. For commercial properties, it is 50% to 60%.
For example, if your house is worth ₹1 Crore, the bank might give you ₹60 Lakh to ₹70 Lakh. You can use a mortgage loan calculator to see your potential EMI.
2. Credit Score (CIBIL)
Your credit history shows how you handled past debts. A score above 750 makes the bank trust you. If your score is low, you might ask: can i get loan against property with low CIBIL? It is possible, but you will pay a much higher interest rate.
3. Repayment Capacity
The bank calculates your FOIR (Fixed Obligation to Income Ratio). They want to make sure your total EMIs (including the new one) do not exceed 50% of your monthly income.
4. Property Legal Status
The property must have a “clear title.” This means there should be no legal disputes or unpaid taxes. Banks send a legal team to check the chain of ownership. If the papers are not in order, the answer to can i get loan against property will be a “No.”
Documents Needed for Loan Against Property
If you want to know how to qualify for a loan against property, you must have your paperwork ready. Missing one paper can lead to rejection.
| Document Category | Salaried Applicants | Self-Employed Applicants |
| ID Proof | Aadhaar, PAN Card, Voter ID | Aadhaar, PAN Card, Passport |
| Address Proof | Utility Bills, Rent Agreement | Business Address Proof, Bills |
| Income Proof | Last 3 months’ salary slips, Form 16 | 3 years’ ITR (Audited), P&L Statement |
| Bank Statements | Last 6 months (Salary account) | Last 12 months (Current account) |
| Property Papers | Title Deed, Approved Plan, Tax Receipts | Title Deed, Tax Receipts, Occupancy Cert |
Beside this, you might need to pay a processing fee. You can learn about loan processing fees to avoid surprises later.
Loan Against Property Interest Rates 2026
Interest rates for LAP are higher than home loans but lower than personal loans. As of February 2026, here are the estimated rates from top lenders.
| Bank / NBFC | Interest Rate (p.a.) | Max Tenure |
| HDFC Bank | 8.40% – 11.50% | 15 Years |
| SBI | 8.75% – 11.00% | 15 Years |
| ICICI Bank | 8.80% – 12.00% | 15 Years |
| Bajaj Housing Finance | 8.45% – 11.00% | 20 Years |
| PNB Housing | 8.75% – 12.50% | 20 Years |
Note: Rates can change based on the RBI repo rate and the bank’s internal policy. If you want to move an existing loan to a cheaper bank, look into refinance loan against property india options.
Calculating Your EMI
To grasp your monthly burden, use the standard EMI formula. Banks use this to see if you can afford the loan.
Where:
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$P$ is the loan amount (Principal).
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$r$ is the monthly interest rate (Annual rate / 12 / 100).
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$n$ is the number of months (Tenure).
For example, if you take ₹50 Lakh for 15 years at 9% interest, your EMI will be around ₹50,713. If you compare this with a personal loan vs lap, you will see that LAP saves you a lot in interest.
Types of Properties Accepted
You can get a loan against various types of assets. But, the bank’s interest depends on what you offer.
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Residential Property: This includes self-occupied houses, rented-out flats, or empty villas. These get the best LTV ratios.
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Commercial Property: This includes shops, offices, or warehouses. Banks are more cautious here. You can read about the property valuation process for commercial units.
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Industrial Property: Some banks accept factories or sheds, but the rules are very strict.
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Plot of Land: If you own a non-agricultural plot within city limits, you can get a loan.
If you are using the money for business, you might prefer a business loan against property which sometimes offers an overdraft facility.
Reasons for Rejection
Even if you have a house, the bank might say no. Here is why:
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Poor Property Condition: If the building is too old or structurally weak.
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Low Income: If your salary is not enough to cover the EMI.
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Existing Debt: If you already have too many loans.
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Incomplete Documents: If you lack the original sale deed or tax receipts.
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Age Limit: If you are nearing retirement, the bank might give you a very short tenure.
To prevent rejection, check home loan vs loan against property to see which product fits your profile better.
FAQ: Common Questions on “Can I Get Loan Against Property”
1. Can i get loan against property for a rented house?
Yes. You can pledge a property that is currently rented out. The bank will even consider the rental income to increase your eligibility.
2. What is the minimum income for loan against property?
Mostly, banks ask for a minimum net income of ₹25,000 for salaried employees and a certain annual turnover for businesses.
3. Is there a tax benefit on loan against property?
Yes, but only if you use the funds for business or home improvement. Check tax benefits on loans for more details.
4. Can i get loan against property if the house is in my parents’ name?
Yes, but your parents must be co-applicants in the loan. The property owner must always be part of the loan application.
5. How much time does it take for approval?
The process takes 7 to 15 days. It involves physical verification of the property and a legal check of the papers.
6. Can i get loan against property on an agricultural land?
Mostly no. Most banks in India only offer LAP on residential, commercial, or industrial properties. Agricultural land usually falls under different loan schemes.
7. Can i pre-pay my loan against property?
Yes. For floating-rate loans, individual borrowers usually pay zero prepayment charges as per RBI rules. Businesses might have to pay a small fee.
8. What is the maximum tenure for LAP?
In 2026, most banks offer a tenure of up to 15 years. Some NBFCs allow up to 20 years.
9. Will the bank take my original property papers?
Yes. The bank will keep the original title deeds in their vault until you pay off the entire loan.
10. Can i get loan against property to pay for a wedding?
Yes. LAP is a multi-purpose loan. You can use it for weddings, medical bills, or education.
Summary of Steps to Follow
If you are ready to proceed, follow these steps:
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Check your current market value.
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Review your CIBIL score.
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Gather your income proof and property papers.
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Compare interest rates of different banks.
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Apply online or visit a branch.
Can i get loan against property is not just about having an asset; it is about proving you can repay. With the 2026 interest rates being stable, now is a good time to look at your options.
