How Is Eligibility Calculated for a Loan Against Property?


Loan against property (LAP) or a mortgage loan is one of the most secure loan options available in India. Mortgage loan applications have seen significant growth in recent years due to a substantial change in the financial conditions of middle-class families in India.  

LAP comes with little or no restrictions on capital usage. As a borrower, you can utilise the money according to your personal needs or investments. Loan against property provides an extended loan repayment tenure at low-interest rates. Many people find the benefits of getting a loan against property over other loans more advantageous. To ensure you qualify for a loan, make sure to use a loan against property calculator and have the minimum documentation ready beforehand.

LAP Eligibility Criteria:

Various aspects are taken into account while calculating the eligibility of an applicant for a loan against property, based on the applicant’s age, credit history, income, and ability to repay. Use of a loan against property calculator helps in determining the eligibility. Keep track of your credit score and credit history. CIBIL score is checked by most lenders to decide whether or not you can repay the loan. 

Also Read: Hydrolyzed Collagen

The eligibility varies for self-employed and salaried individuals as the modes of income are different for them. Here are the eligibility criteria for availing a LAP in India:

  1. Residence: The applicant of LAP in India should be an Indian resident.
  2. Age of salaried applicants: The preferred age range of salaried applicants is 32-59 years.
  3. Age of self-employed applicants: The preferred age range of self-employed applicants is 26-70 years.
  4. Income sources: Steady income sources are essential for availing a property loan. Your net monthly income determines your loan repayment capability. Different income sources like house rent, equity returns, and many other income sources.
  5. Documentation: You are required to submit all the necessary documents for a LAP. Account statements, ITR files, and salary slips are proofs of income.
  6. Present obligations: Your loan repayment ability might depend on your current loans, credit card dues, and existing debts. Lenders require you to provide complete information about your present obligations.
  7. Credit history: Your financial history determines the creditworthiness of the applicant. A high credit score of an applicant ensures the lender that the applicant poses less risk to the lender, along with having better chances of timely loan repayment. 

Why is a LAP calculator used?

The loan against property calculator determines the eligibility of the amount of loan for a borrower. Various aspects determine the final value of the loan. You can calculate your monthly EMI using the calculator to manage your finances properly. Moreover, it will help you know what interest rates would be provided to you for a particular tenure. Mostly, loans with shorter tenure have low-interest rates.



LAP is an excellent way of availing credit from several lenders, banks and NBFCs if you are eligible. Understanding the loan eligibility criteria is essential for getting a loan against property. Once the loan is credited, you need to pay monthly EMIs to repay the same. You can use a loan against a property calculator and compare interest rates. Moreover, your credit rating is an essential factor in availing loans at low-interest rates. As an applicant, be sure to avail a mortgage loan at low-interest rates by checking all options available.

Also Read: Keto diet for beginners