LIC · Loan Against Property

LIC Housing Finance loan against property, 2026.

Reviewed by Rushik Patel· Last reviewed: 25 Apr 2026

Co-Founder & Business Loan Specialist

LIC loan against property from 9% p.a., up to Rs 5 Cr over 15 years. These are indicative lender figures; current pricing, eligibility, and processing remain lender-controlled.

Interest Rate

9% – 11.25%

Max Amount

Rs 5 Cr

Max Tenure

15 Years

Processing Fee

1.00%

Apply for LIC Loan Against Property Calculate EMI

LIC Loan Against Property — Key Features

What makes LIC's loan against property offering stand out.

Up to 60% LTV

Overdraft facility

Quick valuation

Minimal documentation

LIC Loan Against Property Rate Details

Complete breakdown of interest rate, fees, and terms.

Interest Rate (p.a.)	9% – 11.25%
Rate Type	Floating (linked to EBLR / RLLR)
Processing Fee	1.00% (max Rs 50,000)
Maximum Loan Amount	Rs 5 Crore
Maximum Tenure	15 Years
Prepayment Charges	2-4% of outstanding (varies)
Late Payment Fee	2% p.a. on overdue amount

LIC Loan Against Property EMI Examples

Approximate monthly EMI at 9% p.a. interest rate.

Loan Amount	Tenure	Monthly EMI	Total Interest
Rs 20,00,000	10 years	Rs 25,335	Rs 10,40,200
Rs 50,00,000	15 years	Rs 50,713	Rs 41,28,340
Rs 1,00,00,000	15 years	Rs 1,01,427	Rs 82,56,860
Rs 2,50,00,000	20 years	Rs 2,24,931	Rs 2,89,83,440

EMI calculated at the listed 9% p.a. comparison rate on reducing balance. Actual EMI, fees, and tenure depend on the lender's current approval.

Use our EMI Calculator for custom amounts

LIC Loan Against Property Eligibility

Who can apply for LIC's loan against property.

Salaried Applicants

Age: 21 – 65 years
Min Income: Rs 25,000/month
Experience: 2 years
CIBIL Score: 700+

Self-Employed Applicants

Age: 21 – 70 years
Min Income: Rs 3 Lakhs/year ITR
Business Vintage: 3 years
CIBIL Score: 680+

Documents for LIC Loan Against Property

Documents you need to apply for LIC's loan against property.

Salaried

1PAN Card & Aadhaar Card
2Last 6 months salary slips
3Last 2 years ITR / Form 16
4Last 6 months bank statements
5Property documents (Title deed, tax receipts, approved plan)
6Encumbrance certificate
7Passport-size photographs

Self-Employed

1PAN Card & Aadhaar Card
2Last 3 years ITR with computation
3Last 3 years audited financials
4Last 12 months bank statements
5Property documents (Title deed, tax receipts)
6Encumbrance certificate (15 years)
7Business registration documents

LIC vs Other Banks — Loan Against Property Rate Comparison

How does LIC's rate compare with competitors?

Bank	Rate (p.a.)	Processing Fee	Max Amount
LIC (This bank)	9% – 11.25%	1.00%	Rs 5 Cr
SBI	8.75% – 10.5%	0.50%	Rs 7.5 Cr
Bajaj	8.75% – 11%	1.00%	Rs 10 Cr
BoB	8.85% – 10.75%	0.50%	Rs 7.5 Cr
PNB	8.9% – 10.9%	0.50%	Rs 5 Cr
Union	8.9% – 11%	0.50%	Rs 5 Cr

See all Loan Against Property rates from 15 banks

Other LIC Loan Products

Explore more loan products from LIC Housing Finance.

LIC Home Loan

From 8.3% p.a.

LIC Business Loan

From 11.5% p.a.

LIC Balance Transfer

From 8.3% p.a.

LIC Loan Against Property — Frequently Asked Questions

Common questions about LIC's loan against property product.

What is the maximum LTV (Loan-to-Value) for LAP?

Banks typically offer 50-70% of the property's market value as LAP. Residential properties get higher LTV (up to 70%) while commercial properties are capped at 55-60%. The valuation is done by the bank's empanelled valuer.

Can I take LAP on a property that already has a home loan?

Yes, this is called a top-up loan or second charge LAP. The combined exposure (existing loan + new LAP) should not exceed 70% of the property value. Some banks offer this as a balance transfer + top-up combination for better rates.

Which properties are eligible for LAP?

Residential flats, independent houses, commercial shops, office spaces, industrial buildings, and plots with clear title are eligible. The property should be free from litigation, have approved plans, and be in a city served by the lender.

Is LAP cheaper than a business loan?

Yes. LAP rates start at 8.75% p.a. compared to 10-16% for unsecured business loans. Since the property serves as collateral, lenders offer significantly lower rates, higher amounts, and longer tenures for LAP.

How long does LAP processing take?

LAP processing often includes property valuation, legal verification, and technical inspection and may take several working days. The lender controls the workflow and sanction timeline; confirm current requirements and timing with the lender.

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