Loan Against Property Eligibility Calculator

A loan against property is a multipurpose loan you can avail by mortgaging a property. So, if you own a residential or commercial property, you can pledge it and get a loan against its value.

To take a loan against property, it is important to own a property and meet the eligibility criteria prescribed by the lender. Moreover, the loan amount, interest rate, and tenure depend on the borrower's eligibility qualifications.

Since eligibility is important, you can use the loan against property (LAP) eligibility calculator in India to determine the loan eligibility and the maximum loan available.

What is Loan Against Property Eligibility Calculator?

A loan against property eligibility calculator in India is a digital tool that helps calculate your eligibility for the loan and the amount you can avail. The calculator calculates the eligible amount based on various parameters.

Enter the required details in the LAP loan eligibility calculator, and it will show the eligible loan amount.

The Process to Use the Loan Against Property Eligibility Calculator

A loan against property eligibility calculator is available online. For instance, Shriram Finance offers an easy mortgage loan eligibility calculator that can be used to calculate eligibility.

To use the LAP eligibility calculator in India, visit Shriram Finance's website, choose the calculator, enter the relevant details, and hit 'Calculate'. The mortgage loan eligibility calculator will calculate and display the maximum loan amount available.

How Does a LAP Eligibility Calculator Work?

The loan against property eligibility calculator works based on the entered details. These details and how they affect the calculation are as follows -

All these factors are considered, and then the LAP eligibility calculator works out the maximum loan amount available.

How to Calculate LAP Eligibility?

You can use the loan against the property eligibility calculator, fill in your details, and calculate the LAP eligibility. When doing so, check the LTV ratio offered by the lender. The ratio determines the percentage of the property's value available as a loan. The higher the ratio, the higher the value, and vice versa.

LAP Eligibility Calculation Formula

There's no specific formula for calculating the loan against property eligibility. You will have to check the eligibility parameters set by the lender and check the eligibility for the loan.

Use the LTV ratio against the property's value to know how much loan is available. The formula is as follows -

Loan against property = Value of the property X LTV ratio

For instance, if the property's value is ₹50 lakhs and the LTV ratio offered by the lender is 70%, a loan of up to ₹35 lakhs is available if other eligibility parameters are found satisfactory. The loan quantum might reduce with existing debts, lower income, low credit score, etc.

What are the Eligibility Criteria for a LAP Loan?

The actual loan against property eligibility criteria depends on the lender from whom you seek the loan. However, some of the basic eligibility requirements that are common across lenders are as follows -

The home loan against property eligibility calculator uses these details to determine the maximum loan available.

What are the Documents Required to Apply?

To apply for a loan against property, some documents are required for processing the loan. These documents usually include the following -

• Filled and signed loan application form.
• Identity proof of the borrower like PAN Card, Aadhaar Card, voter's ID card, passport, etc.
• Age proof like birth certificate, passport, Aadhaar Card, PAN Card, voter's ID card, etc.
• Address proof like an Aadhaar Card, voter's ID Card, rent agreement, property deed, utility bills of the past 2-3 months, etc.
• Bank statement, usually for the last 6 months.
• Signature proof.
• Financial documents like income tax returns, financial statements of the business like profit and loss accounts, balance sheets, Form 16, and salary slips for salaried borrowers, etc.
• Property documents.

Benefits of Property Loan Eligibility Calculator

A loan against property eligibility calculator is a very beneficial tool for the following reasons -

• The home loan against property eligibility calculator helps check whether you are eligible for the loan.
• The LAP eligibility calculator in India shows the maximum loan amount available based on your eligibility. This helps in determining your financial needs and applying for a suitable amount.
• Knowing the loan amount available makes it easy to work out the expected EMIs and ensure the loan is affordable.
• Knowing the exact loan amount makes it easy to plan your expenses for which the loan is needed.
• The loan against property eligibility calculator is completely free of cost. You can also use it multiple times to check eligibility by changing one or more of the details entered into the LAP loan eligibility calculator. For instance, adding a co-applicant increases the loan eligibility and offers a higher loan amount. Similarly, a higher loan amount is available if the credit score improves or the income increases.

So, use the loan against the property eligibility calculator and find out your eligibility for the loan.

Conclusion

If you own a property and are considering a loan against it, it is better to check the loan eligibility. Knowing the maximum available loan helps make the relevant application to get the required funds. The calculator is free to use and allows you to check the loan eligibility in simple steps. Enter the relevant details and check the eligibility today!