What are the interest rates of Loan against property?

One of the first things you must check before applying for a property loan is the LAP interest rates. Lending institutions charge a certain percentage of the loan amount as interest, an additional amount that you need to pay on top of your principal loan amount.Even a slight change in interest rate can significantly affect the repayment amount. Knowing this, we at Tata Capital offer one of India’s most competitive interest rates, starting at just 10.10%. The following factors determine the loan against property interest rate. Credit scoreProperty typeProperty’s market valueLoan tenureType of interest rateCustomer profile

How do I know if my interest rate is fixed or variable on Loan against property?

At Tata Capital, you can choose between two kinds of loan against property interest rates, fixed rate of interest and variable/floating rate of interest.With a fixed interest rate, the percentage charged remains fixed throughout the loan tenure. This ensures a fixed EMI to be charged every month.With a variable/floating interest rate, the percentage of interest charged will fluctuate depending on the market scenario.

Do we have to pay processing fee for LAP loan?

Yes, a nominal fee is charged as processing fees at the beginning of your loan application process. Here are the details of Tata Capital’s processing fee. Residential and commercial properties: 1-3% of loan amount + GST Other properties: 1.25-3% of loan amount + GST SaRaL/Mint loan: 1.25-3% of loan amount + GST

Are there any other fees besides the interest and processing fees?

Yes, apart from the loan against property interest rates and processing fees, loan applicants might be required to pay other costs as well.Please refer our Rates & Charges section to know more about the other applicable fees.

Can I select the term of my Loan Against Property?

You can choose the loan tenure that best suits your needs and financial plans. However, an important thing to note is that the loan tenure has to be for at least one year and, at most, 20 years.

How is the interest on a Loan Against Property calculated?

The loan against property interest rates is calculated with the help of a basic formula:EMI = [P x R x (1+R) ^N]/[(1+R) ^ (N-1)]Here,P= Principal loan amountR= Interest rateN= Number of EMI instalmentsHowever, using the EMI calculator available at Tata Capital's official website, you can skip the tedious EMI calculation on loan against property based on interest rates.

Are there any fees associated with property value throughout the financing process?

When financing your new property with a competitive lap loan interest rate, it is essential to be aware of its associated charges. Processing charges are levied during the application process, and stamp duty is a charge that is associated with property value.Stamp duty is charged based on the property’s market value and other factors such as the state in which it is located, the type of property, etc.

Is insurance mandatory for a loan against property?

No, insurance is not mandatory to apply for a loan against property. However, planning your finances to safeguard yourself from defaulting on your payments is recommended.At Tata Capital, apart from offering flexible loan tenures, attractive interest rates and multiple repayment plans, we provide an EMI calculator. With this, you can structure your loan against land in the way that is the most feasible for you.

How can you check for the latest LAP interest rates?

You can check the latest LAP interest rates by visiting the official Tata Capital website.

How do you calculate total interest payable on a LAP loan?

To determine the total interest cost payable on a loan against property, you can use an online loan EMI calculator. By entering the loan amount, interest rate, and tenure, the calculator will provide the monthly EMI and the total interest payable over the loan period.

What are the tips to avail of loan against property at low interest rates?

Here are some effective tips to secure a mortgage loan at low interest rates:Maintain a good credit score of 750 or moreCompare different lenders to find the most competitive rates and favourable termsIncrease your down payment to reduce the risk for the lenderLeverage existing relationship with your financial institution to negotiate for better terms

Loan Against Property Interest Rate: LAP Loan upto ₹ 10 Cr

Effective From	TCL RPLR
September 1st 2024	11.50%
May 1st 2024	11.30%

September 1st 2024

11.50%

May 1st 2024

11.30%

Effective From	PLR
September 1st 2024	20.20%
March 11th 2024	20.00%
March 3rd 2023	19.75%
January 1st 2023	19.50%
September 30th, 2022	19.25%
August 22nd, 2022	18.75%
June 15th, 2022	18.25%
May 16th, 2022	17.75%
January 1st, 2019	17.45%
October 1st, 2018	17.15%
July 1st, 2018	16.85%
May 1st, 2018	16.65%
November 1st, 2015	16.50%
May 1st, 2015	16.65%
December 10th, 2013	16.75%
September 1st, 2013	16.65%
March 1st, 2013	16.40%
October 1st, 2011	16.50%
July 1st, 2011	16.00%
April 1st, 2011	15.50%
December 20th, 2010	14.75%
November 15th, 2010	14.25%
January 1st, 2009	13.75%

September 1st 2024

20.20%

March 11th 2024

20.00%

March 3rd 2023

19.75%

January 1st 2023

19.50%

September 30th, 2022

19.25%

August 22nd, 2022

18.75%

June 15th, 2022

18.25%

May 16th, 2022

17.75%

January 1st, 2019

17.45%

October 1st, 2018

17.15%

July 1st, 2018

16.85%

May 1st, 2018

16.65%

November 1st, 2015

16.50%

May 1st, 2015

16.65%

December 10th, 2013

16.75%

September 1st, 2013

16.65%

March 1st, 2013

16.40%

October 1st, 2011

16.50%

July 1st, 2011

16.00%

April 1st, 2011

15.50%

December 20th, 2010

14.75%

November 15th, 2010

14.25%

January 1st, 2009

13.75%

Charges	Charge Value
Dishonour of any cheque/ payment instruments	These are those charges that are levied in case of an EMI bounce per instance. In other words, these charges are levied when you miss a personal loan EMI payment due to inadequate funds in your bank account. At Tata Capital, you’ll be required to pay Rs. 600 per instrument per instance
Stamp Duty	This is a government-mandated fee required for legally registering your loan agreement. At Actuals
Legal & Valuation Fees	This fee covers the legal review of your loan and valuation of any asset or property provided as collateral. At Tata Capital, you will be charged Rs. 4000/-
Mandate Rejection Service Charge	Charges will be levied if EMI is due but valid instrument is not available for banking due to Mandate rejected by Borrower’s bank or EMI Post-dated cheques(wherever applicable) are not available. Tata Capital charges a nominal amount of Rs. 450
Documentation Charges	This fee covers the cost of verifying your documents, completing necessary compliance checks, and conducting due diligence before your loan is disbursed. At Tata Capital, you are charged Up to Rs. 1999.
Loan Cancellation Charges	This is a charge applied if you request loan cancellation after the cooling-off period. At Tata Capital, you will be charge 2% of the loan amount OR Rs. 5750/- (whichever is higher)
Statement of Accounts Charges	This is a charge applied for providing a physical copy of the Statement of Account – a statement having a list of all transactions made in your loan account during a given period. At Tata Capital, you will be charged Customer portal – Nil Branch walk-in - Rs. 250
Processing Fees	The processing fee is a non-refundable fee levied by Tata Capital while processing your loan application. You are charged this one-time fee even if the loan does not get sanctioned. At Tata Capital, you are charged 2.25%
Cersai Charges	This is a government fee imposed for registering mortgage details with CERSAI to enhance loan security and transparency to prevent multiple lending frauds and protect lender interests. a) For loans up to Rs. 5 Lacs - Rs. 50 per filing/modification b) For loans above Rs. 5 Lacs - Rs 100 per filing/modification. c) OR such other charges as may be stipulated by Central Registry from time to time
Document Handling and Retrieval Charges	This is a charge applied for safe storage, maintenance, and retrieval of collateral documents. At Tata Capital, you will be charged Rs. 2000/-
Penal Charges, if any, in case of delayed payments	This is a charge for late EMI payments, calculated based on the number of days your EMI remains unpaid. At Tata Capital, For default in payment of interest and/ or principal amounts 3% per month on defaulted amount (Annualized Penal Charge of 36%)
Switch Fee without any Top Up	This is a charge applied if you request a change or reduction in the interest rate on your existing Loan. Up to 0.1% of Principal Outstanding + GST OR Rs.1000 + GST whichever is greater

Rate Description	Party to the Agreement & Purpose	Foreclosure Charges within 12 months of Disbursement	Foreclosure Charges after 12 months of Disbursement	Part Prepayment Charges (For Term Loan)
	Individual Borrower with end use other than business	No charges	No charges	No charges
Floating Rate Scheme	Individual Borrower with end use as business	6% of Principal Outstanding	4% of Principal Outstanding	Up to 25%- NIL More than 25% of the Sanction Amount – 4% on amount prepaid in excess of 25% of the Sanction amount
	Non- individual Borrower irrespective of end use	6% of Principal Outstanding	4% of Principal Outstanding	Up to 25%- NIL More than 25% of the Sanction Amount – 4% on amount prepaid in excess of 25% of the Sanction amount
Fixed Rate scheme	Individual/Non-Individuals borrowers irrespective of end use-	6% of Principal Outstanding	4% of Principal Outstanding	Up to 25%- NIL More than 25% of the Sanction Amount – 4% on amount prepaid in excess of 25% of the Sanction amount

Rate Description

Party to the Agreement & Purpose

Foreclosure Charges within 12 months of Disbursement

Foreclosure Charges after 12 months of Disbursement

Part Prepayment Charges (For Term Loan)

Individual Borrower with end use other than business

No charges

Floating Rate Scheme

Individual Borrower with end use as business

6% of Principal Outstanding

4% of Principal Outstanding

Up to 25%- NIL

More than 25% of the Sanction Amount – 4% on amount prepaid in excess of 25% of the Sanction amount

Non- individual Borrower irrespective of end use

6% of Principal Outstanding

4% of Principal Outstanding

Up to 25%- NIL

More than 25% of the Sanction Amount – 4% on amount prepaid in excess of 25% of the Sanction amount

Fixed Rate scheme

Individual/Non-Individuals borrowers irrespective of end use-

6% of Principal Outstanding

4% of Principal Outstanding

Up to 25%- NIL

More than 25% of the Sanction Amount – 4% on amount prepaid in excess of 25% of the Sanction amount

Rate Description	Party to the Agreement & Purpose	Foreclosure within 12 months of Disbursement	Foreclosure after 12 months of Disbursement	Part Prepayment Charges
Floating Rate Scheme	Individual Borrower with end use other than business	No charges	No charges	No charges
	Individual Borrower with end use as business	6% of Principal Outstanding	4% of Principal Outstanding	a. Upto 25% of the Sanction Amount - Nil Charges b. More than 25% of the Sanction Amount for any pre-payment taking place during the tenure of the loan – 4% on amount prepaid in excess of 25% of the Sanction amount]
	Non- individual Borrower irrespective of end use	6% of Principal Outstanding	4% of Principal Outstanding	a. Upto 25% of the Sanction Amount - Nil Charges b. More than 25% of the Sanction Amount for any pre-payment taking place during the tenure of the loan – 4% on amount prepaid in excess of 25% of the Sanction amount
Fixed Rate scheme	Individual/s non individual borrowers irrespective of the end use	6% of Principal Outstanding	4% of Principal Outstanding	a. Upto 25% of the Sanction Amount - Nil Charges b. More than 25% of the Sanction Amount for any pre-payment taking place during the tenure of the loan – 4% on amount prepaid in excess of 25% of the Sanction amount

Rate Description

Party to the Agreement & Purpose

Foreclosure within 12 months of Disbursement

Foreclosure after 12 months of Disbursement

Part Prepayment Charges

Floating Rate Scheme

Individual Borrower with end use other than business

No charges

Individual Borrower with end use as business

6% of Principal Outstanding

4% of Principal Outstanding

a. Upto 25% of the Sanction Amount - Nil Charges

b. More than 25% of the Sanction Amount for any pre-payment taking place during the tenure of the loan – 4% on amount prepaid in excess of 25% of the Sanction amount]

Non- individual Borrower irrespective of end use

6% of Principal Outstanding

4% of Principal Outstanding

a. Upto 25% of the Sanction Amount - Nil Charges

b. More than 25% of the Sanction Amount for any pre-payment taking place during the tenure of the loan – 4% on amount prepaid in excess of 25% of the Sanction amount

Fixed Rate scheme

Individual/s non individual borrowers irrespective of the end use

6% of Principal Outstanding

4% of Principal Outstanding

a. Upto 25% of the Sanction Amount - Nil Charges

b. More than 25% of the Sanction Amount for any pre-payment taking place during the tenure of the loan – 4% on amount prepaid in excess of 25% of the Sanction amount

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Loan Against Property Interest Rate : LAP Rates & Charges