Essential Tips for Securing a Loan Against Property (LAP)
A Loan Against Property (LAP) is a secured loan where your property acts as collateral, offering access to high loan amounts at competitive interest rates. Before applying, evaluate the property's market value and loan-to-value ratio, as lenders typically sanction 50-80% of the property's worth. Ensure your property documents are clear and dispute-free. Check the interest rates, processing fees, and other terms offered by different lenders. Understand the repayment tenure and EMI commitments to avoid financial strain. A good credit score and stable income improve approval chances, while prepayment options can reduce overall costs.