Loan Against Property Calculator
Calculate EMI, interest, and eligibility for loan against property (LAP). Compare rates and find your maximum loan amount.
About this calculator
A loan against property (LAP) lets you borrow against a house, shop or plot you already own. Because the loan is secured, rates are lower than personal loans, but higher than home loans, and the amount is capped as a percentage of the property's market value known as the loan-to-value (LTV) ratio.
This calculator multiplies your property value by the LTV to get the maximum loan, then computes the EMI, total interest and total repayment for your rate and tenure. Typical LTVs for LAP are lower than for home loans, often in the range of 50% to 65%, so a property worth ₹50 lakh usually supports around ₹25 to ₹32 lakh.
How to use it
- Enter the Property Market Value.
- Enter the LTV Ratio your lender offers, for example 60.
- Enter the Interest Rate and Loan Tenure in years.
- Read the maximum loan, EMI, total interest and total payment. Reduce the LTV to see a smaller loan and EMI.
Tips and common mistakes
- Lenders value the property themselves, so your market value estimate may differ from theirs.
- LAP money used for business is treated differently from personal use for tax purposes, so keep records.
- Compare processing and legal fees, which can be higher than on home loans.
- Do not borrow the full eligible amount if you do not need it.
Frequently asked questions
What is a loan against property?
It is a secured loan where your property is collateral. You keep using the property while repaying EMIs.
What LTV do lenders offer?
Commonly between 50% and 65% of market value, depending on the property type and the lender.
Why is the rate higher than a home loan?
LAP is typically used for general purposes, not purchase, and lenders price in a higher risk.
Can I use the money for anything?
Most lenders allow business, education, medical or other purposes, but they may restrict speculative use.
What happens if I miss payments?
The lender can take recovery action against the property under applicable law. Contact the lender early if you expect difficulty.
Does the EMI include fees?
No. Processing, valuation and legal fees are charged separately.