Who Can Apply For LIC HFL Loan Against Property?

LIC Housing Finance (LIC HFL) offers this financial product to help individuals unlock the value of their properties for immediate funding needs. 

Whether you're looking for funds to expand your business or consolidate debt, LIC Housing Finance Loan Against Property is a popular option, providing flexible repayment terms and competitive interest rates.

What is LIC HFL Loan Against Property?

LIC Housing Finance Loan Against Property allows individuals to borrow funds by mortgaging their residential or commercial property. The loan amount is determined based on the market value of the property, and it can be used for various purposes like personal needs, business expansion, education, or medical emergencies.

Key features include:

• Loan Amount

The loan can range from a few lakhs to several crores, depending on the property’s value

• Tenure

Loan tenures can extend up to 15–20 years, offering affordable EMIs

• Repayment Flexibility

Flexible repayment options based on the borrower’s financial situation

• Property Types

Both residential and commercial properties can be used as collateral

Eligibility Criteria for LIC HFL Loan Against Property

To qualify for LIC HFL Loan Against Property, applicants must meet the following eligibility criteria:

• Age Requirements

Applicants should be between the ages of 21 and 65 years. This age range ensures that the borrower is financially stable while also leaving enough time for repayment before retirement.

• Residency

You must be an Indian resident to apply for this loan. Non-resident Indians (NRIs) are typically not eligible unless stated otherwise by the lender.

• Credit Score

A minimum credit score of 750 is required to be eligible. A higher credit score increases your chances of getting a better loan amount and lower interest rates. The credit score reflects your past credit behaviour and helps lenders assess your ability to repay.

• Employment Status

Both salaried and self-employed individuals can apply for this loan. For salaried individuals, the regularity of income is a key factor, while self-employed applicants will need to provide additional documents to prove business stability.

Documents Required for Applying

The following documents must be submitted to avail of LIC HFL Loan Against Property:

• Proof of Identity and Residence

These include government-issued IDs such as Aadhaar card, PAN card, passport, voter ID, and utility bills to prove your address.

• Proof of Income:

• For salaried individuals

Form 16, salary slips, and bank statements to verify regular income.

• For self-employed individuals

Bank statements, ITR returns, and business-related documents like the partnership deed, business registration, etc.

• Proof of Property Ownership

The title deed of the property being pledged must be submitted to verify ownership. This document proves that the property is free from any legal disputes and is eligible for mortgaging.

• Proof of Business (for self-employed applicants)

In addition to the documents mentioned above, self-employed individuals must provide evidence of their business operations, such as business registration, tax returns, and proof of continuity.

Loan Against Property Interest Rates

Interest rates for LIC HFL Loan Against Property are competitive and depend on several factors, such as the applicant’s credit profile, property type, and loan amount. Generally, interest rates range between 8% to 12% per annum. However, the final rate offered can vary depending on the applicant's credit score, income, and property valuation.

To get the best rates, applicants are advised to maintain a high credit score and provide accurate documentation. Borrowers with a credit score above 750 are likely to secure loans with lower interest rates, thus reducing the overall cost of the loan.

How to Apply for LIC HFL Loan Against Property?

The application process for LIC HFL Loan Against Property is simple and can be done both online and offline:

Online Application

Visit the LIC HFL website or apply through Bajaj Markets, where you can compare multiple loan offers. You will need to fill in basic details, such as your personal information, income details, and property details.

Offline Application

Visit the nearest LIC HFL branch and submit the application form along with the necessary documents.

Once your application is processed, LIC HFL will verify your details and conduct a property valuation. If everything checks out, the loan will be sanctioned, and the funds will be disbursed based on the approved amount.

Benefits of Applying Through Bajaj Markets

Applying through Bajaj Markets offers several advantages:

• Convenience

Bajaj Markets provides an easy-to-use online platform that allows you to compare LIC HFL Loan Against Property offers from various lenders, streamlining the loan application process.

• Instant Eligibility Check

Bajaj Markets offers an instant eligibility check feature, which helps you determine if you qualify for the loan before submitting the full application.

• Loan Comparison

On Bajaj Markets, you can compare loan against property interest rates, tenures, and other terms from LIC HFL and various financial institutions. This helps you choose the best deal for your needs.

• Easy Application Process

You can apply for the loan directly through Bajaj Markets, where all necessary documentation can be uploaded digitally, making the entire process faster and more efficient.

Conclusion

LIC HFL Loan Against Property is an excellent option for those in need of funds with the added security of property as collateral. With competitive interest rates, flexible repayment options, and a straightforward application process, it’s a viable choice for both salaried and self-employed individuals. By using platforms like Bajaj Markets, you can simplify the application process and access the best loan terms available.