Are you in need of financial assistance and own a residential or commercial property? Axis Bank offers an ideal solution with the Axis Bank Loan Against Property (LAP) scheme. Starting from as low as ₹5 lakh, you can leverage your property’s value to meet your financial requirements. With attractive interest rates and flexible repayment options, Axis Bank makes it easier for you to achieve your goals.
Highlights of Axis Bank Loan Against Property
| Category | Highlights |
|---|---|
| Loan Amount | ₹5 lakh to ₹5 crore |
| Interest Rates | 10.50% p.a. |
| Loan Tenure | 20 years |
Axis Bank Loan Against Property Interest Rates 2024
Axis Bank offers competitive interest rates on loans against property, ensuring affordable EMIs and attractive terms for all types of borrowers.
Term Loans
| Category | Rate of Interest |
|---|---|
| Floating Rate (PSL Category) | Starting from 10.50% per annum |
| Floating Rate (Non-PSL Category) | Starting from 10.50% per annum |
Overdraft Loans
| Category | Rate of Interest |
|---|---|
| Benchmark Rates | Linked to the RBI Repo Rate (currently 6.50%). |
| Final Rate | Repo Rate plus a spread decided by the bank. |
Eligibility Criteria of Axis Bank Loan Against Property
To qualify for Axis Bank’s Loan Against Property, you need to meet specific criteria related to age, income, property type, and credit history.
| Category | Self Employed | Salaried |
|---|---|---|
| Employment | Doctors, engineers, dentists, architects, chartered accountants, cost accountants, company secretaries, and management consultants. | Permanent employees of government or reputed companies. |
| CIBIL Score | 700+ | 700+ |
| Age | 24 years – 65 years | 24 years – 60/ 65 years |
Additional Eligibility for Lease Rental Discount Applicants
- Property Type: Should own a ready commercial property.
- Lessee Requirement: Lessee must be a company as per the Companies Act, 1956.
Documents Required for Loan Against Property
Applying for a Loan Against Property with Axis Bank requires key documents like identity proof, income proof, and property details for seamless processing.
General Requirements for All Applicants
| Category | Documents Required |
|---|---|
| Proof of Identity | Passport Aadhaar Card Driving Licence Voter ID Government Issued Photo ID Government Employee ID |
| Proof of Address | Aadhaar Card Driving Licence Voter ID Government Issued Photo ID Government Employee ID Utility Bill (Electricity, Gas, Telephone) Property Tax Receipt |
| Date of Birth Proof | Passport PAN Card Aadhaar Card with DOB Driving Licence Birth Certificate SSC Marksheet |
| Signature Proof | Passport PAN Card Banker’s Verification Notarized Affidavit with ID & Address Proof (not applicable for financial applicants) |
Documents for Income Proof
| Category | Documents Required |
|---|---|
| Salaried Individuals | 3 months’ pay slips 6 months’ payslips/2 years’ bonus proof (if variable pay) 6 months’ bank statement showing salary credits 2 years’ Form 16 or employment continuity proof |
| Self-Employed | 2 years’ ITR, Computation of Income, P&L, Balance Sheet with CA seal and sign 6 months’ bank statements of personal and business accounts Business continuity proof (3 years for Home Loan/5 years for LAP)Tax Audit Report (if applicable)If ITR is filed without digital sign – CPC and tax paid challan |
| NRI | 3 months’ pay slip Appointment/contract letter Continuous Discharge Certificate for Shipping cases 6 months’ Domestic NRE/NRO account statement6 months’ international salary account statement Overseas credit report Valid visa copy/OCI card Passport copy POA details |
For Partnerships and Company Directors
| Category | Documents Required |
|---|---|
| Partnerships | Partnership Deed List of Partners NOC as per Axis Bank format Audited ITR along with complete financials Partnership authority letter signed by all partners |
| Company Directors | 2 years’ ITR, Computation of Income P&L Balance Sheet with CA seal and sign Certificate of Incorporation Memorandum of Association (MOA) Articles of Association (AOA) DIN of all Directors Board Resolution as per Axis Bank format Latest Share Holding Pattern duly signed by Company Secretary/List of Directors |
Fees and Charges
Axis Bank’s Loan Against Property includes various fees, such as processing charges, prepayment fees, and legal costs. It’s crucial to review these before applying.
General Fees and Charges
| Category | Fees and Charges |
|---|---|
| Non-utilization Charges (Overdraft Facility) | – |
| Renewal Charges (Overdraft Facility) | 0.15% of the limit or ₹5,000, whichever is higher |
| No Dues Certificate | ₹50 per instance |
| Duplicate No Dues Certificate | ₹50 per instance |
| Solvency Certificate | – |
| Penal Charges | 18% above the applicable interest rate on overdue amount, max 24% per instance. Financial and non-financial defaults apply. No penal charges on interest rate capitalization. |
Prepayment & Foreclosure Charges
| Category | Fees and Charges |
|---|---|
| Prepayment (LAP Only) | Up to 25% of the principal repaid in a quarter: No charge. Above 25%: 3% on excess repaid amount. Individual (non-business use): 3% prepayment charge. Business use: No charges. |
| Foreclosure Charges | Non-individual (non-business use): 3% of outstanding principal. Individual (business use): No charge. |
| Stamp Duty & Other Statutory Charges | As per state laws |
| Cheque Bounce | ₹339 per instance |
| Cheque/Instrument Swapping | ₹500 per instance |
| Duplicate Statement Issuance | ₹250 per instance |
| Photocopy of Title Deeds Issuance | ₹500 per document set |
| Credit Report Issuance | ₹50 per instance |
| CERSAI Charges | ₹50 for loans up to ₹5 Lakh, ₹100 for loans above ₹5 Lakh |
| Equitable Mortgage Creation | As applicable in the state |
Switching Fees (Floating to Lower Floating Rate)
| Category | Fees and Charges |
|---|---|
| Up to ₹10 Lakh | ₹1000 + GST |
| ₹10.01 Lakh to ₹30 Lakh | ₹2000 + GST |
| ₹30.01 Lakh to ₹75 Lakh | ₹3000 + GST |
| Above ₹75 Lakh | ₹5000 + GST |
Re-Pricing Charges
| Category | Fees and Charges |
|---|---|
| Floating to Fixed | 1% on outstanding principal (minimum ₹10,000) |
| Fixed to Floating | 2% on outstanding principal |
Key Features and Benefits
Axis Bank’s Loan Against Property offers flexible repayment options, high loan amounts, and competitive rates, making it an ideal choice for unlocking your property’s potential.
1. Flexible Loan Amounts
- Loan Range: Avail loans starting from ₹5 lakh up to ₹5 crore, depending on your eligibility and the property’s value.
- Loan Tenure: Enjoy a comfortable repayment period of up to 20 years.
2. Attractive Interest Rates
- Competitive Rates: Interest rates starting as low as 10.50% per annum.
- Customized Rates: Rates may vary based on the loan amount and repayment tenure.
3. Multiple Property Types Accepted
- Residential or Commercial: Secure a loan against both residential and commercial properties.
- Purchase Option: Option to purchase a new commercial property using the loan.
4. Balance Transfer Facility
- Easy Transfer: Move your existing loan from another bank to Axis Bank.
- Additional Finance: Option to avail additional funds during the transfer.
5. Doorstep Banking Services
- Convenience: Handle your loan application and documentation from the comfort of your home or office.
- Personalized Assistance: Dedicated relationship managers to guide you through the process.
6. Additional Benefits
- Lease Rental Discounting (LRD): Avail loans against future rental receivables.
- Overdraft Facility: Flexibility to withdraw funds as per your needs against the property.
How to Apply for Axis Bank LAP?
- Check Eligibility: Ensure you meet the eligibility criteria mentioned above.
- Gather Documents: Collect all the required documents as per your applicant category.
- Application Submission: Apply online through Axis Bank’s website or visit the nearest branch.
- Verification Process: Bank officials will verify your documents and evaluate the property.
- Approval and Disbursement: Upon successful verification, the loan amount will be sanctioned and disbursed to your account.
Conclusion
Axis Bank’s Loan Against Property is a comprehensive financial solution that helps you unlock the potential of your property. With flexible terms, competitive interest rates, and a hassle-free application process, fulfilling your financial aspirations is now within reach.
If you’re considering using your property to secure a loan and need guidance on how to proceed, whether you’re looking for the best deals and terms in the market, furthermore, Credit Dharma is here to assist you. Moreover, we offer expert advice and tailored solutions to help you make the most of your assets with confidence.
Frequently Asked Questions
Generally, you can borrow between 50% to 75% of your property’s market value. The exact amount depends on factors like your income, credit score, property type, and the lender’s policies. Moreover, Some lenders may offer up to 80% for high-value properties or borrowers with excellent credit.
Most lenders typically accept residential properties like houses, apartments, and plots. Additionally, some also accept commercial properties such as office spaces or shops. However, the property should have a clear title and be free from legal disputes. Conversely, agricultural land is usually not accepted.
The interest rates are floating and linked to the RBI Repo Rate. As of now, the effective rates start from around 10.50% per annum. The final rate depends on factors like loan amount, tenure, property type, and the applicant’s financial profile.
The repayment tenure for Axis Bank’s Loan Against Property can extend up to 20 years. This long tenure allows borrowers to choose comfortable EMI options that suit their financial planning, reducing the monthly repayment burden.
Yes, Axis Bank offers a balance transfer facility for existing loans. You can transfer your current Loan Against Property from another bank to Axis Bank to benefit from competitive interest rates and better terms. Additional funds can also be availed during the transfer process.
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