Financial assistance for personal and business needs against mortgage of commercial properties
Loan tenure up to 10 years
Property type: Commercial Self Occupied, Commercial Vacant and Commercial Rented.
Loan to Value ratio for self occupied commercial is 60% and rented commercial is 50%
Loan amount varies from Rs 10 lakhs to Rs 20 crores
This facility is to provide financial assistance for purchase of a fully constructed Commercial Property.
Minimum loan amount for this facility is Rs. 25 lacs.
Loan tenor is minimum 3 years to maximum 10 years.
Individual properties where finishing work is pending due to specific requirement of customer may be considered.
LTV <= 85% of Cost of Property (COP)
Subject to 60% of Market Value
LTV <= 80% of Cost of Property (COP)
Subject to 60% of Market Value
The different types of "Loan against Property" which can be availed from LTHFL are as follows:
Residential: This is the Loan given against the Residential Property.
Commercial: This is the Loan given against the Commercial Purchase and commercial rented and self occupied.
Industrial: For self employed customers having manufacturing facility, providing industrial facility as collateral.
Land: This is to cater to self employed non professionals & professionals customers who want a LAP against a residential plot within municipal limits.
LTHF assess the customer's repayment capacity based on various criteria - including income, age, qualifications, number of dependants, spouse's income, assets, liabilities, stability and continuity of occupation, and savings history etc.
A resident of India or NRI, salaried or self-employed professional or self-employed non-professional
Above 23 years of age at the commencement of the loan.
Below 65 year when the Loan matures.
To increase your eligibility you can include other sources of income (Rent, dividend, agriculture income, bonus, monthly incentive) or you can also include a co-applicant income.
We are committed to giving the best in class service. We will ensure the fastest turnaround time for processing the loan in 6-10 working days ensuring faster *TAT.
*Subject to complete documentation and
An EMI refers to an equated monthly installment. It is a fixed amount which you pay every month towards your loan. It comprises of both, principal repayment and interest payment.
Our EMI payment cycle is the 7th of the month for fully disbursed cases.
We have direct debit instructions such as Electronic Clearing Services (ECS).
*There is no other option for paying EMI.ECS mandatory.
Tenure change is the default option. From customer ease point of view, we understand that Tenure change remains the preferred method, but wherever required we might change EMI, we will intimate you on the necessary change in your EMI.
We will intimate any change in the EMI amount as and when it happens. The revised loan EMI would be dependent on the number of years remaining for repayment of your loan and on the rate of interest applicable. Please contact your loan servicing branch for more information.
In case of part disbursement of the loan, monthly interest is payable only on the disbursed amount. This interest is called Pre-EMI interest (PEMI) and is payable monthly till the final disbursement is made, after which the regular EMI would commence.
The first PEMI is payable by cheque by the end of the month in which the disbursement is made and each subsequent PEMI at the end of every month till the commencement of regular EMI.
Loan Against Property:
The minimum age criteria for salaried is 23 years and a maximum of 65 years while for self employed non professionals/ professionals the limit varies from 25 to 65 years.
The minimum loan amount for HL is 5 lacs and for LAP it is 10 lacs. For Balance Transfer corresponding limits will apply.
Maximum loan amount is subject to credit appraisal.
For salaried the minimum work experience should be continuous 1 year in current organization and for self employed non professionals/ professionals it is two years in the profession/business.
The tenor should be a minimum of 3 years. For HL we have a tenor upto 30 years and LAP the maximum tenor would be 20 years.
For LAP: It varies depending upon type of LAP starts from 50%.
Yes, LAP customers, for floating Rate of Interest can repay the Loan
ahead of schedule by making lump sum payments or choose our Part Pre-payment Option at charges as per fee mentioned in SFC.(Schedule Fee & Charges)
There is one part pre-payment option available for each quarter.
The security for the Loan is a first mortgage of the property to be
financed, normally by way of deposit of title deeds and/or such other
collateral security as may be necessary.
Interim security may be additionally required, if the property is under construction. Collateral or interim security could be assignment to LTHF of life insurance policies, the surrender value of which is at least equal to the Loan amount, guarantees from sound and solvent guarantors, pledge of shares and such other investments that are acceptable to LTHF.
Please do ensure that the title to the property is clear, marketable and free from encumbrance. To elaborate, there should not be any existing mortgage, Loan or litigation, which is likely to affect the title to the property adversely.
Yes, you will have to insure property for fire and other appropriate hazards, as required by the lender during the Loan tenure. The lender will be the beneficiary of the insurance. You will also have to produce
proof / evidence, whenever required by the banks.
In many states in India, the Agreement for Sale between the builder and purchaser is required by law to be registered. You are advised, in your own interest to lodge the Agreement for registration within four months of the date of the Agreement at the office of the Sub-Registrar
appointed by the State Government, under the Indian Registration Act, 1908.
In terms of Chapter XX C of the Income Tax Act, 1961, the Central Government has the first option to purchase certain immovable properties exceeding certain value and as such transactions covered by this Chapter can be proceeded with only after complying with the requirements prescribed therein.
One should seek clarifications regarding the fees for processing the loan, prepayment charges, spread, i.e., the difference between the RPLR and the rate actually charged on the loan, charges for conversion from one loan rate structure to the other and the reset period clause for floating rate loans.
You could get a higher loan on your existing loan subject to your repayment pattern and credit norms of the company. Kindly get in touch with our Sale Representative for further details.
Top Up loan computation is subject to the customer's current credit profile, repayment track record of the existing loan and the current valuation of the property. Kindly get in touch with our Sales Representative for further details.
Top Up loan is at differential rate than original loan rate. For further
clarification our sales person and contact you.
The Home loan floating rate of interest is linked to L&T Housing finance retail prime lending rate (RPLR). The RPLR is a benchmark rate fixed by the Competent Authority, after taking into consideration various components like cost of funds, interest rates prevailing in the market, cost of operations and provisioning requirements etc. among others. The RPLR is 17.35%. The same is subject to change from time to time.
Switching from the Floating rate scheme to the fixed rate scheme and vice versa is permissible. If a fixed rate customer wants to reschedule the loan to a lower interest rate, the same is also permissible. Charges for changing from fixed to floating rates of interest is as per SFC – Schedule Fee & Charges.
You may apply for the same by submitting an application at the nearest branch OR call our customer care.
It is not possible for us to predict future interest rate movement.
As per SFC – Schedule of Fees and Charges.
As per SFC – Schedule of Fees and Charges.
There is fixed component of login fees of 4999/- non refundable (exclusive of service tax) along with processing fees:
Minimum processing fee fr LAP is 1.00% for self employed non professionals/ professionals customers.
Though this may vary from case to case basis depending upon customer profile
The total interest payable by you i.e. inclusive of the interest amount would qualify for deduction under Section 24 for Income Tax purpose up to overall limit of Rs. 200,000. So you will continue to enjoy the tax benefits.
Principal repayments would qualify for deduction from taxable income under Section 80C up to overall limit of Rs. 1,50,000/-. According to the Finance Budget 2014, those availing a Home Loan in the Financial Year 2014 - 2015 are eligible for an additional deduction of Rs 1 Lakh from the Gross Annual Income in addition to the deductions mentioned above subject to the following conditions:
Yes, you can always go ahead with this option, in which your complete EMI charge to you will be of total sanction loan. In which
the Interest portion will be charged on the partly disbursed amount to you & Rest will be Principal portion.
Repayment tenure is the tenure for the number of year for which the loan gets sanctioned. We offer you a wide range of options for the tenure of the loan. You can take a home loan for up to 20 years provided you do not reach the age of 65 years or retire within that period.
All loan repayment are done via equally monthly instalments.