Loan Against Property EMI Calculator (LAP EMI)

A loan against property is a secured loan: you mortgage a property you own to a bank or housing finance company, keep living in it or using it, and repay in monthly EMIs on a reducing balance. Because it is secured, it usually costs less and runs longer than an unsecured personal or business loan.

How much you can borrow is capped by the loan-to-value (LTV) ratio, a share of the market value the lender assesses, which can be lower than the price you have in mind. Around 50% to 70% is typical, but it is not a fixed rule: it depends on the lender, the property and your profile. The lender also checks that your income can carry the EMI, and sanctions the lower of the two figures.

Lenders accept both residential and commercial property, and some accept plots. Residential property is generally viewed as lower risk, so it often gets a higher LTV than commercial property; terms differ from lender to lender. The property must have a clear title and is legally and technically checked before sanction.

LAP can usually be used for business needs, a child's education, medical costs or other personal needs, but lenders do not allow speculative uses, and many ask you to declare the end use. Rates vary by lender, property type and profile, so use the rate you are quoted.

The EMI here excludes processing fees, legal and valuation charges, stamp duty on the mortgage and any insurance, which the lender adds separately.

Worked example: a ₹50,00,000 loan against property at 9.5% for 15 years has an EMI of ₹52,211 and total interest of ₹43,98,073. The rate matters a lot over a long tenure: at 11%, the EMI rises to ₹56,830 and the interest to ₹52,29,330, about ₹8.3 lakh more. Use the exact rate in your sanction letter, whether from SBI, HDFC Bank, PNB, LIC Housing Finance or Bajaj Finance.

How much you can borrow: lenders usually lend 50% to 70% of the market value they assess. A flat valued at ₹1 crore at a 60% LTV supports up to ₹60,00,000, but the lender also checks that all your EMIs stay within roughly 50% to 60% of your monthly income, and sanctions the lower of the two. Check the income side with the Loan Eligibility Calculator.

LAP or personal loan: on ₹10,00,000 over 5 years, a LAP at 9.5% costs ₹21,002 a month and ₹2,60,109 in interest; a personal loan at 13% costs ₹22,753 a month and ₹3,65,186. LAP is cheaper and can run up to 15 to 20 years, but your property is at risk if you default and it takes longer to sanction because of legal and valuation checks.

Prepaying: RBI rules from 1 January 2026 stop banks and NBFCs from charging prepayment fees on floating-rate loans to individuals for non-business purposes, and on most floating-rate business loans to individuals and small businesses. Check your sanction letter, then model a part-payment with the Loan Prepayment Calculator. If the money is for a business, compare the Business Loan EMI Calculator.

LAP EMI at 9.5% by loan amount and tenure

Monthly EMI on a reducing balance at an assumed 9.5% a year. Excludes processing fee, legal and valuation charges and stamp duty. Your rate depends on the lender, the property and your credit profile.