LAP Underwriting Rules 2026

LIC Loan Against Property (Mortgage) Calculator

Unlock the equity in your real estate holdings. Calculate your maximum Loan Against Property eligibility based on market valuation, safety margins, and regular salary income. Estimate upfront processing charges and review your yearly repayment schedules.

Dual Eligibility: Evaluates property market value & net salary pool simultaneously
Regulatory LTV Ceiling: Max 60% LTV cap to prevent over-borrowing risks
Upfront Charge Calculator: Integrated processing fee & documentation taxes
Flexible Sliders: Simple input controls for commercial/residential models
Amortization Ledger: Track yearly interest and principal reduction progress
Mortgage Loan Inputs
Loan against property calculator configuration.
50,00,000
90,00,000
10 Years
9.50%
Repayment Projection
Monthly Mortgage EMI

64,699

Applicable for a tenure of 10 years at 9.50% rate.

Total Interest:27,63,853
Processing Fee:59,000
Total Payable:78,22,853
Total Outflow Allocation100%
Loan (64%)
Interest (35%)
Principal: 50,00,000
Interest: 27,63,853
Fees: 59,000
LTV Compliance Check: Compliant

Your Loan-to-Value (LTV) ratio is 55.6%, which is within the recommended ceiling of 60% for Mortgage Loans (LAP).

Yearly Repayment Ledger
Year-by-year summary of principal and interest components.
YearPrincipal PaidInterest PaidTotal PaymentsEnding Balance
Year 13,14,8614,61,5257,76,38546,85,139
Year 23,46,1104,30,2757,76,38543,39,029
Year 33,80,4603,95,9257,76,38539,58,569
Year 44,18,2203,58,1657,76,38535,40,349
Year 54,59,7283,16,6587,76,38530,80,621
Year 65,05,3542,71,0317,76,38525,75,267
Year 75,55,5102,20,8767,76,38520,19,757
Year 86,10,6431,65,7437,76,38514,09,115
Year 96,71,2471,05,1387,76,3857,37,867
Year 107,37,86738,5187,76,3850

LIC Mortgage Loans: Security, Value, and Criteria

A **Loan Against Property (LAP)**, also referred to as a Mortgage Loan, allows you to leverage the market value of your existing residential or commercial properties to secure long-term capital. Because the loan is secured directly by physical real estate, the interest rates are substantially lower than personal loans, and the repayment tenures can stretch up to 15 years.

LTV Margin Caps & Property Valuations

Under RBI and LIC internal credit guidelines, the maximum Loan-to-Value (LTV) ratio is capped strictly to protect against property price fluctuations:

  • Residential Properties: Typically eligible for up to **60%** of the certified market value.
  • Commercial Properties: Restricted to a maximum of **50%** of the market value.
  • Self-Occupied vs Rented: Self-occupied residential properties generally secure slightly more favorable interest rates due to lower default risks.

Eligibility Assessment: Income vs. Collateral Value

LIC evaluates your eligibility using a **dual-criteria** approach:

Income Capacity (FOIR)Your monthly EMI cannot exceed 50% to 60% of your net monthly income minus existing EMI obligations.
Collateral Capacity (LTV)The final loan amount cannot exceed the regulatory LTV cap of the property's certified valuation (max 60%).

*The final approved loan is always the **lower** of the two limits to maintain adequate safety margins.

Frequently Asked Questions (FAQs)

Can I apply for a mortgage loan against a plot of land?
Yes, but plot-based loans have unique guidelines, often requiring building construction commitments. For pure plot loans, use our specific Plot Loan Calculator.
Is there an age limit to apply for an LIC Loan Against Property?
Generally, the applicant must be between 21 and 65 years old. The loan tenure is structured such that the loan is fully repaid before the applicant reaches retirement age (60 for salaried, 65 for self-employed).

Compare LIC Loan & Repayment Calculators 2026

Check your policy loan limit, plan monthly EMIs, calculate compounding loan interest rates, or project late payment fee grace period thresholds.

Policy Loan EMI Calculator

Calculate monthly interest repayments or principal payment breakdowns for loans secured by LIC policy values.

Loan Interest Calculator

Compute simple or compounding interest accrued over time on outstanding loans secured by LIC policies.

Late Fee & Penalty Calculator

Estimate late payment interest and GST penalties on overdue LIC policy premiums or loan installments.

Personal Loan Calculator

Model reducing balance EMI, FOIR eligibility restrictions, and CIBIL score tier mapping.

Plot Loan Calculator

Analyze plot acquisition loans, maximum LTV parameters, and construction timeline milestones.

Home Loan Prepayment Calculator

Evaluate tenure and interest savings by adding lump-sum or extra monthly prepayments.

HFL EMI Calculator

Simulate LIC HFL EMI schedules tailored to specific schemes like Griha Suvidha and Griha Varishtha.

HFL Interest Sensitivity Calculator

Analyze how small rate hikes trigger the 5-year interest trap, ballooning your tenure.

Loan Against Policy Calculator

Calculate policy surrender value multiplier and maximum 90% LTV borrow limit rules.

Loan Interest Comparison Calculator

Compare monthly reducing balance vs flat rates and half-yearly compounded policy rates.

Loan Value (Collateral) Calculator

Evaluate multi-asset collateral limits across SGB, mutual funds, and properties.

Mortgage EMI & Insurance Calculator

Include capitalized mortgage insurance premiums inside your total mortgage loan EMI.

Property Joint Eligibility Calculator

Analyze joint applicant eligibility, combining net salaries under a unified FOIR margin.

Loan Against Bonds Calculator

Borrow against Sovereign Gold Bonds (SGB), LIC bonds, or government securities with 75% LTV.