Loan Against Property From HDBFS: Eligibility, Rates & Benefits Explained

Did you know the global real estate loan market is forecasted to grow from around USD 11.4 trillion in 2024 to USD 35.4 trillion by 2034, at a compound annual growth rate of around 12%. As more consumers and businesses seek real estate secured financing, including a loan against property (LAP), HDB Financial Services (HDBFS) should be the primary option because of its flexibility, its cost of funds, and response time.

Loans against property are growing worldwide, making it important to lock in long-term loans at lower interest rates. This helps customers reduce costs and plan their spending better over time. HDBFS is keeping up with this trend by offering easier loan eligibility, flexible interest rates, and quick approvals. This allows customers to get large loans using their property as security in a faster and more convenient way.

Let’s explore!

What Is a Loan Against Property?

A loan against property is a secured credit facility where you use your residential or commercial property as collateral. HDBFS makes capital available based on the value of your asset - loans can be anywhere between ₹10 lakh to ₹15 crore upfront for new loans and up to ₹25 crore for existing clients! This is well suited for large expansion of business, funding your education, debt consolidation or starting a new business.

Eligibility at a Glance

HDBFS streamlines the loan against property process with clear eligibility norms:

Salaried applicants:

• Ages 22–58 (up to 60 for government employees); net monthly income ₹20,000+ (Govt) or ₹25,000+ (Private).

Self‑employed (including proprietors, LLPs, Pvt Ltd):

• Ages 22–65 with 4+ years of business tenure (2 in current), income ≥ ₹2 lakh p.a. for Tier 1/2 or ₹1.5 lakh for Tier 3/4.

Additionally, HDBFS lets co-owners jointly apply, making the loan against property process inclusive and collective.

Attractive Interest Rates

One of the most appealing aspects of a loan against property is the interest—it’s notably lower than unsecured options. HDBFS offers rates starting around 8% p.a., topping out at 20% depending on borrower profile. This range ensures access to a loan against property low interest rate while balancing risk.

The Floating Reference Rate (FRR) at HDBFS currently stands at 19.10%, and it is reset quarterly. However, your final rate may be much lower depending on your credit profile and the value of your collateral. This means you can secure a loan against property at the low interest rate you truly need.

Loan-to-Value and Amount Limits

HDBFS typically offers up to 60% LTV (loan-to-value), meaning you can borrow ₹60 for every ₹100 of property value. This is consistent across India’s Tier 1–4 cities, with minimum loan amounts of ₹20 lakh (Tier 1) and ₹10 lakh (other tiers). Max chipping in at ₹15 crore makes it suitable for major projects, mergers, or asset purchases.

Flexible Tenure & EMI Structures

Borrow tenure ranges from 12 to 120 months, with exceptions up to 180 months. Longer tenures help lower EMIs without escalating the effective cost. HDBFS also provides both EMI-in-advance and EMI-in-arrears schemes to match your cash-flow preferences.

For example, borrowing ₹75 lakh at a competitive loan against property low interest rate across 15 years can significantly ease monthly EMI outgo.

Why Opt for HDBFS’s Loan Against Property?

• Low interest + lower EMI: The secure nature of the loan ensures lenders like HDBFS can offer attractive rates, translating into cost-effective financial planning.
• Quick, paperless process: Online application, immediate OTP verification, and swift verification mean approvals and disbursals happen rapidly.
• Balance transfer & LRD options: Already have a property loan? Transfer to HDBFS at better rates, or opt for lease-rent discounting (LRD) to fund with rental income upfront.
• No possession taken: Keep living in or using your office while HDBFS holds the property papers.
• Multi-purpose use: Fund real estate acquisition, business needs, education, weddings, health emergencies, debt consolidation, etc.

How to Apply

The loan against property application process is smooth:

1. Visit HDBFS’s Loan Against Property page to upload documents and initiate a digital application.
2. Alternatively, use the “HDB OnTheGo” app for an entirely mobile-first experience.
3. Prefer chatting? Hit ‘Apply on WhatsApp’ or call +91 44 42984541 for assistance.

Required Documentation

Documents needed depend on your applicant category:

Salaried:

• ID/Address proof, salary slips (last 3 months), Form 16s, bank statements, and property papers.

Self‑employed:

• KYC, ITRs (2–3 yrs), P&L records, property deeds.

Multiple categories? Upload both sets. A digital ecosystem means instant uploads and faster verification.

Fees & Prepayment

Processing fees are typically between 1–2% of the loan amount. Prepayment and foreclosure charges vary—check the interest rates page or speak with a relationship manager.

Final Thoughts

A loan against property from HDBFS is not only accessible and flexible but also cost-effective, thanks to competitive lending rates and customizable terms. Whether you need ₹15 lakh or ₹15 crore, this LAP option supports multi-use funding, from personal needs to business investments.

• Low interest: Secure a loan against property low interest rate
• High loan amounts: Up to ₹15 cr (₹25 cr for existing clients)
• Flexible tenure: 1–15 years; longer if needed
• Speedy disbursal: Paperless, digital process
• Value retention: Stay in your property, maintain possession

Ready to Unlock Value?

Don't let your property sit idle; turn it into powerful working capital today. Visit HDBFS’s Loan Against Property page now and apply for your loan against property low interest rate. Speak to an expert or get instant approval and disbursal.

Access capital today—Apply now for a Loan Against Property from HDBFS!