Plan Your Loan Better with a Loan Against Property Calculator

Whether you're looking to fund a business venture, meet home renovation expenses, or consolidate debts, a loan against property can give you access to substantial funds at a relatively competitive interest rate. However, before you take the plunge, it's helpful to know what your monthly repayments will look like. That’s where a loan against property calculator can make all the difference.

This article explains how the calculator works, how it supports better decision-making, and what you need to apply for the loan, from eligibility requirements to documentation.

What Is a Loan Against Property  EMI Calculator?

A loan against property EMI calculator is a free online tool that can help you estimate your monthly repayment amount (EMI) before you apply. It uses three inputs:

• The loan amount you plan to borrow
• The interest rate applicable to your profile
• The tenure over which you intend to repay the loan

Based on these values, the calculator instantly shows the estimated EMI. Several EMI calculators, such as the Loan Against Property EMI Calculator by Bajaj Housing Finance Limited, also provide an amortisation schedule. This schedule shows a breakdown of each instalment into principal and interest components across the tenure. This lets you visualise how your outstanding loan amount will reduce over time.

Why Use a Loan Against Property Calculator?

When dealing with a sizeable, long-term loan, planning your finances well is prudent. Here’s how using the calculator can help:

Better Repayment Planning

You can try out different combinations of loan amounts, interest rates, and tenures to estimate the EMI amount that you can repay comfortably.

Informed Comparisons

You can compare loan options from various lenders to choose the one that aligns with your financial goals.

Repayment Clarity

With the amortisation schedule, you know how much of each EMI goes towards interest and principal. This insight helps you budget effectively.

Loan Against Property Eligibility Criteria

Before applying for the loan, it is important to meet the loan against property eligibility criteria determined by the lender. While the exact requirements may vary slightly, most lenders consider the following:

• Age: Applicants are generally expected to be between 23 and 70 years, with the upper age limit being the age at the time of loan maturity
• Income profile: Salaried individuals with stable employment and self-employed individuals with a consistent business history are preferred
• Credit score: A score of 750 or above improves approval chances and may lead to better loan terms
• Ownership: The applicant must be the legal owner of the residential or commercial property being offered as collateral

Loan Against Property Documents Required

Having the right documentation ready can speed up your application. Bajaj Housing Finance Limited, for instance, requires minimal documentation for loan verification. You typically need to submit the following loan against property documents required for your application to be processed smoothly:

Identity and Address Proof

• PAN Card or Form 60 (mandatory)
• Aadhaar Card
• Passport or Voter ID
• Utility bill or rental agreement as address proof

Income Proof

For salaried individuals:

• Salary slips for the last three months
• Form 16 or latest ITR
• Bank statements for the past six months

For self-employed individuals:

• ITRs for the last three years
• Audited profit and loss statement and balance sheet
• Proof of business ownership or registration

Property Documents

• Title deed
• Sale deed or registration certificate
• Recent property tax receipts
• Encumbrance certificate

This list of documents is indicative.

A loan against property can be a valuable financial solution when you need substantial funds and want to retain ownership of your property. But before making a commitment that spans several years, it is essential to understand your monthly obligations. A loan against property calculator provides this clarity, helping you compare options, plan your budget, and align your loan with your financial goals.

Disclaimer: The content above is presented for informational purposes as a paid advertisement. The Tribune does not take responsibility for the accuracy, validity, or reliability of the claims, offers, or information provided by the advertiser. Readers are advised to conduct their own independent research and exercise due diligence before making any decisions based on its contents and not go by mode and source of publication.