A loan against property (LAP) is one of the best ways to unlock the value of your real estate and get access to funds for personal or business needs. Since it is a secured loan, lenders offer competitive loan against property interest rates, making it a cost-effective borrowing option. However, to get the best deal, you need to be smart about how you approach the process. Here are five ways to ensure you get the most favourable terms.

1. Compare Multiple Lenders

Different banks and NBFCs offer loan against property with varying terms and conditions. Some might offer lower loan against property interest rates, while others may provide higher loan amounts. Before choosing a lender, research and compare:

Interest rates – Look for lenders with the lowest rates. Even a small difference can save you thousands in the long run.
Loan tenure – A longer tenure means lower EMIs, while a shorter one reduces interest payments.
Processing fees and other charges – Some lenders offer low rates but have high processing or legal fees.
Use online EMI calculators to compare different loan options before making a decision.