Home loan vs loan against property
Both are secured by property. Almost everything else differs.
4 min read
What you need to know
A home loan buys the property that secures it. A LAP is raised on property you already own, for any purpose. The lender's risk differs, and pricing follows.
Continue your research
Use this guide alongside our product details and eligibility criteria before choosing a lender.
Detailed comparison
| Factor | Home loan | LAP |
|---|---|---|
| Rate | 7.10% – 11.5% | 9.25% – 15% |
| Tenure | Up to 30 years | Up to 20 years |
| Funding | Up to 90% of value | 50-75% of value |
| End use | Property purchase or construction | Any legitimate purpose |
| Tax benefit | Section 24(b) and 80C | Only if used for business |
Frequently asked questions
What is the main takeaway from “Home loan vs loan against property”?
Both are secured by property. Almost everything else differs.
What should I check before acting on this comparison charts guide?
The guide includes a home loan vs lap comparison covering Factor, Home loan, LAP.
Can the information in this guide guarantee loan approval?
No. It is general educational information. A bank or NBFC makes the final decision after checking your credit profile, repayment capacity, documents and the applicable product policy.
How can iFINTRUST help after I read this guide?
An iFINTRUST advisor can review your requirement, explain the documents normally requested and help you compare suitable lending options before you apply.