What are the Documents Required for a Loan Against Property?

Understanding Loan Against Property

A loan against property (LAP) is a type of secured loan where the borrower’s property serves as a collateral. The loan amount typically depends on the market value of the property.

How a Loan Against Property Works

In a LAP, the borrower pledges their property to the lender. The lender holds the property as security until the loan is repaid in full. If the borrower fails to repay, the lender has the right to take possession of the property.

The Essential Documents Required for a Loan Against Property 

Applying for a LAP involves providing certain documents to the lender for verification. Here are the standard documents required:

Proof of Identity

Documents such as a passport, PAN card, driver’s license, or Aadhaar card can serve as proof of identity.

Proof of Address

This could be a utility bill, bank statement, property tax receipt, or passport showing your current address.

Property Documents

Essential property documents include the title deed, sale deed, and approved building plan. In the case of a plot of land, the allotment letter and layout of the plot are needed.

Income Documents

For salaried individuals, salary slips, Form 16, and bank statements are needed. 

For self-employed individuals, income tax returns, profit and loss accounts, balance sheets, and bank statements are required.

Credit Report

A credit report detailing your credit history and score is mandatory for the loan approval process.

Other Documents

Additional documents such as a completed application form, passport-size photographs, and business proof for self-employed individuals may also be needed.


1. Can the property documents vary for a loan against property? 

Yes, depending on whether the property is a residential house, commercial property, or land, the required documents might vary. 

2. Do all lenders require the same set of documents for a loan against property? 

While the core set of documents is usually similar, some lenders might require additional documents or follow different guidelines.

Key Takeaways

The documentation process for a LAP can be extensive. Being prepared with the required documents can speed up the approval process. It’s crucial to verify each document for accuracy to avoid potential delays or rejection.

Ready to Apply for a Loan Against Property? Ruloans Can Help!

Getting all your documents in order can be a daunting task. At Ruloans, we make it easier by providing you with a checklist and assisting you in gathering all the necessary paperwork. Start your loan journey with us today!

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