8 Banks Offering High Loan Amounts Against Property in India

8 Banks Offering High Loan Amounts Against Property in India

A property can be more than just an asset you own. In the right financial situation, it can also help you access a substantial amount of money without selling it.


That is essentially what a Loan Against Property (LAP) does. You pledge your residential or commercial property with a bank and borrow against its value. Since the loan is secured, banks can offer much higher amounts than they usually would for unsecured loans.


But there’s an important catch: the maximum loan amount advertised by a bank is not necessarily the amount you will get. Your property value, income, existing liabilities, credit profile, location and the bank’s lending policies all play a role in determining the final sanctioned amount.


So, which banks offer high loan amounts against property in India?

Here is a quick comparison.


Comparison of Banks Offering High Loan Amounts Against Property


Bank

Maximum Loan Amount

Key Highlight

Federal Bank

Up to ₹20 crore

Property Power; term loan and overdraft options

Indian Overseas Bank

Up to ₹40 crore for eligible individuals in metro centres

Higher funding ceiling under applicable LAP scheme

IDFC FIRST Bank

Up to ₹15 crore

Long repayment tenure of up to 25 years

State Bank of India

Up to ₹20 crore under SBI ABL

Suitable for larger property-backed business funding

Bank of Baroda

Up to ₹25 crore in metro cities

Mortgage loan with loan and overdraft options

Bank of Maharashtra

Up to ₹10 crore in metro centres

Higher limit for properties in metro locations

ICICI Bank

Up to ₹5 crore

LAP for salaried and self-employed borrowers

Axis Bank

Up to ₹5 crore

Loan eligibility linked to property and repayment capacity


Loan limits are subject to the bank’s eligibility criteria, property valuation, location, income, credit assessment and applicable terms.


1. Federal Bank


Federal Bank offers its Property Power facility for borrowers looking to raise funds against eligible residential, commercial properties and plots.


The bank currently states that borrowers can avail themselves of a Loan Against Property of up to ₹20 crore. The facility can be structured as either a term loan or an overdraft, depending on the borrower’s requirements and eligibility.


The flexibility of end use is another useful feature. Funds may be used for purposes such as business requirements, education, healthcare, marriage or debt consolidation, subject to the bank’s conditions.


For property owners who want access to sizeable funds while continuing to hold their asset, Federal Bank is worth considering.

Learn more information, visit:


Apply for a Loan Against Property (LAP)- Mortgage Loan | Federal Bank


Apply for a loan against property with low EMIs, flexible repayment & quick disbursal. Secure a property loan tailored to your needs.

federal.bank.in



2. Indian Overseas Bank


Indian Overseas Bank, or IOB, has one of the higher loan ceilings among the banks in this comparison.


Under its applicable Loan Against Property framework, the bank has increased the maximum loan amount for eligible individual borrowers to ₹40 crore for properties in metro centres and ₹25 crore for properties in urban centres.


That number immediately catches attention. However, it is important to understand that the maximum ceiling is not an automatic sanction. The final amount depends on factors such as property value, repayment capacity, eligibility and the bank’s margin requirements.


For owners of high-value properties with significantly large funding requirements, IOB can therefore be an option to evaluate.


Read: Why an HFFC Housing Loan Is a Good Option for Home Buyers


3. IDFC FIRST Bank


IDFC FIRST Bank offers a Loan Against Property of up to ₹15 crore under its current product offering.


One feature that stands out is the repayment period, which can extend up to 25 years, depending on the borrower and applicable product terms.


A longer tenure can reduce the monthly EMI, although it may also increase the total interest paid over the life of the loan.


The bank also provides options focused on business owners, including assessment based on financial documents such as GST returns and business banking records.


For entrepreneurs who own property and require significant working capital or business funding, this can be a relevant option.


4. State Bank of India


When discussing large secured loans, State Bank of India (SBI) naturally enters the conversation.


SBI offers property-backed financing through its Asset Backed Loan products. Under its SBI ABL offering, loans can go up to ₹20 crore.


The bank also provides a separate Asset Backed Loan (Saral) structure for lower loan amounts, while the larger SBI ABL category addresses funding requirements above that range.


An important point here is that SBI links the amount of finance to the realizable value of the property and applicable margin requirements. So, the property valuation remains central to the amount that can actually be sanctioned.


5. Bank of Baroda


Bank of Baroda offers Baroda Mortgage Loan, allowing eligible borrowers to raise funds against residential and commercial properties.


The bank’s published information states a maximum loan limit of ₹25 crore in metro cities, with different ceilings applicable to urban, semi-urban and rural locations.


Borrowers may also have access to loan or overdraft structures, depending on the product and eligibility.


The location-based difference is something borrowers should pay attention to. A property in a metro city and a property of similar value in another location may not necessarily qualify for the same maximum loan limit.


6. Bank of Maharashtra


Bank of Maharashtra offers a dedicated Loan Against Property facility for eligible borrowers.


The bank currently states a maximum loan amount of ₹10 crore for properties located in metro centres, while the applicable limit can be lower at other centres.


The bank also applies different margin requirements based on the loan amount. This means the property’s realizable value and the required borrower contribution have a direct impact on the amount that can be financed.


For borrowers with valuable properties in metropolitan areas, Bank of Maharashtra can be included in the comparison when assessing higher-ticket LAP options.


7. ICICI Bank


ICICI Bank offers Loan Against Property for both salaried and self-employed borrowers.


Its published product information currently places the loan range at ₹10 lakh to ₹5 crore, with a maximum tenure of up to 15 years.


The actual amount sanctioned depends on factors such as the borrower’s income, repayment capability, property value and credit profile.


For someone looking for a large secured loan from a private-sector bank, ICICI Bank provides a conventional LAP option that can be compared alongside other lenders.


8. Axis Bank


Axis Bank offers Loan Against Property with a published maximum loan amount of ₹5 crore.


The bank considers factors such as the property’s market value, applicant income, employment or business profile, existing financial obligations and credit history when determining eligibility.


Axis Bank also provides longer repayment periods for eligible borrowers, with the exact tenure depending on whether the applicant is salaried or self-employed and on the applicable product terms.


For property owners who need a substantial but relatively straightforward secured loan, Axis Bank is another lender to consider.


What Determines Your Loan Against Property Amount?


It is easy to look at the table above and assume that a ₹5 crore, ₹10 crore or ₹25 crore loan is automatically available.


That is not how LAP works.


Property value


The lender first assesses the value of the property being offered as collateral. The bank then applies its permitted LTV or margin requirements.


Income and repayment capacity


Your income matters just as much as your property. The bank checks whether your monthly or annual cash flow is sufficient to handle the proposed loan.


Existing loans


Existing EMIs, business loans, credit card dues and other financial commitments can reduce the amount you are eligible to borrow.


Credit history


Your credit history gives the lender an indication of your past borrowing and repayment behaviour. It can influence the assessment of your application.


Property location and type


A residential property, commercial property and other eligible property types may be treated differently. Location can also affect the applicable maximum loan amount.


Which Bank Should You Choose for a High LAP Amount?


There is no single bank that is suitable for every borrower.


Someone looking for a ₹5 crore loan may have a completely different set of requirements from a business owner looking for ₹15 crore or ₹25 crore.


Instead of looking only at the maximum limit, compare the interest rate, LTV, processing charges, repayment tenure, prepayment conditions, property eligibility and documentation requirements.


The bigger question is not simply, “Which bank gives the highest loan?”


It is: “Which lender can provide the amount I need on terms that fit my repayment capacity?”


That is the comparison that matters when you are putting a valuable property on the line.


Loan limits, interest rates, eligibility criteria and other terms may change. The figures mentioned above should be verified with the respective bank before applying, as the final sanctioned amount is subject to the lender’s assessment and applicable policies.