1,30,000 people visited this section in last 30 days. Apply Online

Get Cashback of Upto ₹ 1,000* on Property Loan Apply Online

MyLoanCare Customer Ratings - 4.5/5.0 Apply Online

Menu

Bank of India Loan Against Property

Bank of India Mortgage Loan Interest Rates

Last Updated 04th Feb 2021

Bank of India offers Loan Against Property starting at interest rate of 8.85% which is one of the best mortgage loan rates in India. Check Best Offers

Processing Fee Upto 1.00%
Max Tenure 12 years
Lowest EMI ₹ 1,130 per lakh
Prepayment, Foreclosure Charges Allowed with nil charges for floating rate loans to individuals
Age Min 21 and Max 60 years for Salaried
Min 21 and Max 70 years for Self Employed
    Apply for Loan Against Property @ 7.20%* Get upto ₹ 1,000* Cashback
    Bank of India Floating Rate Loan Against Property LAP
    Bank of India Mortgage Loan Interest Rates
    Bank of India Loan Against Property Floating 8.85%
    Bank of India Loan Against Property Floating
    Loan AmountRate
    Upto ₹ 30 Lakh 8.85%
    ₹ 30 Lakh - ₹ 75 Lakh8.85%
    ₹ 75 Lakh - ₹ 1 Cr8.85%
    Above ₹ 1 Cr 8.85%
    with OD Facility
    Loan Amount Rate
    Upto ₹ 30 Lakh 11.15%
    Above ₹ 30 Lakh - ₹ 75 Lakh 11.15%
    Above ₹ 75 Lakh - ₹ 1 Cr 11.15%
    Above ₹ 5 Cr 11.15%

    Bank of India Loan Against Property Rate

    • Loan amount: Property loan rates in Bank of India depends upon the loan amount you apply for. You can get minimum loan of ₹ 10 Lakh from Bank of India.
    • Your Net Monthly Income: Income helps you in identifying your rate of interest. Higher the income, higher will be your repayment capacity which will increase your eligibility for higher loan amount.
    • Type of loan opted for: Bank of India offers differential rates for different profile of customers and also fixed and floating rate schemes. Loan against property interest rates may be higher or lower for special loan product.
    • Type of property: Typically, loan against prime residential properties are easier to get and can be availed at the lowest rates compared to loan against commercial and industry properties.
    • Your profession: Bank of India may charge a higher interest rate on a mortgage loan by a salaried as compared to a self-employed professional or a businessman. A self employed professional or businessman is expected to deploy loan proceeds for productive purposes in his occupation or business compared to salaried who will most likely take a mortgage loan for his personal purposes.

    Interest Rate and its impact on Bank of India Loan Against Property Eligibility

    Bank of India has detailed criteria to determine a potential borrower’s eligibility for mortgage loans. Some of the key criteria are:

    Eligibility Criteria Details
    Age 21 to 60 years
    Loan Amount ₹ 10 Lakh to ₹ 5 Cr
    Minimum Credit Score 650 and above
    Loan to Value Ratio Upto 40%
    FOIR (Fixed Obligations to Income Ratio) 0.65

    • Age: Age is one of the important factors to examine your eligibility. Bank of India offers loan to salaried and self employed from the age of 21 years. Any person taking loan at the age of 21, can get loan of up to 15 years, thus reducing servicing burden on his existing income and hence, improving his loan amount eligibility.
    • Income: Property loan is mostly taken by self employed individuals primarily to meet their business requirements. However, in order to increase the loan amount you may club the income of family members like your spouse, parents, children and siblings.
    • Business Stability: Bank of India will ask for ITRs of 2 years to consider you as eligible for LAP.
    • CIBIL Score: Past CIBIL history and repayment record of existing loans and credit cards has adverse impact on your loan eligibility. If you have a poor repayment record, then you may find it difficult to get a loan. A regular repayment record not only improves your chances of getting a loan, but also increases your loan eligibility. Bank of India grants loan to borrowers with a CIBIL score of 650 and above.
    • Loan Amount: Bank of India gives you an amount ranging from ₹ 10 Lakh to ₹ 5 Cr. To improve chances of approval, apply for a loan amount that you can comfortably service.
    • Property Value: The value of the property to be mortgaged is used to calculate maximum loan eligibility based on the maximum permissible LTV ratio which can range upto 40% depending on the type of property. Bank of India will conduct a detailed property assessment to establish that all legal titles are in place, assess the market value of the property, and its sale ability. LTV is calculated based on the estimated fair market value or registered value, whichever is lower.
    • Fixed Obligations to Income Ratio (FOIR): The bank will also calculate the proportion of your fixed obligations to your income to calculate the Fixed Obligations to Income Ratio, known as FOIR. Fixed obligations include estimated average monthly expenses and EMIs you are paying on other existing loans. Minimum FOIR to be eligible for a Bank of India mortgage loan is 0.65.

    Bank of India Loan Eligibility Calculator

    Bank of India Property loan Eligibility is the amount of loan you can avail based on an assessment of your repayment capacity as well as the value of property. You can use eligibility calculator to get a fairly accurate estimate of your potential eligibility subject to the information provided by you.

    Bank of India Mortgage Loan EMI and Interest Calculator

    You can also use online Bank of India Loan against property EMI Calculator to calculate loan EMIs. EMI is a fixed amount that you are required to pay each month towards the repayment of your loan till the end of tenure

    • EMI calculator of Bank of India helps you to calculate your monthly EMI at different rate of interest and also check and compare lowest EMI per lakh on LAP.
    • Higher the loan amount, higher the EMI. You can compare the estimated EMI with your monthly repayment capacity to decide on a level of EMI you can comfortably service without creating financial burden.
    • Loan tenure matters equally as higher loan tenure reduces your EMI.
    • Another factor which affects your EMI is interest rate on the loan. Higher the interest rate, higher will be the EMI. However, your cumulative interest outgo will be significantly high in a longer tenure loan compared to a short tenure loan. Loan against property interest rate comparison of different banks will allow you to choose the cheapest loan and hence, improve your eligibility.

    What are the benefits of calculating Bank of India Mortgage loan EMI?

    • EMI calculator helps you to calculate your monthly EMI at different rate of interest
    • Bank of India Mortgage loan EMI calculator helps you to know your capacity to repay the loan after maintaining your standard of living
    • Getting an EMI estimate will help you ascertain the monthly EMI you can comfortably service, thus allowing you to choose the right combination of loan amount and loan tenure.
    Other Charges

    In addition to interest rates, property loan also carry some other charges which include:

    • Foreclosure Charges - These charges are to be paid in case you want to repay your entire loan amount before the end of tenure period. Bank of India allows prepayment of loan against property with Nil prepayment charges.
    • Processing Fee - Bank of India charges a processing fee of 1.00% of the total loan amount.
    • Other Charges - Bank also charges technical and legal charges which are explained to the customer during the loan process.
    Loan Against Property Top up, Transfer

    Transfer of LAP from another bank to Bank of India

    Bank of India offers mortgage loan balance transfer from another bank. This is subject to your meeting other eligibility criteria of Bank of India.

    You can avail additional top-up loan against property from Bank of India, subject to your eligibility.

    Loan Against Property Bank of India Products

    Bank of India offers customized products for specific customer segments designed to meet their loan requirements. Some of the popular products with their basic features are as follows:

    Commercial Property Mortgage Loan

    Description:
    • Commercial property mortgage loan by Bank of India allows the loan borrower to borrow funds by keeping the commercial property as security with the bank.
    • The loan is taken to meet the credit needs of business or profession, to meet personal expenses, for renovation or construction of house or business premises, or to repay existing loans. The purpose of the loan is to be declared to the lender.
      • The loan can be taken by self-employed individuals, salaried employees, proprietary firms, partnership firms, Pvt or public limited companies, societies, staff members, or HUFs(Excluding the partnership firms where HUF is one of the partners).

      Loan Against Residential Property

      Description:
      • Commercial property mortgage loan by Bank of India allows the loan borrower to borrow funds by keeping the residential property as security with the bank.
      • The loan is taken to meet the credit needs of business or profession, to meet personal expenses, for renovation or construction of house or business premises, or to repay existing loans. The purpose of the loan is to be declared to the lender.
        • The loan can be taken by self-employed individuals, salaried employees, proprietary firms, partnership firms, Pvt or public limited companies, societies, staff members, or HUFs(Excluding the partnership firms where HUF is one of the partners).

        Bank of India Loan against property documents required

        For Self-Employed

        • Filled up loan application form
        • 2 Passport Size Photo
        • ITR of last 2 years
        • Identity Proof - Passport/ Driving License/ Voter ID/ PAN
        • Residential Address Proof - Leave and License/ Registered Rent Agreement/ Utility Bill (up to 3 months old), Passport
        • Business proof such as VAT/ service tax registration, incorporation details in case of companies, business address proof, profit and loss account and balance sheets certified by CA, copy of partnership deed and proof of business existence and business profile
        For Salaried employee
        • Filled up loan application form
        • 2 Passport Size Photo
        • ITR of last 2 years
        • Identity Proof - Passport/ Driving License/ Voter ID/ PAN
        • Residential Address Proof - Leave and License/ Registered Rent Agreement/ Utility Bill (up to 3 months old), Passport
        • Income Documents – 6 months payslip, 2 years Form 16, 6 months bank statement showing salary credit and any EMI debit
        Property documents
        • Registered Sale Deed/ Conveyance/ Lease Deed
        • Past Sale Deeds Chain (each transaction in respect of this property since first allotment
        • Latest House Tax Return/ Receipt
        • Approved Building Plan from Municipal Corporation

        FAQs

        What is Bank of Indias loan against property interest rate?

        Bank of India offers loan against property at rate of 8.85% with the lowest EMI of ₹ 1,130. If you are currently paying higher interest rate than Bank of India rate, you can opt for balance transfer of loan to Bank of India.

        How to increase my eligibility on Bank of India Mortgage loan?

        If your spouse or family member is earning well, you can make your spouse or family member the co-applicant for your loan. The combination of both of your income will help you in increasing your eligibility to get loan.

        Do I get tax benefit on Loan against property from Bank of India?

        There are no tax benefits available for loan against property.

        • Bank of India offers RBI Repo Rate linked mortgage loan which starts at 8.85%. Current Repo Rate of RBI is 4.00%. Bank adds a mark up on RBI’s repo rate which is called Bank of India Repo Rate Linked Lending Rate (RLLR). RLLR can change with change in Repo Rate. An additional spread is applied on RLLR which remains the same throughout the tenure. Bank applies a premium 4.85% to the Repo Rate to arrive at this rate.
        • When RBI increases rates, the bank may increase its Repo Rate linked property loan rates by the same basis points for all existing and new mortgage loans. When RBI cuts interest rates, the Bank of India loan against property interest rates will reduce the interest rates by the same basis points, which will be effective from 1st day of the following month.

        Can I foreclose my Mortgage loan? What are the charges applicable?

        Yes, you can foreclose your loan anytime you want with Nil foreclosure charges.

        What is the maximum loan tenure I can opt under Bank of India Property loan?

        Bank of India offers maximum tenure of 12 years to repay your loan.

        What is the benchmark rate applicable for Mortgage loan?

        The benchmark rate applicable for property loan in Bank of India is RLLR

        Can I transfer my LAP from another bank to Bank of India?

        Yes, Bank gives you the facility to transfer your existing loan with a hassle free process. Loan balance transfer to Bank of India offers you to pay lower EMIs and save money.

        Can I club the income of my spouse with mine and apply for joint Property loan?

        Yes, you can club the income of your spouse to increase your loan eligibility if the spouse is co-owner of the property or guarantor of the loan.

        What is Bank of India mortgage loan processing fees?

        The loan processing fee charged is 1.00% of the total loan amount.

        What is Bank of India property loan procedure?

        You can apply for a Bank of India property loan by contacting the bank directly or by approaching them through online marketplaces like MyLoanCare. Approaching the bank through an online market place improves the chances of getting best loan rates, low processing fees and special offers in the form of cash backs. Once you approach the bank, they will collect your documents and initiate the loan process which includes checking your CIBIL score, property valuation, technical and legal checks on property, eligibility calculation. The bank will give a decision on your loan based on the evaluation results.

        What security do I need to provide?

        Bank of India requires registered mortgage of the property against which the bank will provide you loan.

        • Property on which you intend to take loan is not a vacant land, has an approved map plan and is in municipal area. You must attach the entire chain of title documents of the property and its approved building plan with the loan application.
        • Your total EMIs on all loans and credit cards (from Bank of India and other banks) are no more than 60 - 70% of your net monthly income.
        • You have not defaulted on loans or credit card dues to Bank of India and other banks and all EMI's have been paid. Note that Bank of India can see record or status of your EMI defaults to all banks and NBFC’s in India and not just to Bank of India in your CIBIL report. Estimate your CIBIL score for free for free by using CIBIL score estimate calculator
        • If you are salaried, ensure that you attach your recent salary slips, bank statements and last 3 years' Form 16 with the loan application
        • If you are self employed, your business must have been in existence for at least three years and last three income tax returns with audited financial must be available

        Are prepayment or foreclosure charges applicable on Bank of India loan against property?

        You can prepay loan against property (LAP) without any penalty or charges in case:

        • Your loan is at a floating rate of interest and not at a fixed rate. Almost all loans against property are at floating rates and it is unlikely that yours is at a fixed rate of interest
        • The loan is in the name of one or more individual borrowers and none of the applicants and co-applicants is a business entity like a company or a firm or partnership or AOP

        Bank of India Loan Against Property News - Apr 2021
        • 2020-08-03 : Bank of India posted PAT of Rs. 845.78 crore in Q1FY21
          Bank of India posted a net profit of Rs.845.78 crores for the period ended June 30, 2020, as against a net profit of Rs.3600.65 crores for the period ended March 31, 2020. Further, the Bank reported total income aided by retail loans like home, personal, car, two-wheeler and gold loans along with business and mudra loans of Rs.12022.48 crores during the period ended June 30, 2020.
        • 2019-05-17 : Bank of India posts Rs. 252 crores profit on lower provisioning
          Bank of India (BoI) has reported a net profit at Rs. 252 crores during the Q4 of FY19 as compared to Rs. 3,969 crore in the year-ago quarter. The profit is driven mainly by robust growth in net interest income and a sharp decline in loan loss provisions. Additionally, the lender is hoping to grow retail loans including home loans and mortgage loans around 15% in the near future.
        • 2019-05-13 : Bank of India lowers MCLR rates by 5 basis points
          Bank of India (BoI) has revised its Marginal Cost of Funds Based Lending Rate (MCLR) by 5 basis points across all tenure for the month of May. The move is supposed to make retail loans like housing loans and mortgage loans cheaper. Now for overnight and 1 month, the rate stands at 8.20% and 8.30% respectively. While for 3 months, the rate has been revised to 8.45%. While for 1 year the rate now stands at 8.70%. The revised rates are effective from May 10, 2019.
        • 2019-04-11 : Bank of India cuts 6-month MCLR by 5 basis points, other rates unchanged
          Bank of India (BoI) has reduced its marginal cost-based lending rate (MCLR) by five basis points for the six-month tenure. Other rates have been left unchanged. Now, the MCLR rate for 6 months have been reduced to 8.55% from 8.6% earlier. The new rate is effective from April 10.
        • 2018-11-20 : Bank of India revises MCLR rate
          Bank of India has revised MCLR for the month of November. The rates continue to be in the range of 8.15% to 8.65%. The new rates for six months MCLR now stand at 8.55% and that of one year is 8.65%. The revised rates are effective from November 10, 2018.
        *Terms and conditions apply. Credit at sole discretion of lender subject to credit appraisal, eligibility check, rates, charges and terms. Information displayed is indicative and from collected from public sources. Read More
        Loader
        Please wait while your information is being processed...
        '