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Smart Loan Against Property

A loan that enables you to save on interest payments and thereby reduce the tenure of the loan. Apply Now For a smart loan against property

Why choose a Smart Loan Against Property?

You can raise funds against your residential property with Smart Loan Against Property (SmartLAP) from HSBC.

 

Your SmartLAP is operated through a SmartLAP account that acts as a current account with an overdraft limit equal to the amount of the loan disbursed. Your SmartLAP account would be your loan account.

  • Loan requirement - Loans up to  ₹100,000,0001
  • Loan tenure - Tenor of up to 15 years

Interest Rates

9.80% p.a.
Interest rate, with commitment fee
10.00% p.a.
Interest rate, without commitment fee

Save on Interest Payments

Interest Rates

Normal LAP and Smart LAP comparison

Loan Details

Normal LAP

Smart LAP

Loan Amount (₹)

5,000,000

5,000,000

Interest Rate (p.a.)*

12.25%

12.75%

Original Loan Tenure

15 years

15 years

EMI (₹)6

60,815

63,244

Actual EMI's Paid

180

95

Total Interest (₹)

5,946,688

2,976,723

Savings in Interest (₹)

-

2,969,965 (approx 50%)

Interest Rates

Normal LAP and Smart LAP comparison

Loan Details

Loan Amount (₹)

Normal LAP

5,000,000

Smart LAP

5,000,000

Loan Details

Interest Rate (p.a.)*

Normal LAP

12.25%

Smart LAP

12.75%

Loan Details

Original Loan Tenure

Normal LAP

15 years

Smart LAP

15 years

Loan Details

EMI (₹)6

Normal LAP

60,815

Smart LAP

63,244

Loan Details

Actual EMI's Paid

Normal LAP

180

Smart LAP

95

Loan Details

Total Interest (₹)

Normal LAP

5,946,688

Smart LAP

2,976,723

Loan Details

Savings in Interest (₹)

Normal LAP

-

Smart LAP

2,969,965 (approx 50%)

* Interest rates are merely indicative and can change from time to time. 

This graph shows with a Smart loan against property your equated monthly instalment are significantly reduced, and the overall amount you pay at the end of the loan is also significantly less. This is based on the scenario example given. Please refer to the terms and conditions at the bottom of this page.
This graph shows with a Smart loan against property your equated monthly instalment are significantly reduced, and the overall amount you pay at the end of the loan is also significantly less. This is based on the scenario example given. Please refer to the terms and conditions at the bottom of this page.

Eligibility

To qualify for a Home Loan from HSBC, the following criteria apply

  1. Minimum Net Income ₹5,00,000 p.a (salaried)7 or ₹7,50,000 p.a (self-employed)
  2. Minimum Age (in years) 21
  3. Maximum Age (in years) on maturity of loans 58 (salaried), or 60 (public limited/government employees), or 65 (self-employed)
  4. Minimum Loan Amount ₹300,0001
  5. Maximum Loan Amount ₹10,00,00,0001
  6. Maximum Tenure (in years) 20 years. For salaried applicants 25 years

Insurance

You would need to insure your property with an insurance company against loss by fire, earthquake, floods and other damages with The Hongkong and Shanghai Banking Corporation Limited, India, as the beneficiary.

Apply for a Smart Loan Against Property

Frequently asked questions

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Important Information

Terms & Conditions

All loans are subject to Terms and Conditions and are at the sole discretion of The Hongkong and Shanghai Banking Corporation Limited, India (HSBC). Currently Home Loan is available to applicants and for properties in and around the city limits of (sourcing cities) Mumbai, New Delhi (NCR), Bengaluru, Pune, Chandigarh, Jaipur, Ahmedabad, Chennai, Hyderabad and Kolkata; and are subject to change from time to time.


1
The minimum and maximum loan depends on city of property and property type. Loan amount of ₹5,00,000 to ₹10,00,00,000 for ready and under-construction properties in Mumbai, New Delhi (NCR). ₹3,00,000 to ₹7,50,00,000 for ready and under construction properties in Bengaluru, Chennai, Pune, Ahmedabad, Chandigarh, Jaipur, Hyderabad and Kolkata (however we do not fund under construction property in Kolkata). ₹3,00,000 to ₹1,00,00,000 for self-construction loan and ₹3,00,000 to ₹25,00,000 for home improvement loans for properties in all sourcing cities. For HSBC Premier customer maximum loan amount of ₹10,00,00,000 for all sourcing cities for ready and under construction properties. The minimum agreement and market value of the property to be funded for Mumbai and Delhi is ₹25 lakh and for all other sourcing cities is ₹15 lakh

Loan anniversary is the date and month on which the loan was disbursed. Example: If your loan was disbursed on 20 May 2012. Then every year, 20 May will be the loan anniversary.

4
Please be advised that applicable Indirect Taxes would be recovered on all our fees and charges and any other amount liable to tax under prevailing Indirect Tax Laws.

5
Pre Equated Monthly Instalment (Pre-EMI) means interest on the loan from the date/dates of disbursement of the loan to the date immediately prior to the date of commencement of EMI and initially at the rate indicated in the FAL and subject to change from time to time. Pre-EMI amount will be adjusted towards payment of the interest accrued on the outstanding loan amount.

6
Equated Monthly Instalment (EMI) means the amount of monthly payment consisting of principal and interest necessary to amortise the loan amount with applicable interest within such period as may be determined by the Bank from time to time.

7 To meet the minimum income criteria, income of two salaried applicants can be clubbed.

Available to both Residents as well as NRIs. NRI Applicants must have a local co-applicant or a local contact person. All joint owners of the property would necessarily have to be co-applicants and would need to sign all loan documents.
The interest rate on your floating rate loan, if disbursed on / after April 01, 2016 is linked to HSBC's 3 month Marginal Cost of Fund based Lending Rate (MCLR). Any revision in the 3 month MCLR would impact your interest rate. The 3 month MCLR is 8.35% p.a. effective 1 May 2018.

The interest rate on your floating rate loan, if disbursed on / after July 01, 2010 till March 31, 2016  is linked to HSBC's Base Rate. Any revision in the Base Rate would impact your interest rate.

The interest rate on your floating rate loan if disbursed prior to July 01, 2010 is linked to HSBC's Retail Lending Rate (RLR) and any revision in the RLR would impact your interest rate.

Change of existing Benchmark Rate from Base Rate / Retail Lending Rate to Marginal Cost of Funds based Lending Rate (MCLR)

Existing HSBC Mortgage customer who wish to link their Floating rate loans to 3 Month MCLR from their existing benchmark rates of Base Rate / Retail Lending Rate should approach their Relationship Managers or visit their nearest branch for more details

The Most Important Terms and Conditions (MITC) (PDF, 81KB) For the HSBC home loan are displayed on the website for your reference. A copy of the same is also available at our Branches.


Please be advised that applicable Indirect Taxes would be recovered on all our fees and charges and any other amount liable to tax under prevailing Indirect Tax Laws.

*Please note that basis Goods and Services Tax (GST) regulations and notified GST rates, Central GST and State/Union Territory GST or Inter-State GST, as applicable, would apply on our fees and charges with effect from 01 July 2017.

Our Centralised Registration Number is AAACT2786PST001.