LIC Plot Loan

Life Insurance Corporation Housing Finance Ltd. (LIC HFL) offers two different kinds of plot loans for the purchase of residential plot of land. Interest rates range from 6.90% p.a. to 7.90% p.a. depending on the type of employment and Credit Score of the applicant. Repayment tenures can go up to 30 years with a maximum loan amount of 75% of the property value.

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LIC Plot Loan Interest Rates

LIC plot loan interest rates are linked to the applicant's employment type, credit score, and quantum of loan applied for. The interest rates for LIC plot loan for the year 2023 are as given below:

For Salaried and Professional Individuals

Loan Amount

Credit Score

Interest Rate

Up to Rs.50 lakh

Above 700

6.90% p.a.

Between 650 - 699

7.10% p.a.

Between 600 - 649

7.30% p.a.

Lower than 600

7.50% p.a.

Between Rs.50 lakh to Rs.1 crore

Above 700

6.90% p.a.

Between 650 - 699

7.30% p.a.

Between 600 - 649

7.60% p.a.

Lower than 600

7.70% p.a.

Between Rs.1 crore to Rs.3 crore

Above 700

6.90% p.a.

Between 650 - 699

7.40% p.a.

Between 600 - 649

7.70% p.a.

Lower than 600

7.70% p.a.

Between Rs.3 crore to Rs.15 crore

Above 700

6.90% p.a.

Between 650 - 699

7.50% p.a.

Between 600 - 649

7.70% p.a.

Lower than 600

7.80% p.a.

For Non-Salaried and Non-Professional Individuals:

Loan Amount

Credit Score

Interest Rate

Up to Rs.50 lakh

Above 700

7.00% p.a.

Between 650 - 699

7.20% p.a.

Between 600 - 649

7.40% p.a.

Lower than 600

7.60% p.a.

Between Rs.50 lakh to Rs.1 crore

Above 700

7.00% p.a.

Between 650 - 699

7.40% p.a.

Between 600 - 649

7.70% p.a.

Lower than 600

7.80% p.a.

Between Rs.1 crore to Rs.3 crore

Above 700

7.00% p.a.

Between 650 - 699

7.50% p.a.

Between 600 - 649

7.80% p.a.

Lower than 600

7.80% p.a.

Between Rs.3 crore to Rs.15 crore

Above 700

7.00% p.a.

Between 650 - 699

7.60% p.a.

Between 600 - 649

7.80% p.a.

Lower than 600

7.90% p.a.

Credit Score Below Zero:

Quantum of Loan

Non-Salaried & Non-Professionals

Salaried & Professionals

Up to Rs.50 lakh

7.50% p.a.

7.40% p.a.

Check : LICHFL Interest Rate

Quick Features of LIC Plot Loan

Some of the features of LIC Plot loan are listed below:

  1. Interest rate is low
  2. Documentation process is simple
  3. Loan is sanctioned quickly
  4. Low EMIs
  5. Facility of Balance Transfer or Takeover of existing home loans available
  6. Facility of online sanction of plot loan available

Features of LIC Plot Loan

The two different types of LIC plot loan along with their respective features are given below:

Composite Loan for Purchase of Plot and Construction of House

The features of this loan are:

  1. Maximum tenure of 30 years
  2. The sanctioned amount can be used for purchase of plot (up to 60% of loan amount) and construction of a house on the plot (40% or remaining loan amount)
  3. Construction of the house should be completed within 3 years of purchase of the plot

Purchase of plot of land from development authorities/approved layouts/government bodies

The features of this loan are:

  1. Maximum tenure of 15 years
  2. Used for purchase of land only from statutory authorities
  3. Maximum loan amount of up to 75% of the property value

LIC Plot Loan Eligibility Criteria

The eligibility criteria for LIC plot loan are as given below:

  1. Resident Indians
  2. Non-Resident Indians
  3. Salaried individuals in public, private, or government organisations
  4. Self-employed individuals
  5. Professionals

Check: Other Plot Loan

Documents Required for LIC Plot Loan

The following documents are required to apply for the LIC plot loan:

Proof of property (if property is already identified):

  1. Tax receipts that are up to date and paid
  2. Proof of property ownership

Proof of income:

  • For salaried individuals:
    • Bank statements for the last 6 months to 12 months
    • Income tax returns for the last 3 years
    • Form 16
    • Salary slips
  • For self-employed individuals:
    • Bank statements for the last 6 months to 12 months
    • Income tax returns for the last 3 years
    • Financial statements for the last 3 years
  • Know Your Customer (KYC) documents:

FAQs on LIC Plot Loan

  • Where can I apply for the LIC plot loan?

    You can apply for the LIC plot loan either online on the official website of the company or by visiting the nearest branch office.

  • Can I use the LIC plot loan for balance transfer or takeover of other loans?

    Yes, you can use the LIC plot loan for balance transfer or takeover of other home loans.

  • What is the type of interest rate offered by LIC HFL?

    The interest rate is floating rate based on the prevailing market conditions and is reviewed every three months in January, April, and July. The interest rates are also linked to the LIC Housing Finance Prime Lending Rate (LHPLR) which is currently at 14.70%.

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