Plot Cum Construction Loan
A Plot Cum Construction Loan is a specialized loan product designed for individuals who wish to purchase a residential plot and construct a house on it within a specified time frame. Instead of taking separate loans for buying land and building a home, this loan conveniently combines both into a single financial solution — offering better interest rates, simplified documentation, and streamlined disbursal.
Key Features of Plot Cum Construction Loan
✅ Single Loan for Two Purposes
Covers both land purchase and construction under one loan — making it easier to manage and reducing paperwork.
✅ Structured Disbursement
Loan is disbursed in phases:
For plot purchase
In stages, as the construction progresses
✅ Competitive Interest Rates
Lower interest rates compared to standalone land loans, since construction is a key part of the loan.
✅ Tax Benefits
Eligible for tax deductions under Section 80C (principal repayment) and Section 24(b) (interest on home loan), once construction is completed.
✅ Longer Tenure & High Loan Amount
Loan tenure of up to 30 years with financing of up to 80–90% of the combined value (based on eligibility and lender policy).
Eligibility Criteria
Applicant should be a salaried, self-employed, or professional individual
Must have a stable income source and good credit history
Construction must typically begin within 12–24 months of plot purchase
Property must fall within approved municipal or development authority zones
Documents Required
Identity and address proof
Income documents (ITR, salary slips, bank statements)
Sale agreement for the plot
Construction plan approved by a local authority
Cost estimate from a registered civil engineer or architect
Benefits of Plot Cum Construction Loan
Convenience: One loan, one EMI, one set of documents
Cost-Effective: Better than taking separate loans for land and construction
Tax Savings: Eligible for both interest and principal repayment deductions
Controlled Disbursal: Ensures funds are used for actual construction only
Why Choose Us?
Quick processing with expert assistance
Tailored eligibility assessment
Assistance with legal verification and property documentation
Flexible repayment options with part-prepayment facility
Build your dream home from the ground up — starting with the right financing.
