Mahindra Home Finance offers attractive Lease Rental Discounting (LRD) loans - a smart and innovative financing solution that empowers real estate developers and property owners to convert their future rental income into immediate funds. This loan against rental income is ideal for individuals and businesses seeking liquidity without selling their property. With our lease rental loan, you can leverage predictable rental cash flows to access a lump-sum amount while retaining full ownership of your asset.
Lease Rental Discounting is a secured loan against leased property, where the loan amount is calculated based on the discounted value of future rentals. This unique product helps property owners unlock the financial potential of their rental income. At Mahindra Home Finance, we offer competitive interest rates, customized eligibility, loan tenure and flexible repayment options, making our LRD loan one of the most attractive rental income financing solutions in the market.
| Feature | LRD Loan | Traditional Mortgage / LAP |
|---|---|---|
| Collateral | Future rental income | Property asset |
| Interest Rate | Comparatively lower (secured by rent) |
Comparatively higher |
| Loan Amount | Primarily based on rental value | Primarily based on property value |
| Repayment Source | Tenant’s rent in escrow | Borrower’s income or savings |
If you own a commercial property or a property that generates regular rental income, you can apply for LRD financing.
Your property should have a valid and registered lease agreement with established tenants. This ensures stability and credibility for your rental income.
The lease agreement must have at least three years of remaining tenure to qualify for LRD. Longer lease terms improve your eligibility and loan amount.
We offer a transparent lease rental discounting process, quick approvals, and flexible repayment options. Our dedicated team ensures smooth documentation and fast disbursal, making us the preferred choice for property owners looking for loan against future rent.
Connect with us:
Contact.LRD@MahindraHomeFinance.com
Lease Rental Discounting is a loan offered against the future rental income of a leased property. It allows property owners to access funds without selling their property.
Owners of commercial or residential properties with a registered lease agreement and a financially stable tenant can apply for LRD.
The loan amount is based on the discounted value of future rentals, the property’s market value, and the Loan-to-Value (LTV) ratio, typically 70–80%.
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