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Home Loan Transfer Requirements

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Home Loan Transfer Requirements
Home Loan Balance Transfer @ 6.95%*p.a. With Zero Processing Fees*

You choose for a home loan transfer from one bank to another in order to enjoy the benefits of home loan transfer mainly the lowest interest rates for housing loan & enhancement in the housing loan tenure (subject to maximum tenure on home loan which is 30years).

In order to opt for the home loan transfer to other bank, it is important that you fulfill all the home loan transfer terms and conditions of the banks. The transfer terms and conditions may vary among the lenders i.e. Banks & NBFCS, say for instance Pvt. Banks like ICICI & NBFCs like HDFC Ltd. can transfer your home loan which is 6 months old, while the nationalized Banks like Canara need a 12 months repayment track record in order to process the home loan transfer request. Given below are some of the important aspects to be considered to transfer your home loan.

Home Loan Transfer Requirements

1) Timely Repayment Of Loan EMIs

In home loan balance transfer requests the banks basically and mainly looks for a clear track history for housing loan repayment by the borrowers. The housing loan repayment schedule / track record must be clear of any EMI bounces, EMI late payments & undue EMIs. Timely repayment of home loan EMIs will also earn a lowest interest on home loan. A good repayment track record for 12-18 months is required in order to transfer your high interest rate home loan to a new bank with low interest rate home loan. A 6 months old home loan can also be transferred with selected banks, namely ICICI & HDFC.

2) Must Have Uninterrupted Flow Of Income

You need to have a regular flow of income per month if you wish to switch home loan to another bank. Bank ascertains your repayment capacity on the basis of your income eligibility. A borrower with interrupted flow of income cannot enjoy the benefits of home loan transfer. Even if you have uninterrupted income flow of income but you maintain an account balance for the EMIs, home loan balance transfer is possible.

 3) The Property Should Be Within The City Approved Corporation Limits

A home loan transfer grampanchayat property is not approved. The property has to be within the approved corporation limits of the authority and must be approved by BMC, TMC, MHADA, CIDCO, KDMC, VVCMC, MMRDA etc. for the properties in the metropolitan city of Mumbai. Grampanchayat properties are usually not transferable by the leading home loan Banks and NBFCs.

Additional Read: Why Is It Difficult To Get A Loan On Grampanchayat Property?

4) Possession Of The Property Has Been Received

(Home Loan Transfer Under Construction Property Is Not Possible)

A home loan taken on under construction property cannot be transferred unless the borrower has taken the possession of the property. In under-construction home loans you pay only the interest amount to the bank or the loan is partially disbursed, therefore, unless you get the possession of the property and start paying the full EMIs for atleast 6 months the home loan cannot be transferred. (CLICK to know If Pre EMI is better than full EMI). You are required to provide a copy of the possession letter along with other home loan transfer documents when opting for the home loan switch.

Additional Read: What Is Advantageous? Purchasing A Resale Property Or Investing In A Builder Property

Quick Guide To Difference Between Home Loan Builder Case & Resale Case

5) The Loan Is Not In The Lock-In Period

Ensure that your loan is not in the lock-in period while switching the bank for lowest home loan rate. Such is the preferable circumstance for fixed interest rate home loans. In fixed interest rate home loans your rate of interest remains fixed for a fixed tenure say for 1year, 3years, 5years, 10years or 15years according to the banking agreement. Under fixed interest rate home loans you are charged a penalty for preclosure of your home loan which may range from 2%-5% on the outstanding loan amount depending upon the Bank/NBFC.

If you are looking to transfer your high interest rate home loan i.e. a fixed interest rate home loan and pay a nominal penalty, speak to experts of Loanfasttrack on 9321020476 for guaranteed solution.

6) All Co-Borrowers & Co-Owners Of Property Must Sign The Home Loan Application Forms. 

All co-owners of the property have to be co-applicants on the loan. For home loan balance transfer all co-applicants must give their consent to transfer the loan. Especially when a home loan is availed in the name of two or more siblings. On the contract if the home loan is to be transferred on a single name or an applicant while applying for a balance transfer, the other co-applicants must give up their property ownership rights by signing a release deed.

Home loan transfer from wife to husband and vice-a-versa, home loan transfer from parents to children (son & daughter), home loan transfer from sister to brother or vice-a-versa, home loan transfer from brother to brother, are some of the examples of home loan transfer to another person.

7) Good CIBIL Score

A CIBIL score of 750 above is considered a good CIBIL score for all types of loan requirements. Banks scrutinize your repayment capacity by pulling out your CIBIL report. Low/poor CIBIL score puts question to your repayment capacity and banks avoid funding on the grounds of high risk of defaults. However a low CIBIL score housing loan may be considered for balance transfers by Banks/NBFCs but such transfers necessarily may not earn you a lowest interest rate for housing loan.

Additional Read: CIBIL And Its Significance In Home Loan

Know How Your Home Loan Inquiry Impacts Your CIBIL Scores

8) Top-Up Restrictions For Home Loan Balance Transfer With Top Up

A top up applied to meet your professional and personal needs is subject to the fulfilment of the following conditions:-

i) Income Eligibility – You must be eligible to pay additional top-up EMI towards your top-up loan.

ii) LTV Norms – The cumulative loan amount of the balance transfer and top-up amount does not exceed the LTV norms of the bank which is 80% of the market value of the property.

iii) The top-up amount cannot be used for trading and speculative purposes.

iv) The top-up loan is charged at a mortgage loan interest rates for the top-up amount exceeding the original home loan amount.

Apply For ICICI Bank Housing Loan Transfer With Top Up @ Lowest Rate Of 7.10%p.a.

Additional Read: What Do You Mean By Loan Eligibility In Home Loan?

9) Should Have Necessary Documents For Home Loan Transfer

Home loan transfer documents must have 3 important documents along with your KYC, income & property papers, which are:

i) LOD – List Of Documents. (List of original documents submitted to the bank provided on the bank’s letterhead)

ii) Loan Outstanding Letter.

iii) 12-18months SOA (Statement Of Account) of repayment track record.

Click for home loan transfer documents required – For Salaried, For Self-Employed- Proprietorship Firm, Private Limited Company, Partnership Firm.

Home Loan Transfer Details:

  1. Home Loan Transfer Interest Rates
    Starts from 6.95% p.a.
  2. Best Home Loan Tenure:
    Home Loan Transfer Minimum Tenure – 5 years
    Home Loan transfer Maximum Tenure – 30 years
  3. Processing Fees – Upto 0.30% on the loan amount + applicable GST.To know complete list of charges – CLICK
  4. Home Loan Balance Transfer Charges Rbi Guidelines
    As per the RBI guidelines NIL Pre-closure/Foreclosure Charges are applicable on a floating interest rate home loan.
  5. Home Loan With Lowest Interest Rates In India
    Minimum home loan interest rate available is 6.95% with Canara Bank (For any loan amount), ICICI Bank (For any loan amount-builder property purchase) and HDFC Bank (For loan amount below 30lacs for women borrowers).

The Home Loan Transfer Rates Of Top Banks

Bank Home Loan Rate Of Interest Top-Up Rate Of Interest
ICICI Bank 7.10% p.a. For Salaried. 7.25% p.a. For Self-Employed. Starts from 7.10% p.a to 9.50% p.a.
Canara Bank 6.95% p.a. For Salaried & Self-Employed –
HDFC Ltd. 7.10% p.a. For Salaried & Self-Employed Starts from 7.10% p.a to 9.90% p.a.

Note: Interest rates are subject to change without prior notice.

Additional Read:Why Home Loan Interest Rates Of NBFCs Higher Than Banks

For ICICI bank home loan transfer, ICICI bank home loan balance transfer with top up, home loan transfer from ICICI Bank to HDFC, home loan transfer from HDFC to ICICI Bank, home loan transfer to HDFC Bank,home loan transfer to ICICI Bank, home loan transfer to Canara Bank visit https://www.loanfasttrack.com/. You can also email us on info@loanfasttrack.com or directly speak to our experts on 9321020476.

Home Loan Balance Transfer Offers With Loanfasttrack  

Home Loan Transfer Zero Processing Fee With ICICI Bank @ 7.10% p.a. (For Cases Above 1Crore)  

Home Loan Transfer Without Processing Fee With Canara Bank @ 6.95% p.a. (For Cases Above 75Lakhs)    

Home Loan Balance Transfer With Zero Processing Fee With HDFC Bank @ 7.10% p.a. (For Cases Above 1 Crore)

Online Process For Home Loan Transfer

Home loan transfer has now become easier with the online processing of the loan. Selected banks such as ICICI & HDFC have started home loan transfer online. All you have to do is place your request for the transfer, select the product, upload your documents alongwith the duly signed loan application form and submit for the online processing of home loan balance transfer.

For additional details on online processing feel free to call our experts on 9321020476 or alternately email Loanfasttrack on  info@loanfasttrack.com.

Loanfasttrack is the best online user friendly platform to compare and evaluate the best bank for home loan in India. Loanfasttrack is a Mumbai based loan provider company since 2015 offering loan services in Mumbai on– housing loan in Mumbai, mortgage loan in Mumbai, personal loan in Mumbai, business Loan in mumbai, unsecured business loans,home loan transfer, top-up loans, car loans and loan transfers.

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