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No Objection Certificate (NOC) In Home Loan

by admin
No Objection Certificate (NOC) In Home Loan

The term NOC letter is well known to all home loan borrowers who have availed the home loan from the lender Banks/NBFCs/HFCs. Undoubtedly, they must also be well-versed with the fact- what NOC stands for and its significance in home loan. Irrespective of the NOC certificate’s significant role in the home loan, we find very little is spoken about how, when, why and from whom to obtain the NOC for home loan. The blog therefore is written to highlight instances when the NOC needs to be obtained and

why it is important to have a No objection certificate for home loan.

Meaning Of NOC – Home Loan NOC

NOC stands for “No Objection Certificate” and is a legal document issued by the lender/borrower/concerned authority stating that they have no objection to the mentioned details in the documents. At times also referred to as “No Due Certificate”or “No Objection Letter”, obtaining the NOC for housing loan from the following is of vital importance in home loan/mortgage loan.

  1. Builder NOC for home loan OR NOC letter from society.
  2. Sibling NOC for home loan.
  3. NOC from bank for home loan closure.

All the three above are to be obtained in the prescribed bank NOC format. Each Bank/NBFC/HFC have their own prescribed NOC format for home loan.

What Is Home Loan NOC

Home loan NOC letter is used in three contexts in the mortgage industry, each of which is pivotal in the home loan mortgage industry. Lets understand each, and find what does the home loan NOC certificate means.

  1. NOC from builder for home loan & NOC from society for home loan:

At the time of home loan disbursement the ledner Bank/NBFC/HFC demands a no due certificate for home loan in order to avoid legitimacy for funding the property. The borrower has to obtain the Bank NOC letter on the letterhead of the respective authority i.e. builder, society, government housing authorities such as MHADA, CIDCO, KDMC, MMRDA , etc.

In case of builder under-construction/ ready to move properties or resale properties where the society is yet to be formed the no objection letter for bank needs to be obtained from the builder or from the respective housing authorities. (Purchasing An Under-Construction Property? Here Are The Important Loan Facts You Must Know Before Making A Purchase). In case of resale/ ready to move property purchase where the society is formed, the NOC needs to be obtained from the society.

Importance Of Home Loan NOC

The NOC contains the following important information

  • The name and the property address of the borrower.
  • Date.
  • Name and address of the lender Bank/NBFC/HFC.
  • Concerned authorities acknowledgement.
    ** Builder – builder name, sign and stamp.
    ** Society – society stamp and sign of the secretory, chairman or president.
    ** Housing authorities- stamp and sign of the authorities (MHADA, CIDCO, KDMC, MMRDA , etc.)

Everytime a borrower wishes to shift his home loan i.e. balance transfer his home loan from one lender to another, each time a fresh NOC from the society/builder needs to be submitted to the new lender Bank/NBFC/HFC. (Click to learn more on the Benefits of home loan transfer.)

(Contact Loanfasttrack for Mhada NOC for home loan.)  

The NOC is indicative of the following:

  • The saleable property is free from any encumbrances, has a clear and marketable title.
  • The builder has the necessary permissions/approvals as well as the sanctions for the construction from the competent authorities. – For builder property purchase.
  • The construction of the building as well as the property is according to the approved plans. For builder property purchase.
  • There are no pending dues, maintenance,etc. of the property owner.- For resale property purchase where society is formed.
  • The builder/society has no objection to the said owner for mortgaging the said property with the lender Bank/NBFC/HFC.

(Contact Loanfasttrack for society NOC format for HDFC home loan.)

2. SIBLING NOC

Sibling NOC is an NOC to be obtained from the brothers/sisters of the mortgage loan applicant/borrower. It is generally required in mortgage loans where the property is registered in parental name or is jointly owned with the parents while one of the children apply for a mortgage loan with the lender Bank/NBFC/HFC. Vb The sibling NOC states that the sibling-brothers/sisters has no objection towards the mortgaging of the said property with the concerned lender Bank/NBFC/HFC by their sibling applicant. Fresh NOC needs to be submitted to the lender each time the borrower switches his home loan from one lender to another. (Looking for home loan refinance? Here are the important things you must know.)

(Contact Loanfasttrack for sibling NOC format for property mortgage.)

3. Receiving NOC from bank for home loan closure

Such NOC needs to be obtained from the lender Bank/NBFC/HFC on successful repayment of the home loan to the lender. When the loan is paid off completely including the closure charges, outstanding dues or overdues the lender issues the NOC for home loan closure to the borrower indicating that the borrower does not owe more to the lender and to unmark the lien marked on the property pledged with the lender to avail the home loan. The closure NOC is of vital importance because it documents the closure of the borrower’s home loan. If the closure is not documented properly it may hamper the credit rating of the borrowers making it difficult for their future borrowings. Remember, if the borrower does not have a closure NOC, the home loan is yet not closed even though he has paid the last instalment towards the home loan. (Is your CIBIL low? Loanfasttrack’s blog will be helpful, read – How To Apply For Home Loan With Bad CIBIL Score.)

            Also read: CIBIL & its significance in home loan.

(Contact Loanfasttrack for application for NOC from Bank for home loan closure.)

Home Loan Comparison Chart Of The Top Banks

Bank Name Rate Of Interest Processing Fees Tenure
ICICI Bank 6.90% p.a. – 8.05% p.a. 0.30% of the loan amount + applicable GST Up-to 30 years
HDFC Ltd. 6.90% p.a. – 7.85% p.a. Up-to 0.50% – up-to 1.50% of the loan amount + applicable GST Up-to 30 years
Canara Bank 6.90% p.a. – 8.90% p.a. Rs.10,000/- + applicable GST Up-to 30 years
CLICK to get the complete chart

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 and loan transfers. Loanfasttrack is a direct sales associate with leading banks namely, ICICI Bank, HDFC Ltd, Canara Bank, Citi Bank, Piramal Housing Finance, etc.

Contact Loanfasttrack on: www.loanfasttrack.com or call on 9321020476 or email on info@loanfasttrack.com.

Loanfasttrack’s specialized services includes providing:

Click to know more for home loan with

ICICI Bank HDFC Ltd. Canara Bank SBI Bank
Axis Bank Bank Of India Bank Of Baroda Kotak Mahindra Bank

Additional Read:

(BOB) BANK OF BARODA HOME LOAN

by admin
Bank of Baroda home loan
Bank Of Baroda Is Rated As One Of The Top Nationalized Banks In India. Home loan Baroda Bank is available for all eligible borrowers with EMIs starting from ₹655 per lakh. Bank Of Baroda current home loan interest rate starts from 6.85% p.a. over extended loan tenures up to 30 years with processing fees starting from 0.25% of the loan amount.

Key Features Of Bank Of Baroda Housing Loan:

  • BOB is the lowest interest rate home loan provider.
  • Bank Of Baroda home loan interest rate today starts from 6.85% p.a.
  • Lowest per lac EMI starting from Rs.655/-
  • Uniform Bank Of Baroda ROI for home loan for salaried, self-employed, self-employed professionals & NRIs.
  • Longer repayment tenure for 30 years available.
  • Pre-approved home loan facility available.
  • Home loan interest in Bank Of Baroda is calculated on daily reducing balance.
  • Home loan BOB interest rate is linked to repo rate.
  • Nil prepayment charges for floating Bank Of Baroda loan interest rates.
  • Top-up loans can be applied up-to five times during the loan tenure.
  • Loan applicant can add a close relative as a co-applicant to increase his home loan eligibility (co-applicant necessarily need not be a joint owner of the property).
  • Loan applicants receive a complimentary Bank of Baroda Credit Card.
  • Loan applicants get a free Bank Of Baroda home loan insurance cover with every home loan.
  • Loan applicants also get rewarded with a concession of 0.25% on Car Loans. 
  • Loan applicants get access to high-end banking technology for easy repayment of housing loans.
  • PMAY credit linked subsidy schemes available with subsidy up-to Rs.2.67 lakhs.

Bank Of Baroda Home Loan Interest Rates 2020 Of Various Home Loan Schemes

Baroda Home Loan 6.85% p.a. – 8.20% p.a.
Baroda Home Improvement Loan 6.85% p.a. – 8.20% p.a.
Baroda Home Loan Advantage 6.85% p.a. – 8.20% p.a. For loans up-to Rs.75 Lakhs.   7.10% p.a. – 8.45% p.a. For loans above Rs.75 Lakhs.
Baroda CRE Home Loan 7.10% p.a. – 8.45% p.a.
Baroda CRE Home Loan (Advantage) 7.10% p.a. – 8.45% p.a. For loans up-to Rs.75 Lakhs.   7.35% p.a. – 8.70% p.a. For loans above Rs.75 Lakhs.
Baroda Top Up Loan 7.45% p.a. – 8.80% p.a.
Baroda Mortgage Loan 8.05% p.a. – 13.20% p.a.
Baroda Ashray (Reverse Mortgage Loan) 9.20% p.a.

Note:    (i) Housing loan interest rates Bank Of Baroda are subject to change without prior notice.

(II) Home loan rate of interest bank of baroda is linked to the Baroda Repo Linked Lending Rate (BRLLR) of the bank.

Bank Of Baroda Home Loan Details

Eligible Profile Salaried, Self-Employed Professionals, Self-Employed Non-Professionals, NRIs, OCI & PIOs, firms & companies.
Age Criteria Minimum age is 21 years (co-applicant-18 years) & the maximum age is 70 years.
Loan Amount Maximum up-to Rs.10 Crores.
Repayment Tenure Maximum up-to 30 years.
Collateral Accepted Constructed or purchased homes, (at times also) insurance policies, government promissory notes, shares and debentures, gold ornaments etc.
Who Can Be The Loan Co-Applicants Spouse, Father, Mother (including Step Mother), Son (including Step Son), Son’s wife, Daughter (Including Step Daughter), Daughter’s husband, Brother/sister (Including step brother/sister), Brother’s wife, sister (including step sister) of spouse, Sister’s husband, Brother (including step brother) of spouse. Click to get complete information on Co-Applicant in home loans.
Bank Of Baroda Types Of Loans: – Bank Of Baroda repo linked Home Loan, Bank Of Baroda Top Up Loan,  Bank Of Baroda NRI Home Loan, Bank Of Baroda Pre Approved Home Loan, Bank Of Baroda Home Renovation Loan, Bank Of Baroda Home Improvement Loan, Bank Of Baroda Home Loan Takeover, Bank Of Baroda Plot Loan/Bank Of Baroda Land Loan, Bank Of Baroda Mortgage Loan,  BOB Reverse Mortgage Loan.
BOB Per Lakh EMI Bank Of Baroda home loan EMI starts from Rs.655/- per lakh.
BOB Bank Home Loan Interest Rate Bank Of Baroda bank home loan interest rate starts from 6.85% p.a.
Bank Of Baroda Home Loan ROI Bank Of Baroda housing loan rate is linked to repo rate.
Bank Of Baroda Repo Rate Home Loan Interest Rate Package Available Floating home loan interest Bank Of Baroda.
Housing Loan Interest Rate In Bank Of Baroda Housing loan interest in Bank Of Baroda is charged on daily reducing balance.
LTV (% on the market value of the property) 90%- for loan amount up-to Rs.30 Lakhs.80% – for loan amount from Rs.30 Lakhs – Rs.75 Lakhs.75% – for loan amount above Rs. 75 Lakhs.                              
FOIR (Fixed Obligation Against Income Ratio) Maximum FOIR of up-to 80%.
Bank Of Baroda Home Loan Charges Unified Bank Of Baroda home loan processing charges i.e. inclusive of processing charge, documentation charge, document verification/vetting charge, pre-sanction inspection charge, legal & technical cost, CIBIL cost, CERSAI cost as well as ITR verification charge.
Bank Of Baroda Home Loan Processing Time Minimum 30 – 45 working days.
Bank Of Baroda Home Loan Charges Processing fees of up-to 0.50% of the home loan amount + applicable GST. (Minimum Rs.8500/- & Maximum Rs.25,000/-)   (Read to know the complete list of charges on home loans – Click)
Bank Of Baroda Home Loan Prepayment Charges Nil on floating home loan interest of Bank Of Baroda.
Bank Of Baroda Loan Schemes Baroda Home Loan, Baroda Home Loan Advantage, Baroda Pre-Approved Home Loan, Bank Of Baroda Home Improvement Loan, Baroda Top UP Loan, Baroda Home Loan Takeover Scheme, ISHUP Schemes, CRGFS Schemes,  Bank Of Baroda PMAY Schemes & Baroda Ashray Reverse Mortgage Loan.

Bank Of Baroda Home Loan Calculator

Use Loanfasttrack’s Bank Of Baroda Home Loan EMI calculator to calculate your EMI outgo. Loanfasttrack’s Bank Of Baroda EMI calculator is a hassle free simple generic calculator which gives accurate estimates of the EMI for various loan amounts for various loan tenures. It also displays the total interest payable on the home loan amount. The interest payable varies with the loan tenures. The longer the loan tenure the higher is the interest payable to the bank & vice-a-versa.

The home loan EMI depends largely on the rate of interest, loan amount & loan tenure. Simply enter these 3 variables to get the desired EMI amount.

  • The higher the loan amount the higher will be the interest paid on housing loan and therefore higher will be the EMIs & vice-a-versa.
  • The longer the tenure the less will be the EMIs. & vise-a-versa.
  • The higher the interest rate of home loan in Bank Of Baroda the higher will be the EMIs & vice-a-versa.

EMI Amortization Chart 

The amortization schedule determines the percentage of EMI outgo towards the interest component versus principal component.

An amortization chart details the periodic loan repayments consisting of the principal & the interest amount till the loan is repaid. Each monthly payment remains the same & the payment is made up of parts that vary over time. The interest deduction in the EMI will be higher than the housing loan principal deduction during the initial period of tenure followed by lower interest deduction and higher home loan principal deduction towards the end of the tenure.

Home Loan Amortization Chart For Rs.60 Lakhs Housing Loan For 20 Years

(Assuming your loan is disbursed in the month of November @ 6.85% p.a.)

Yearly Chart

Year Total EMI Principal Interest Balance
2020 91,958 23,525 68,433 59,76,475
2021 5,51,748 1,46,918 4,04,830 58,29,556
2022 5,51,748 1,57,306 3,94,442 56,72,252
2023 5,51,748 1,68,425 3,83,323 55,03,828
2024 5,51,748 1,80,329 3,71,419 53,23,497
2025 5,51,748 1,93,077 3,58,671 51,30,419
2026 5,51,748 2,06,729 3,45,019 49,23,691
2027 5,51,748 2,21,342 3,30,406 47,02,349
2028 5,51,748 2,36,990 3,14,758 44,65,361
2029 5,51,748 2,53,739 2,98,009 42,11,619
2030 5,51,748 2,71,679 2,80,069 39,39,393
2031 5,51,748 2,90,886 2,60,862 36,49,054
2032 5,51,748 3,11,447 2,40,301 33,37,606
2033 5,51,748 3,33,465 2,18,283 30,04,141
2034 5,51,748 3,57,039 1,94,709 26,47,102
2035 5,51,748 3,82,278 1,69,470 22,64,823
2036 5,51,748 4,09,302 1,42,446 18,55,521
2037 5,51,748 4,38,236 1,13,512 14,17,284
2038 5,51,748 4,69,216 82,532 9,48,067
2039 5,51,748 5,02,387 49,361 4,45,681
2040 4,59,790 4,45,679 14,111 0

Bank Of Baroda Home Loan Schemes

1) Baroda Home Loan

  • Available for purchasing a plot (Bank Of Baroda plot purchase loan), for construction of a house on plot, purchasing a resale/ready to move/under-construction property and also for improving/extending the existing property. (Click to know the difference in home loan for resale & builder case)
  • Available for all salaried, self-employed, self-employed professionals, NRIs (Read About NRI Home Loans), PIOs & OCIs from 21 years to 70 years.
  • Available for home loan transfer to Bank Of Baroda. (Get complete knowledge on home loan balance transfer-CLICK)
  • Maximum loan amount ranges from Rs.5 Crore – Rs.10 Crore.
  • Longer repayment tenure of up-to 30 years.
  • BOB home loan interest rates range from 6.85% p.a. – 8.20% p.a.
  • Bank Of Baroda home loan top up interest rate is charged on daily reducing balance.
  • Bank Of Baroda home loan top up can be availed up-to maximum of 5 times during the BOB home loan tenure.
  • Bank Of Baroda home loan processing fee
    * Up-to Rs.50 Lakhs – 0.50% of the loan amount plus applicable GST subject to minimum of Rs.8,500/- and maximum of Rs.15,000/-
    * Above Rs.50 Lakhs – 0.25% of the loan amount plus applicable GST subject to minimum of Rs.8,500/- and maximum of Rs.25,000/-
    * Flat Rs.8,500/- for home loan transfer Bank Of Baroda.
  • FOIR (Fixed Obligation Against Income Ratio)percentage:
For Salaried Loan Borrowers (Bank Of Baroda home loan eligibility based on salary) For Self-Employed Loan Borrowers
Gross Monthly Income FOIR % Latest 2 Years Average Gross Annual Income FOIR %
< Rs.20,000/- 50% Up-to Rs.6 Lakhs 70%
Rs.20,000/- to Rs. 50,000/- 60% Above Rs.6 Lakhs 80%
Rs.50,000/- to Rs.2 Lakhs 65%    
Rs.2 Lakhs to Rs.5 Lakhs 70%    
Above Rs.5 Lakhs 75%    
  • Maximum funding of up-to 90% on the value of the property.
  • Bank Of Baroda home loan eligibility:
    * For salaried residents – minimum 1 year of employment.
    * For self-employed- minimum 2 years of business vintage.
    * For NRIs/PIOs/OCI –
    (a) minimum 2 years valid job contract / work permit OR must be staying abroad for at least 2 years.
    (b) Minimum gross annual income of Rs.5 Lakhs.
    (c) Should not be the citizens of the countries- Bangladesh / Pakistan / Sri Lanka / Afghanistan / China / Iran / Nepal & Bhutan.
  • A close relative (Spouse, Father, Mother (including Step Mother), Son (including Step Son), Son’s wife ,Daughter (Including Step Daughter), Daughter’s husband, Brother/sister (Including step brother/sister), Brother’s wife, sister (including step sister) of spouse, Sister’s husband, Brother (including step brother) of spouse) can be added to the home loan application as an co-applicant in order to enhance the BOB home loan eligibility.
  • Nil prepayment charges on home loan by Bank Of Baroda.
  • Free credit card with every home loan.
  • 0.25% concessions on car loans.

Compare BOB Home Loan With ICICI Bank Home Loan, HDFC Ltd. Home Loan, Canara Bank Home Loan, SBI Home Loan, Axis Bank Home Loan & Bank Of India Home Loan.

For the latest BOB Bank Home Loan, Bank Of Baroda Home Loan Transfer interest rates & processing fees offer call on 9321020476 or login to Loanfasttrack.

2) Baroda Home Loan Advantage

  • Available for all salaried, self-employed, self-employed professionals, NRIs, PIOs & OCIs from 21 years to 70 years for purchasing a residential plot, for purchase + construction of the plot, for construction of house, for purchasing a resale/ready to move/under-construction property and also for improving/extending the existing property. (Read: Everything You Must Know Before Purchasing A Land & Availing The Land Loans)
  • Also available for Bank Of Baroda-BOB home loan transfer.
  • Key features of Baroda Home Loan
    * Sanctioned home loans are linked to the borrower’s BOB saving account (zero rate of interest on this savings account).
    * The borrowers can deposit his savings in the linked SB account to avail maximum benefit of interest in the Home Loan account.
    * BOB home loan interest is calculated on daily reducing balance i.e. on the daily outstanding balance in the borrower’s BOB savings account.
    * EMI’s are auto recovered from the linked savings account.
  • Maximum loan amount is Rs.10 Crore.
  • Longer repayment tenure of up-to 30 years.
  • Bank Of Baroda home loan rate ranges from 6.85% p.a. – 8.45% p.a.
  • Processing fees of up-to 0.50% on the home loan amount.
  • Bank Of Baroda loan eligibility:
    * For salaried residents – minimum 1 year of employment.
    * For self-employed- minimum 2 years of business vintage.
    * For NRIs/PIOs/OCI –
    (a) minimum 2 years valid job contract / work permit OR must be staying abroad for at least 2 years.
    (b) Minimum gross annual income of Rs.5 Lakhs.
    (c) Should not be the citizens of the countries- Bangladesh / Pakistan / Sri Lanka / Afghanistan / China / Iran / Nepal & Bhutan.
  • FOIR (Fixed Obligation Against Income Ratio)percentage:
For Salaried Loan Borrowers (Bank Of Baroda home loan eligibility based on salary) For Self-Employed Loan Borrowers
Gross Monthly Income FOIR % Latest 2 Years Average Gross Annual Income FOIR %
< Rs.20,000/- 50% Up-to Rs.6 Lakhs 70%
Rs.20,000/- to Rs.50,000/- 60% Above Rs.6 Lakhs 80%
Rs.50,000/- to Rs.2 Lakhs 65%    
Rs.2 Lakhs to Rs.5 Lakhs 70%    
Above Rs.5 Lakhs 75%    
  • LTV up-to 90% on the market value of the property.
  • Nil prepayment charges on BOB housing loan.

Compare Baroda Home Loan Advantage with BOI’s Star Smart Home Loan with SBI’s Maxgain Product, Axis Bank Super Saver Home Loan & ICICI Bank Home Overdraft Product.

3) Baroda Pre-Approved Home Loan

  • Available for all salaried, self-employed, self-employed professionals, NRIs, PIOs & OCIs from 21 years to 70 years.
  • Bank Of Baroda pre-approved home loan provides in-principle approval for home loan which enables the loan applicant to get home loan sanctioned even before finalizing the property.
  • In-principle approval will be valid for 4 months from the date of its issue.
  • Maximum loan amount is Rs.10 Crore.
  • Maximum LTV of up-to 90% on the market value of the property.
  • Longer repayment tenure of up-to 30 years.
  • Bank Of Baroda housing loan interest rate ranges from 6.85% p.a. – 8.70% p.a.
  • Bank Of Baroda home loan processing charges range from 0.25% – 0.50% on the loan amount plus applicable GST. Upfront applicable fees is Rs.7500/- + GST, rest to be collected after the loan is sanctioned.
  • Nil prepayment charges.

4) Bank Of Baroda Home Improvement Loan

  • Available for all salaried, self-employed, self-employed professionals, NRIs, PIOs & OCIs from 21 years to 70 years for repairs and renovation of the home, for purchase of new furniture, fittings and furnishings, etc.
  • Maximum loan amount is Rs.10 Crore.
  • BOB home loan rates range from 6.85% p.a. – 8.20% p.a.
  • Longer repayment tenures of up-to 30 years.
  • BOB home loan processing fee
    * Up-to Rs.50 Lakhs – 0.50% of the loan amount plus applicable GST subject to minimum of Rs.8,500/- and maximum of Rs.15,000/-
    * Above Rs.50 Lakhs – 0.25% of the loan amount plus applicable GST subject to minimum of Rs.8,500/- and maximum of Rs.25,000/-
  • FOIR (Fixed Obligation Against Income Ratio)percentage:
For Salaried Loan Borrowers (Bank Of Baroda home loan eligibility based on salary) For Self-Employed Loan Borrowers
Gross Monthly Income FOIR % Latest 2 Years Average Gross Annual Income FOIR %
< Rs.20,000/- 50% Up-to Rs.6 Lakhs 70%
Rs.20,000/- to Rs.50,000/- 60% Above Rs.6 Lakhs 80%
Rs.50,000/- to Rs.2 Lakhs 65%    
Rs.2 Lakhs to Rs.5 Lakhs 70%    
Above Rs.5 Lakhs 75%    
  • LTV up-to 90% on the market value of the property.
  • Bank Of Baroda housing loan eligibility:
    * For salaried residents – minimum 1 year of employment.
    * For self-employed- minimum 2 years of business vintage.
    * For NRIs/PIOs/OCI –
    (a) minimum 2 years valid job contract / work permit OR must be staying abroad for at least 2 years.
    (b) Minimum gross annual income of Rs.5 Lakhs.
    (c) Should not be the citizens of the countries- Bangladesh / Pakistan / Sri Lanka / Afghanistan / China / Iran / Nepal & Bhutan.
  • Nil foreclosure charges.

Additional Read: Difference In Applying Home Loan With Public Bank & Private Bank

5) Baroda Top UP Loan

  • BOBO top up home loan is available for all existing home loan borrowers (salaried/self-employed/NRIs/PIOs) from 21 years to 70 years to meet their personal and professional requirement of funds.
  • BOB home loan top up amount – minimum Rs.1 Lakh and Maximum Rs.2 Crores.
  • Maximum funding of 90% of the market value of the property including the existing outstanding loan amount.
  • Top-up tenure will be the outstanding tenure of the existing home loan.
  • FOIR (Fixed Obligation Against Income Ratio)percentage:
For Salaried Loan Borrowers (Bank Of Baroda home loan eligibility based on salary) For Self-Employed Loan Borrowers
Gross Monthly Income FOIR % Latest 2 Years Average Gross Annual Income FOIR %
< Rs.20,000/- 50% Up-to Rs.6 Lakhs 70%
Rs.20,000/- to Rs. 50,000/- 60% Above Rs.6 Lakhs 80%
Rs.50,000/- to Rs.2 Lakhs 65%    
Rs.2 Lakhs to Rs.5 Lakhs 70%    
Above Rs.5 Lakhs 75%    

Compare BOB Top Up Loan With BOI Star Top Up Loan & ICICI Bank home loan top up.

6) Baroda Home Loan Takeover Scheme

Learn How To Apply For Home Loan With Bad CIBIL Score – By Loanfasttrack

* For Non-Individuals i.e. Firms/Companies

=> Mandatory to have an individual applicant in the home loan application.
=> Minimum 18 months EMI must have been paid.
=> The company must have been incorporated for a minimum 5 years.
=> Minimum 2 years business vintage required.
=> The company must be profitable for the minimum last 2 years.
=> Company’s net worth must be positive.
=> Good CIBIL score of the company.

Additional Read Home Loan Transfer For NRIsFOIR (Fixed Obligation Against Income Ratio)percentage

For Salaried Loan Borrowers (Bank Of Baroda home loan eligibility based on salary) For Self-Employed Loan Borrowers
Gross Monthly Income FOIR % Latest 2 Years Average Gross Annual Income FOIR %
< Rs.20,000/- 50% Up-to Rs.6 Lakhs 70%
Rs.20,000/- to Rs.50,000/- 60% Above Rs.6 Lakhs 80%
Rs.50,000/- to Rs.2 Lakhs 65%    
Rs.2 Lakhs to Rs.5 Lakhs 70%    
Above Rs.5 Lakhs 75%    
  • LTV up-to 90% on the market value of the property.
  • Free credit card with every home loan.
  • 0.25% concessions on car loans.

Also Read: Home loan transfer requirements, Benefits of home loan transfer.

For the latest BOB HL interest rates for home loan transfer in Bank Of Baroda & processing fees offer call on 9321020476 or login to Loanfasttrack.

7) Interest Subsidy Scheme For Housing The Urban Poor (ISHUP)

  • The ISHUP scheme is applicable for the urban LIG (Low Income Group having income of up-to Rs.5,000/- pm) & EWS (Economically Weaker Sections having income up-to Rs.10,000/- pm) borrowers only from 21 years to 70 years for the purchase/construction of a house or to extend the existing house.
  • 5% interest subsidy (Net Present Value) available for a maximum principal amount of Rs.1 Lakh.
  • Maximum loan tenure of up-to 20 years.
  • Home loan eligibility:
    => For salaried – 48 X (average gross salary for last 3 months)
    => For others – (Max) 4 X (average annual income of last 2 years)
  • Maximum funding of 80% on the market value of the property.
Category Maximum Loan Amount Maximum House Area
For EWS Rs.1 Lakh 25 Sq. Meter
For LIG Rs.1.6 Lakhs 40 Sq. Meter

8) Credit Risk Guarantee Funds Scheme For Low Income Housing (CRGFS)

  • Available only for the borrowers belonging to EWS & LIG categories in the urban area.
  • The scheme provides loans to the borrowers without any collateral/security or third party guarantor according to the Credit Risk Guarantee Fund Trust established by Indian Government’s Ministry of Housing and Urban Poverty Alleviation.
  • Under this scheme the Trust will provide credit risk guarantee to lending institutions (Banks) for the home loans they provide to the EWS & LIG category borrowers for acquisition and purchase of new/resale home, home construction and improvement.

Click to find out the merits and demerits for investing in resale & builder property.

  • Maximum house area is up-to 430 sq. ft. carpet i.e. 40 sq. meter.
  • Maximum loan amount is Rs.5 Lakhs.
  • For loans up-to Rs.2 Lakhs guarantee cover provided is 90% of the loan amount & for loans from Rs.2 Lakhs-Rs.5 Lakhs guarantee cover provided is 85%.
  • Tenure for guarantee cover is maximum up-to 25 years or loan termination date whichever is earlier.

9) (PMAY) Pradhan Mantri Awas Yojana Bank Of Baroda

  • Interest subsidy on housing loans of 3% – 6.50% for all eligible borrowers (salaried/self-employed/NRI/PIO/OCI) from 21 years to 70 years having yearly income from Rs.3 Lakhs to Rs.18 Lakhs & belonging to the EWS, LIG & MIG segment for either acquiring or purchasing a new house or to upgrade an existing kuccha or semi-pucca house.
  • Maximum subsidy amount of up-to Rs.2.67 lakhs.
  • Maximum income to avail the benefits of this scheme is maximum up-to Rs.18 Lakhs p.a.
  • Maximum carpet areas of the house under PMAY Bank Of Barodascheme is up-to 200 sq meter i.e. 2153 sq. ft.
  • Maximum loan amount is Rs.10 Crores while maximum loan amount eligible for the subsidy is up-to Rs.12 Lakhs..
  • Maximum loan tenure of up-to 30 years with subsidy up-to 20 years of the loan tenure.
  • Maximum funding of 90% on the market value of the property.
  • Bank Of Baroda housing loan interest starts from 6.85% p.a.
  • Bank Of Baroda home loan eligibility criteria:
    => For salaried residents – minimum 1 year of employment.
    => For self-employed- minimum 2 years of business vintage.
    => For NRIs/PIOs/OCI –
    (a) minimum 2 years valid job contract / work permit OR must be staying abroad for at least 2 years.
    (b) Minimum gross annual income of Rs.5 Lakhs.
    (c) Should not be the citizens of the countries- Bangladesh / Pakistan / Sri Lanka / Afghanistan / China / Iran / Nepal & Bhutan.
  • FOIR (Fixed Obligation Against Income Ratio)percentage:
For Salaried Loan Borrowers (Bank Of Baroda home loan eligibility based on salary) For Self-Employed Loan Borrowers
Gross Monthly Income FOIR % Latest 2 Years Average Gross Annual Income FOIR %
< Rs.20,000/- 50% Up-to Rs.6 Lakhs 70%
Rs.20,000/- to Rs. 50,000/- 60% Above Rs.6 Lakhs 80%
Rs.50,000/- to Rs.2 Lakhs 65%    
Rs.2 Lakhs to Rs.5 Lakhs 70%    
Above Rs.5 Lakhs 75%    
  • Processing fees up-to 0.50% of the loan amount plus applicable GST.(Minimum Rs.8,500/- & Maximum Rs.25,000/-)
  • Nil prepayment charges.

10) Mortgage Loan Bank Of Baroda

  • Available for all borrowers (salaried/self-employed/NRIs) to meet their immediate personal & professional fund requirement against the mortgage of residential/ commercial property and non-agricultural plots.(Click to learn more on mortgage loans)
  • Also available in the form of overdraft facility. (CLICK to know more on mortgage overdraft loans)
  • Minimum loan amount for mortgage loan is Rs.2 Lakhs & maximum loan amount is up-to Rs.10 Crores.
  • Maximum funding of 60% on the market value of the property.
  • Maximum loan tenure of up-to 10 years.  (Check out mortgage loan balance transfer @ lowest interest rates in India)
  • FOIR (Fixed Obligation Against Income Ratio)percentage:
Gross Monthly Income (GMI) FOIR %
Up-to Rs.75,000/- 50%
Rs.75,000/- to Rs.3 Lakhs 60%
Above Rs.3 Lakhs 70%

Compare Bank Of Baroda home loan against property with ICICI Bank’s Loan Against Property.

(Check out mortgage loan balance transfer @ lowest interest rates in India)

  • Unified processing charges.
For Term Loan For Overdraft Loan
1% on the loan amount plus applicable GST Up-to Rs.3 Crores 0.35% of the limit. (Maximum Rs.7,500/-)
(Minimum Rs.7,500/- & Maximum Rs.1,50,000/-) Above Rs.3 Crore 0.25% of the limit.

Click to know the documents required for applying for a mortgage loan for salaried, self employed – Pvt. Ltd Company, Partnership firm, Proprietorship Firm, mortgage loan balance transfer for salaried.

Click to find out the lowest interest rate loan against property with Loanfasttrack.

Additional Read: Difference Between Home Loan & Mortgage Loan

For the latest Bank Of Baroda LAP interest rate call on 9321020476 or login to Loanfasttrack.

11) Baroda Ashray Reverse Mortgage Loan

  • Ashray reverse mortgage loan is a mortgage loan for senior citizens of India above 60 years (spouse 55 years in case of joint loans) to meet their post retirement expenses, day-to-day expenses, medical expenses, etc. against the mortgage of their self-occupied and self-owned residential property (commercial property not allowed).
  • Maximum tenure is 15 years. (The tenure may further be extended till survival of the borrower subject to advance value of the property.)
  • Maximum loan amount inclusive of interest is up-to Rs.1 Crore (subject to value of the property).
  • Property insurance needs to be taken by the borrower regularly.
  • Reverse mortgage interest rate applicable is 9.20% p.a.
  • Processing fees 0.20% of the loan amount, maximum of Rs.10,000/-
  • Processing charges are waived 100% on all Bank of Baroda’s home loans and top-up loans.

Click to get complete information on reverse mortgage.

Bank Of Baroda Home Loan Tax Benefits 

Income tax benefit on home loan is available on both interest paid as well as on the principal amount repaid by the borrower.

Exemption on home loan, as per the Indian Income Tax Act, 1961:

  • The principal repaid can be claimed for home loan tax deduction under section 80C of the Income Tax Act up-to Rs.1.5 Lakhs p.a.
  • Interest on housing loan deduction –
    => The interest paid can be claimed for income tax exemption on home loan as deduction under section 24 of Income Tax Act up-to Rs.2 Lakhs p.a. for the property ready to move/self-owned by the borrower.
    => Home loan interest exemption of Rs.30,000 if construction is not completed within five years.
    => For home loans up-to Rs.35 Lakhs & cost of the properties up-to Rs.50 Lakhs, an additional housing loan tax exemption on interest of up-to Rs.50,000 is applicable on the interest paid for first time home buyers.
    => Housing loan interest exemption for rented properties-

Entire interest amount can be claimed in a year for the property which is rented out by the borrower subject to the maximum exemption limit of Rs.2 Lakhs for the interest paid.

Bank Of Baroda Home Loan Documents List

SR. No. Documents Required For Salaried For Self-Employed
1 KYC Pan CardAadhar CardLatest Passport size photographOffice proof Residence Proof Pan CardAadhar CardLatest Passport size photographOffice proof Residence Proof
2 Income Documents 4 months Salary Slips6 months Bank Account Statement2 years From 16 3 years ITR with Saral Copy, Balance Sheet, P&L Account, Capital Account – CA certified12 months bank account statements of all bank accounts savings + current account
3 Property Documents Prior Chain of AgreementOC/CC + approved plansIndex 2Share CertificateSociety Registration CopyProperty Tax Receipt Prior Chain of AgreementOC/CC + approved plansIndex 2Share CertificateSociety Registration CopyProperty Tax Receipt
4 Additional Documents for home loan transfer LOD Outstanding Balance Letter18 months repayment track record LOD Outstanding Balance Letter18 months repayment track record
5 Other Documents Duly signed Bank Of Baroda home loan application formProcessing fees cheque Duly signed BOB home loan application form Processing fees cheque                     
6 For NRI Home Loan Please refer to the link – “https://www.loanfasttrack.com/blog/blog/finance/nri-list-of-documents-for-applying-home-loan/”.
7 Refer to the links for a detailed Bank Of Baroda home loan checklist. Documents required for resale case   Documents required for resale case:  Proprietorship firmPrivate Ltd. CompanyPartnership Firm
    Documents required for builder case Documents required for builder case: Proprietorship firmPrivate Ltd. CompanyPartnership Firm
    Documents required for home loan balance transfer Documents required for home loan balance transfer for: Proprietorship FirmPrivate Limited CompanyPartnership Firm

Click to know housing loan interest rates of different banks and to know which bank has the lowest home loan interest rate.

Similar Banks Offering Home Loans

ICICI Bank HDFC Ltd. Canara Bank SBI Bank Axis Bank Bank Of India
Click For The Latest Bank Of Baroda Home Loan Offers

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. Loanfasttrack is a direct sales associate with leading banks namely, ICICI Bank, HDFC Ltd, Canara Bank, Citi Bank, Piramal Housing Finance, etc.

Visit www.loanfasttrack.com.

Seek expert advice on 9321020476.

You can also email on info@loanfasttrack.com.

Loanfasttrack’s specialized services includes providing:

Additional Read:

BANK OF INDIA (BOI) HOME LOAN

by admin
BOI Home Loan
Bank Of India offers home loans to eligible borrowers with EMIs starting from ₹655 per lac. Interest rates start from 6.85% p.a. overextended loan tenures up to 30 years with processing fees starting from 0.25% of the loan amount.

Key Features Of Bank Of India Housing Loan:

  • BOI is the lowest interest rate home loan provider.
  • BOI home loan interest rates 2020 starts from 6.85% p.a.
  • Lowest per lac EMI of Rs.655/-
  • Longer repayment tenure available for 30 years.
  • BOI housing loan interest is calculated on daily reducing balance.
  • Discounted interest rates for women borrowers.
  • BOI bank home loans are also available for NRIs.
  • No administrative charges.
  • Nil prepayment charges for floating interest rates.
  • Free personal accident insurance cover.
  • PMAY credit linked subsidy schemes available with subsidy upto Rs.2.67 lakhs.

Current Home Loan Interest Rates BOI 2020 Chart  

CIBIL Score Salaried Borrowers Self-Employed Borrowers
  Womens Others Womens Others
760 & Above 6.85% p.a. 6.85% p.a. 6.85% p.a. 6.85% p.a.
Between 725 – 759 7.% p.a. 7.05% p.a. 7.10% p.a. 7.15% p.a.
Between 675 – 724 7.10% p.a. 7.15% p.a. 7.70% p.a. 7.75% p.a.
For CIBIL Score of -1 & 0 7.% p.a. 7.05% p.a. 7.10% p.a. 7.15% p.a.

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

(ii) Interest rates applicable only for Star Home Loan/Star Smart Home Loan/Star Diamond Home Loan

(iii) Interest rates are based on CIBIL scores of the borrowers.

(iii) 0.50% additional BOI housing loan interest rates for CRE-RH home loans i.e. for borrowers who own multiple properties i.e. 2 or more.

Click to understand the significance of CIBIL in home loan & to know how your home loan inquiry can impact your CIBIL score.

BOI Bank Home Loan Interest Rates For Various Home Loan Schemes

BOI Star Home Loan 6.85% p.a. – 7.75% p.a.
BOI Star Smart Home Loan 6.85% p.a. – 7.75% p.a.
BOI Star Diamond Home Loan 6.85% p.a. – 7.75% p.a.
BOI Star Top Up Loan 7.35% p.a – 8.25% p.a. 
BOI Star Pravasi Home Loan 6.90% p.a. – 6.95% p.a.
BOI Earnest Money Deposit (EMD) Scheme 6.85% p.a. – 11.85% p.a.
Pradhan Mantri Awas Yojana (PMAY) 6.85% p.a.
BOI Star Loan Against Property 8.85% p.a. – 9.35% p.a.

BOI Home Loan Details

Eligible Profile Salaried, Self-Employed Professionals, Self-Employed Non-Professionals, Corporates (Proprietorship Firm, Partnership Firm, Private Ltd. Company), NRIs, PIOs & HUFs.
Age Criteria Minimum 21 years & maximum 70 years.
Loan Amount Maximum up-to Rs.5 Crores.
Repayment Tenure Maximum up-to 30 years.
Loan Funding Maximum up-to 85%* of the market value of the property.
Types Of BOI Home Loan BOI Plot Loan, BOI Home Improvement Loan, BOI Plot Plus Construction Loan, BOI Home Loan, BOI Home Loan Balance Transfer, BOI Top Up Loan, BOI Home Repairs & Renovation Loan, BOI Loan Against Property.
BOI Home Loan Interest Rates Starts from 6.85% p.a. (Discounted interest rates for womens)
BOI Per Lac EMI Starts from Rs.655/- (Rs.655/- is the per lakh EMI calculated @ of 6.85% p.a. for 30 years)
Rate Package Available Floating & Fixed interest rate.
BOI Home Loan Processing Fees For individuals 0.25% of the loan amount + applicable GST (Minimum Rs.1,500/- & Maximum Rs.20,000/-)   For Partnership Firms & Corporates – 0.50% of the loan amount + applicable GST (Minimum Rs.3,000/- & Maximum Rs.40,000/-)   (Read to know the complete list of charges on home loans- CLICK)
Prepayment Charges Floating interest rates – Nil. Fixed interest rates- 0.65% – 2.25% of the outstanding balance.
BOI Home Loan Schemes Available BOI Star Home Loan, BOI Star Smart Home Loan, BOI Star Diamond Home Loan, BOI Star Pravasi Home Loan, BOI Earnest Money Deposit (EMD) Scheme, Pradhan Mantri Awas Yojana (PMAY), BOI Star Loan Against Property.

BOI Home Loan Calculator

Use Loanfasttrack’s BOI Home Loan EMI calculator to calculate your EMI outgo.It  is a hassle free simple generic calculator which gives you accurate estimates of the EMI for various loan amounts as well as the loan tenures. The calculator also displays the total interest payable for the said home loan tenure.

Simply enter 3 variables to get the desired EMI amount i.e. the loan amount, home loan rate of interest & loan tenure.

EMI Amortization Chart

An amortization chart provides details on periodic loan repayments compromising the principal & the interest amount until the loan is repaid. While each monthly payment remains the same, the payment is made up of parts that vary over time. The amortization schedule determines the percentage of EMI outgo towards the interest component versus principal component.

Home Loan Amortization Chart For Rs.30 Lakhs Housing Loan For 20 Years

(Assuming your loan is disbursed in the month of October @ 6.85% p.a.)

Yearly Chart

Year Total EMI Principal Interest Balance
2020 68,970 17,695 51,275 29,82,306
2021 2,75,880 73,879 2,02,001 29,08,427
2022 2,75,880 79,099 1,96,781 28,29,326
2023 2,75,880 84,692 1,91,188 27,44,633
2024 2,75,880 90,678 1,85,202 26,53,953
2025 2,75,880 97,091 1,78,789 25,56,863
2026 2,75,880 1,03,954 1,71,926 24,52,909
2027 2,75,880 1,11,303 1,64,577 23,41,606
2028 2,75,880 1,19,172 1,56,708 22,22,436
2029 2,75,880 1,27,595 1,48,285 20,94,840
2030 2,75,880 1,36,617 1,39,263 19,58,225
2031 2,75,880 1,46,273 1,29,607 18,11,952
2032 2,75,880 1,56,613 1,19,267 16,55,339
2033 2,75,880 1,67,683 1,08,197 14,87,655
2034 2,75,880 1,79,538 96,342 13,08,117
2035 2,75,880 1,92,230 83,650 11,15,886
2036 2,75,880 2,05,820 70,060 9,10,067
2037 2,75,880 2,20,368 55,512 6,89,698
2038 2,75,880 2,35,949 39,931 4,53,750
2039 2,75,880 2,52,627 23,253 2,01,123
2040 2,06,910 2,01,123 5,787 0

BOI Home Loan Schemes

1) BOI Bank Home Loan

  • Maximum loan amount of Rs.5 Crores.
  • Additional 15% of the home loan amount maximum up-to Rs.5 Lakhs can be availed for furnishing the house which will be available at the same BOI home loan rate with the maximum repayment tenure of 10 years.
  • Loans for the installation of the solar PVs are also available at the BOI housing loan rate of interest.
  • LTV funding:
    * 80% on the agreement value/ cost of the property (excluding stamp duty, registration and other documentation charges) for loan amount below Rs.75 Lakhs.
    * 75% on the agreement value/ cost of the property (excluding stamp duty, registration and other documentation charges) for loan amount above Rs.75 Lakhs.
  • BOI home loan eligibility will be calculated as lower of the two.
For Salaried Home Borrowers 72 times of gross monthly salary or 6 times of gross annual income based on IT returns.
For Self-Employed Home Borrowers 6 times of Gross annual income based on IT returns.
For HUF/Proprietorship /Partnership Firm/ Pvt. Ltd. Company 6 times of cash accruals (Profit after tax + depreciation) as per Balance Sheet/P&L Account.

or

  For Salaried Home Borrowers Net Take Home Pay (NTH):-
Gross Monthly Income   Up-to Rs.1 Lakh Rs.1 Lakh – Rs.5 LakhAbove Rs.5 Lakhs  NTH     40%   30%   25% FOIR (Fixed Obligation Against Income Ratio)   60% 70%   75%
For Self-Employed Home Borrowers
For HUF/Proprietorship /Partnership Firm/ Pvt. Ltd. Company Minimum 1.5 DSCR (Debt-service Coverage Ratio).
  • For the borrowers purchasing the 2nd house, notional rental income from the property can be considered for higher home loan eligibility.
  • BOI star home loan interest rates range from 6.85% p.a. To 7.75% p.a.
  • Home loan interest rate in BOI is charged on daily reducing balance.
  • BOI home loan processing fee
    – For salaried/self-employed proprietor/ self-employed professional – 0.25% of the loan amount plus applicable GST subject to minimum of Rs.1,500/- and maximum of Rs.20,000/-
    – For Partnership Firm & Pvt. Ltd. Comp – 0.50% of the loan amount plus applicable GST subject to minimum of Rs.3,000/- and maximum of Rs.40,000/-
  • Nil prepayment charges on floating BOI house loan interest rate.
  • Step-up & Step-down EMI facility available.
  • Free personal accident insurance cover.

Compare BOI Home Loan With ICICI Bank Home Loan, HDFC Ltd. Home Loan, Canara Bank Home Loan, SBI Home Loan & Axis Bank Home Loan.

For the latest BOI Home Loan, Home Loan Transfer interest rates & processing fees offer call on 9321020476 or login to Loanfasttrack.

2) BOI Star Smart Home Loan

  • It is an overdraft home loan scheme of BOI which provides interest relief without compromising the liquidity.
  • Eligible profiles from 21 years to 70 year:|
    – BOI’s existing saving account customers or current deposit customers who have maintained an average balance of Rs.5000/- for the last 1 year.
    – BOI’s new customer who opens a saving account or current deposit account with them with an opening balance of Rs.5000/-
    – Salaried customers having salary accounts with BOI.
    – Self-employed & self-employed professional with uninterrupted flow of income.
  • Minimum loan amount is Rs.5 Lakhs for salaried & for others is Rs.10 Lakhs.
  • Maximum loan amount:
    – For construction/purchase of home – Rs.5 Crores.
    – For repairs, renovation & extension of home – Rs.50 Lakhs.
    – For plot purchase – Rs.3 Crores. (Read: Everything You Must Know Before Purchasing A Land & Availing The Land Loans)
    – For home furnishing – Rs.5 Lakhs.
  • Longer repayment tenures up-to 30 years.
  • BOI rate of interest home loan for Star smart overdraft scheme range from 6.85% p.a – 7.75% p.a.
  • Interest is charged on daily reducing balance.
  • Processing fees 0.25% of the loan amount + applicable GST (Min Rs.1,500/- & Maxi Rs.20,000/-) – for individuals &

0.50% of the loan amount + applicable GST (Min Rs.3,000/- & Max Rs.40,000/-) – for Partnership Firms & Corporates.

  • The surplus amount in savings/current deposit account automatically gets transferred to the home loan account thus reducing the interest burden.
  • Drawing limit and sanction limit is simultaneously reduced on every repayment of EMI.
  • Provides cheque book, debit card, mobile banking and online banking facility to the borrowers who wish to manage their saving’s account while dealing with the home loan.
  • Loan funding of 80%.
  • Nil prepayment charges on floating interest rate home loan.

Compare BOI’s Star Smart Home Loan with SBI’s Maxgain Product, Axis Bank Super Saver Home Loan & ICICI Bank Home Overdraft Product.

3) BOI Star Diamond Home Loan

  • Available for all high net worth salaried, self-employed, self-employed professionals, firms/ corporates for residential accommodation of their partners/directors from 21 years to 70 years, only for cities of Mumbai, Pune, Ahmedabad, Delhi, Chennai, Kolkata, Bangalore, & Hyderabad.
  • High net worth = individuals & firms/corporates with average minimum gross income of Rs.1 Crore and above as per the audited balance sheets for the last 3 years.
  • Maximum loan amount available is Rs.5 Crores.
  • Funding of 75% on the cost of the property / agreement value.
  • Minimum income for individuals is 25% of the gross income & minimum 1.5 DSCR (Debt-service Coverage Ratio) for firms/ corporates.
  • Maximum loan tenure of up-to 30 years.
  • Interest rates range from 6.85% p.a. – 7.75% p.a.
  • Interest is charged on daily reducing balance.
  • Step-up & Step-down EMI facility available.
  • One-time processing fees of Rs.50,000/- plus applicable GST.
  • Nil prepayment charges on floating interest rate home loan.

4) BOI Star Top Up Loan

  • Available only for existing loan borrowers (salaried, self-employed and self-employed professional) from 21 years to 70 years with good repayment track records of minimum 24 months.
  • BOI loan top up amount can be used for any business or personal purposes except the speculative purposes.
  • Minimum loan amount is Rs.2 Lakhs and maximum loan amount should not exceed 75% of the market value of the property inclusive of the existing outstanding home loan amount.
  • Repayment tenure of maximum 12 years for BOI top up loan on home loan.
  • Top up loan BOI interest rates range from 7.35% p.a. – 8.25% p.a.
  • Processing fees 0.25% of the loan amount + applicable GST (Min Rs.1,500/- & Maxi Rs.20,000/-) – for individuals & 0.50% of the loan amount + applicable GST (Min Rs.3,000/- & Max Rs.40,000/-) – for Partnership Firms & Corporates.

Compare BOI Star Top Up Loan with ICICI Bank home loan top up.

5) BOI Star Pravasi Home Loan

  • Minimum loan amount is Rs.1 Lakh & maximum loan amount is Rs.5 Crores.
  • Longer repayment tenure of up-to 30 years.
  • Interest rate of home loan for women borrowers is 6.90% p.a. and for others is 6.95% p.a.
  • Interest is charged on daily reducing balance.
  • Processing fees 0.25% of the loan amount (Min Rs.1,500/- & Maxi Rs.20,000/-) & 0.50% of the loan amount (Min Rs.3,000/- & Max Rs.40,000/-) + applicable GST.
  • Home loan eligibility:
For Salaried Home Borrowers 72 times of gross monthly salary or 6 times of gross annual income based on IT returns.
For Self-Employed Home Borrowers 6 times of Gross annual income based on IT returns.
For HUF/Proprietorship /Partnership Firm/ Pvt. Ltd. Company 6 times of cash accruals (Profit after tax + depreciation) as per Balance Sheet/P&L Account.
  • Net take home pay (NTH)/ DSCR:
  For Salaried Home Borrowers Net Take Home Pay (NTH): –
Gross Monthly Income   Up-to Rs.1 Lakh Rs.1 Lakh – Rs.5 LakhAbove Rs.5 Lakhs  NTH     40%   30%   25% FOIR (Fixed Obligation Against Income Ratio)   60% 70%   75%
For Self-Employed Home Borrowers
For HUF/Proprietorship /Partnership Firm/ Pvt. Ltd. Company Minimum 1.5 DSCR (Debt-service Coverage Ratio).
  • Nil prepayment charges on floating BOI house loan interest rate.
  • Step-up & Step-down EMI facility available.
  • Free personal accident insurance cover for loan up-to Rs.5 Crores.

Click to get the complete list of documents required for NRI Home Loans.

6) BOI (EMD) Earnest Money Deposit Scheme

  • EMD are short term loans available for all eligible borrowers with a minimum age of 21 years to finance them to pay the booking amount for the residences/plots sold by the urban development authorities, housing boards and other government entities.
  • Maximum loan amount is Rs.10 Lakhs.
  • Loan Eligibility:
    – For Salaried – Gross salary p.m. X 12 times.
    – For others – Last year annual income as shown in the ITR.
  • Maximum funding of 90% available.
  • Interest rates applicable are 6.85% p.a. for loans below 1 year and for loans above 1 year 11.85% p.a.
  • Processing fees of Rs.500/- (one time) per application.
  • No prepayment charges.

Click to find out the merits and demerits for investing in resale & builder property.

7) Pradhan Mantri Awas Yojana (PMAY)

  • Interest subsidy on housing loans of 3% – 6.50% for all eligible borrowers (salaried/self-employed/NRI) from 21 years to 70 years having yearly income from Rs.3 Lakhs to Rs.18 Lakhs & belonging to the EWS, LIG & MIG segment for the purchase / construction of their first house.
  • Maximum subsidy amount of up-to Rs.2.67 lakhs provided for the borrower who does not own any pucca house in his name.
  • Maximum carpet areas of the house under PMAY scheme is up-to 110 sq meter i.e. 1184 sq.ft.
  • Maximum income to avail the benefits of this scheme is maximum up-to Rs.18 Lakhs p.a.
  • Longer repayment tenure up-to 30 years with subsidy up-to 20 years of the loan tenure.
  • Interest rate applicable for all is 6.85% p.a.
  • Maximum loan amount eligible for the subsidy is up-to Rs.12 Lakhs.
  • Processing fees – nil up-to maximum loan amount eligible for subsidy and above standard processing fees charges will be applicable which are- 0.25% of the loan amount (Min Rs.1,500/- & Maxi Rs.20,000/-) & 0.50% of the loan amount (Min Rs.3,000/- & Max Rs.40,000/-) + applicable GST.
  • Nil prepayment charges.

8) BOI Star Loan Against Property (BOI Mortgage Loan)

  • Processing fees – maximum up-to Rs.20,000/- plus applicable GST.

Compare BOI Star Loan Against Property with ICICI Bank’s Loan Against Property.

  • Processing fees for overdraft mortgage loan:
For Loan Repayment By Instalment For Mortgage OD (Reducible) For Mortgage OD (Non-Reducible)
1% of the loan amount + applicable GST For 1st Year: 0.5% of the loan amount + applicable GST 0.50% of the sanctioned amount /reviewed limit + applicable GST  
(Minimum Rs.5,000/- & Maximum Rs.50,000/-) (Minimum Rs.5,000/- & Maximum Rs.30,000/-) (Minimum Rs.5,000/- & Maximum Rs.30,000/-on annual basis)  
  For Subsequent Years: 0.25% of the reviewed limit + applicable GST  
  (Minimum Rs.2,500/- & Maximum Rs.15,000/-)  

Click to know the documents required for applying for a mortgage loan for salaried, self employed – Pvt. Ltd Company, Partnership firm, Proprietorship Firm, mortgage loan balance transfer for salaried.

Click to find out the lowest interest rate loan against property with Loanfasttrack.

For the latest BOI Mortgage Loan interest rate call on 9321020476 or login to Loanfasttrack.

BOI Home Loan Income Tax Benefits

Income tax benefits are available on both- interest paid as well as on the principal amount repaid by the borrower.

As per the Indian Income Tax Act, 1961:

  • The principal repaid can be claimed for tax deduction under section 80C of the Income Tax Act up-to Rs.1.5 Lakhs p.a.
  • The interest paid can be claimed for tax deduction under section 24 of the Income Tax Act up-to Rs.2 Lakhs p.a. for the property self-owned by the borrower.
  • Entire interest amount can be claimed in a year for the property which is rented out by the borrower.

BOI Home Loan Documents Required

1) KYC – Pan Card, Aadhar Card, Latest Passport size photograph, Office proof & Residence Proof.

2) Income Documents

  1. Documents required for home loan for salaried person – 4 months Salary Slips, 6 months Bank Account Statement, 2 years Form 16.
  2. Documents required for home loan for self-employed – 3 years ITR with Saral Copy, Balance Sheet, P&L Account, Capital Account – CA certified, 12 months bank account statements of all bank accounts savings + current account.

3) Property documents

  1. Prior Chain of Agreement
  2. OC/CC + approved plans
  3. Index 2
  4. Share Certificate
  5. Society Registration Copy
  6. Property Tax Receipt.

4) Additional documents required for home loan transfer

  1. LOD
  2. Outstanding Balance Letter
  3. 18 months repayment track record.

5) Other documents

  1. Duly signed BOI home loan application form.
  2. Processing fees cheque.

6) Click for documents required for NRI home loan

7) Please refer to the links for detailed documents for BOI home loan apply.

a) Home loan documents required Resale Case for salaried, for self-employed for Proprietorship firm, Private Ltd. Company, Partnership Firm. 
b) Documents required for home loan from builder for salaried, for self-employed Proprietorship firm, Private Ltd. Company, Partnership Firm.  
c) Housing loan documents required for home loan balance transfer for salaried, self-employed – Proprietorship Firm, Private Limited Company, Partnership Firm.

Click to know housing loan interest rates of different banks and to know which bank has the lowest home loan interest rate.

Similar Banks Offering Home Loans

ICICI Bank HDFC Ltd. Canara Bank SBI Bank Axis Bank
Zero Processing Fees For Home Loan Balance Transfer. Click To Avail The Offer.

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. Loanfasttrack is a direct sales associate with leading banks namely, ICICI Bank, HDFC Ltd, Canara Bank, Citi Bank, Piramal Housing Finance, etc.

Visit www.loanfasttrack.com.

Seek expert advice on 9321020476.

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Axis Bank Home Loan

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Axis Bank Home Loan
Customized Axis home loan available to meet the various needs of the loan borrowers be it Salaried, Self-Employed or Corporate Entities at competitive home loan interest rates in Axis Bank starting from 7.75% p.a. & flat 12% p.a. in floating and fixed interest rates respectively for home loan starting from Rs.3 Lakhs.

Key Benefits & Features Of Axis Bank Housing Loan

(Axis Bank Home Loan Information)

  • Axis housing loans available for the purchase, construction, repairs, improvements & renovations of the house.
  • Axis Bank repo rate linked home loan starts from Rs.3 Lakhs.
  • Longer repayment tenures up-to 30 years.
  • Fixed and floating housing loan interest rate in Axis Bank.
  • Axis Bank home loan rate starts from 7.75% p.a. for floating interest rates.
  • Axis home loan interest rate of flat 12% p.a. on any loan amount for fixed interest rate home loans.
  • Axis NRI home loan product available for NRIs.
  • Nil Axis Bank foreclosure charges for floating interest rate home loans.
  • 12 months EMI waiver to the borrowers.
  • Home loan available in the form of overdraft.
  • PMAY credit linked subsidy schemes available with subsidy up-to Rs.2.67 lakhs.

Axis Bank Home Loan Interest Rates 2020

Axis Bank Loan Schemes Interest Rates for Salaried Interest Rates Self-Employed Fixed Interest Rates (Salaried & Self-Employed)
Axis Home Loan 7.75% p.a. – 8.40% p.a. 7.95% p.a. – 8.55% p.a. 12% p.a.
Axis Asha Home Loan 10.05% p.a. – 11% p.a. 10.30% p.a. – 11.50% p.a. 12% p.a.
Axis Bank Quikpay Home Loan 7.75% p.a. – 8.40% p.a. 7.95% p.a. – 8.55% p.a. –
Axis Shubharambh Home Loan 7.75% p.a. – 8.40% p.a. 7.95% p.a. – 8.55% p.a.  –
Axis Bank Fast Forward Home Loan 7.75% p.a. – 8.40% p.a. 7.95% p.a. – 8.55% p.a. –
Axis Bank Home Loan Top Up 8.65% p.a. onwards 8.90% p.a. onwards 12% p.a.
Axis Super Saver Home Loan 7.75% p.a. onwards 7.95% p.a. onwards –
Axis Bank Power Home Loan 8% p.a. onwards 8.50% p.a. onwards 8.40% p.a.

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

Axis Bank Home Loan Details

Axis Bank home loans are available for constructions of property, purchase of resale or ready to move/ under-construction property, Axis top up loan on existing loans and redevelopment, Axis bank home loan balance transfer, etc.


Axis Bank Home Loan Criteria

Eligible Profile Salaried, Self-Employed Professionals, Self-Employed Non-Professionals, NRIs, PIOs, Corporate Entities
Age Criteria Minimum 21 years and Maximum 65 years.
Loan Amount Starts from minimum of Rs.3 Lakhs.
Home Loan Tenure Axis Bank home loan maximum tenure is up-to 30 years.
Minimum Income For Home Loan Minimum salary for home loan is Rs.12,000/- p.m.
Rate Packages Available Floating & Fixed rate AXIS Bank housing loan rate.
Axis Bank Current Home Loan Interest Rate Axis Bank housing loan interest rates start from 7.75% p.a. 7.75% p.a. – 11.50% p.a. – Axis Bank home loan floating interest rate12% p.a. – Axis Bank home loan fixed interest rate
Interest Rates Linked To Repo Rate
Axis Bank Home Loan Types Types of home loan in Axis Bank: – Home Renovation Loan Axis Bank, Home Improvement Loan Axis Bank, Pre Approved Home Loan, Axis Bank Home Construction Loan/Axis Bank Construction Loan, Axis Bank Plot Loan, Axis Bank Overdraft Home Loan, Axis Bank Home Loan For Women, Axis Bank Home Loan Take Over, Axis Bank Top Up Loan, Axis Bank NRI Home Loan, Axis Bank Loan Against Property.
Axis Bank Home Loan Charges Axis Bank Home Loan Processing Fee of Up-to 1% of the loan amount subject to minimum of Rs. 10,000/-Stamp duty charges – 0.20% of the loan amount. (Read to know the complete list of charges on home loans- CLICK)
Axis Bank Home Loan Foreclosure Charges   Nil – Floating interest rate home loan.Up-to 2% on the outstanding loan amount – Fixed interest rate home loan.
LTV Up-to 90% of the property market value.
Axis Bank Home Loan Eligibility Depends on the borrower’s age, income, profile, CIBIL score, co-borrower’s details and property details.
Minimum CIBIL Score For Home Loan In Axis Bank   750 and above. (Understand the significance of CIBIL in home loan)

For the latest Axis Bank Home Loan Offers call on 9321020476.

Axis Bank Home Loan Processing Charges Schedule List 

Particulars Applicable Charges
Axis Home Loan Processing Fee Up to 1% of the loan amount subject to minimum of Rs 10,000/-
Prepayment Charges Nil – Floating interest rate. 2% of the amount prepaid – Fixed interest rate.
CERSAI Charge Rs 50/- for loans up-to Rs.5 Lakhs. Rs 100/- for loans above Rs.5 Lakhs.
Valuation fee in Construction Linked Loan cases Nil – Within 60 km. Rs. 500 (for first visit) and Rs. 750 (for subsequent visits) – Beyond 60 km.
Penal Interest Rate 24% per annum (2% per month)
Switching Fees Floating to Fixed Rate -1% on the outstanding principal with a minimum of Rs.10,000/- (Not Applicable on Shubh Aarambh, Fast Forward and Empower Home Loan variants) Higher Floating to lower Floating Rate – 0.5% on outstanding principal with minimum of Rs.10,000/- for Shubh Aarambh and Fast Forward Home Loans.Higher Fixed to Lower Fixed Rate – 0.5% on outstanding principal with minimum of Rs. 10,000/-. (Not applicable on Fast Forward Home Loan & Shubh Aarambh Home Loans) Fixed to Floating Rate – 2% on the outstanding principal (Not applicable under Fast Forward Home Loan & Shubh Aarambh Home Loans)
Equitable Mortgage Creation Charge As applicable in the state.
Other Charges                           
Cheque Bounce Charges Rs.500/- per instance.
Cheque/Instrument Swap Charges Rs.500/- per instance.
Duplicate NOC Rs.500/- per instance.
Duplicate Statement Issuance Charges Rs.250/- per instance.
Duplicate Amortization Schedule Issuance Charge Rs.250/- per instance.
Duplicate Interest Certificate (Provisional/Actual) Issuance Charge Rs.250/- per instance.
For Issuing Title Documents Rs.250/- per document set.
Documents copies Rs.250/- per document set.
GST will be applicable on all the charges and fees (wherever GST is applicable).

Axis Bank Home Loan Calculator

Loanfasttrack’s Axis Bank Home Loan EMI calculator is a hassle free simple generic calculator. It gives you an accurate estimate of the EMI for various tenures and loan amounts. You can calculate your monthly EMI outgo easily with the help of Loanfasttrack’s housing loan EMI calculator by entering only 3 simple variables i.e. the loan amount, interest rates and loan tenure. The calculator also shows you the total interest payable for the said home loan tenure.

Axis Bank Home Loan Eligibility Calculator For Different Loan Amount And Tenure @ Axis Bank HL Rate (Floating Interest Rate) Of 7.75% p.a.

Loan Amount EMI For 10 Years EMI For 15 Years EMI For 20 Years EMI For 25 Years EMI For 30 Years
Rs.25 Lakhs Rs.30,003/- Rs.23,532/- Rs.20,524/- Rs.18,883/- Rs.17,910/-
Rs.30 Lakhs Rs.36,003/- Rs.28,238/- Rs.24,628/- Rs.22,660/- Rs.21,492/-
Rs.50 Lakhs Rs.60,005/- Rs.47,064/- Rs.41,047/- Rs.37,766/- Rs.35,821/-
Rs.75Lakhs Rs.90,008/- Rs.70,596/- Rs.61,571/- Rs.56,650/- Rs.53,731/-
Rs.1 Crore Rs.1,20,011/- Rs.94,128/- Rs.82,095/- Rs.75,533/- Rs.71,641/-

Axis Bank Home Loan Interest Rate Calculator For EMI Calculation @ 7.75% P.A. Interest Rate For Rs.50 Lakhs Housing Loan.

Loan Tenure EMI For 50 Lakhs Total Interest Total Amount Payable (Principal + Interest)
10 Years Rs.60,005/- Rs.22,00,638/- Rs.72,00,638/-
15 Years Rs.47,064/- Rs.34,71,482/- Rs.84,71,482/-
20 Years Rs.41,047/- Rs.48,51,383/- Rs.98,51383/-
25 Years Rs.37,766/- Rs.63,29,931/- Rs.1,13,29,931/-
30 Years Rs.35,821/- Rs.78,95,420/- Rs.1,28,95,420/-

Home Loan Amortization Chart For Rs.50 Lakhs Housing Loan For 20 Years

(Assuming your loan is disbursed in the month of October @ 7.75% p.a.)

Yearly Chart

Year Total EMI Principal Interest Balance
2020 1,23,141 26,437 96,704 49,73,563
2021 4,92,564 1,11,007 3,81,557 48,62,557
2022 4,92,564 1,19,921 3,72,643 47,42,635
2023 4,92,564 1,29,552 3,63,012 46,13,083
2024 4,92,564 1,39,956 3,52,608 44,73,126
2025 4,92,564 1,51,198 3,41,366 43,21,928
2026 4,92,564 1,63,340 3,29,224 41,58,587
2027 4,92,564 1,76,460 3,16,104 39,82,128
2028 4,92,564 1,90,631 3,01,933 37,91,497
2029 4,92,564 2,05,943 2,86,621 35,85,555
2030 4,92,564 2,22,481 2,70,083 33,63,074
2031 4,92,564 2,40,349 2,52,215 31,22,725
2032 4,92,564 2,59,651 2,32,913 28,63,073
2033 4,92,564 2,80,506 2,12,058 25,82.567
2034 4,92,564 3,03,035 1,89,529 22,79,533
2035 4,92,564 3,27,372 1,65,192 19,52,161
2036 4,92,564 3,53,665 1,38,899 15,98,497
2037 4,92,564 3,82,068 1,10,496 12,16,429
2038 4,92,564 4,12,751 79,813 8,03,677
2039 4,92,564 4,45,902 46,662 3,57,775
2040 3,69,423 3,57,774 11,649 0

Axis Bank Home Loan Schemes

1) Axis Bank Home Loan (Regular Home Loan)

  • Available for all borrowers from 21years to 65 years for constructions of property, purchase of constructed residences (resale/builder property) and loan for top-ups for existing loans and redevelopment etc., also including options for repayment and subsidy benefits. (Click to know the difference in home loan for resale & builder case)
  • Axis Bank current home loan rate starts from 7.75% p.a.
  • Axis Home loan rates available are Fixed & floating interest rates.
  • Axis Bank floating home loan rates are available from 7.75% p.a. – 8.55% p.a.
  • 12% p.a. is the fixed rate of interest of home loan in Axis Bank.
  • Longer repayment tenure up-to 30 years.
  • Minimum loan amount is Rs.3 Lakhs & maximum is Rs. 5 Crores.
  • No prepayment penalty on floating home loan interest of Axis Bank.
  • LTV funding up-to 90%.
  • Axis Bank home loan processing fee charges -up-to 1% on the loan amount plus applicable GST subject to minimum of Rs.10,000/-.

Compare Axis Bank Home Loan with SBI Home Loan, ICICI Bank Home Loan, HDFC Ltd. Home Loan & Canara Bank Home Loan.

2) Quickpay Home Loan Axis Bank

  • Available for all borrowers from 21years to 65 years to purchase under-construction / ready to move/ resale house, self-construction, Axis Bank land purchase loan plus construction loan or home extension or improvement. (Also Read: Everything You Must Know Before Purchasing A Land & Availing The Land Loans)
  • Axis housing loan interest rate available with reducing monthly instalments.
  • Higher amount of principal repaid earlier in the loan tenure. The principal proportion in EMI amount will be higher than the interest portion during the earlier loan tenure thus reducing the monthly instalments and making savings on interest.
  • Longer repayment tenure up-to 30 years.
  • Minimum loan amount is Rs.3 Lakhs & maximum is Rs. 5 Crores.
  • Only floating housing loan rate of interest in Axis Bank Quickpay Home Loan.
  • Nil prepayment charges on floating rate of interest in Axis Bank for home loan.
  • Option to avail home loan balance transfer facility.
  • Current Axis Bank home loan interest rate for Quickpay Home Loan starts from 7.75% p.a. Onwards.
  • Home loan processing fee of up-to 1% on the loan amount plus applicable GST subject to minimum of Rs.10,000/-.

3) Axis Bank Shubh Aarambh Home Loan

  • Available for all salaried and self-employed borrowers from 21years to 65 years to purchase under-construction / ready to move/ resale house, self-construction, Axis Bank land loan plus construction loan or home extension or improvement.
  • Not available for NRI home buyers.
  • 12 months EMI waiver. 4 EMI each waived at the end of 4th, 8th & 12th year provided:  
  • The loan should remain with Axis Bank for at least 48 months from the date of disbursement.
  • Clear track record must be maintained during the lifetime of the loan. (Only 3 instances of dues pending for 30 days and above will be allowed but not over 90 days.)
  • Minimum loan amount is Rs.1 Lakh and maximum loan amount is Rs.30 Lakhs.
  • Minimum tenure is 20 years & maximum loan tenure is 30 years.
  • Only floating home loan rate of interest of Axis Bank’s Shubh Aarambh Home Loan.
  • Current home loan interest rate of Axis Bank’s Shubh Aarambh Home Loan ranges from 7.75% p.a. – 8.55% p.a.
  • Processing fees of up-to 1% on the loan amount plus applicable GST. (Minimum Rs.10,000/-)
  • Nil prepayment charges for Shubharambh Home Loan Axis Bank.
  • Prepayment of the loan can be done as long as the loan tenure does not fall below 4 years in order to avail the benefits of the EMI moratorium.
  • EMI cycle date available is only 5th of every month for all loan borrowers.
  • PMAY credit linked subsidy schemes available with subsidy up-to Rs.2.67 lakhs.
  • Balance transfer facility available for Shubh Aarambh Home Loan Axis Bank.

4) Fast Forward Home Loan Axis Bank

  • Available for all salaried and self-employed borrowers from 21years to 65 years to purchase under-construction / ready to move/ resale house, self-construction, plot purchase loan Axis Bank plus construction loan or home extension or improvement.
  • Not available for NRI home buyers.
  • EMI waiver for 12 months. 6 EMI each waived at the end of 10th, 15th year provided:  
  • The loan should remain with Axis Bank for 10 years from the date of disbursement.
  • Clear track record must be maintained during the lifetime of the loan. (Only 3 instances of dues pending for 30 days and above will be allowed but not over 90 days.)
  • Minimum loan amount is Rs.30 Lakh and maximum loan amount is Rs.5 Crores.
  • Minimum tenure is 20 years & maximum loan tenure is 30 years.
  • Only floating Axis Bank home loan percentage.
  • Today Axis Bank home loan interest rate for Fast Forward Home Loan starts from 7.75% p.a. onwards.
  • Processing fees of up-to 1% on the loan amount plus applicable GST. (Minimum Rs.10,000/-)
  • Nil prepayment charges.
  • Prepayment of the loan can be done as long as the loan tenure does not fall below 10 years in order to avail the benefits of the EMI moratorium.
  • The Fast Forward Home Loans cannot be clubbed with any other schemes such as subvention scheme, etc.
  • EMI cycle date remains 5th of every month for all loan borrowers.

5) Axis Bank Asha Home Loan

Axis Bank Asha Home Loan Details: –

  • Customized loan scheme on the basis of banking behavior or previous repayment track history. Specially designed for those who are buying their first house.
  • Affordable housing loan scheme for the purchase of under-construction / ready to move/ resale property, plot purchase and construction of house thereon or construction of house on a plot already purchased.
  • Asha Home Loan Eligibility:
  • Available for all salaried and self-employed borrowers from 21years to 65 years.
  • Minimum income required – combined salary of the family- Rs.8,000/- pm or Rs.10,000/- pm depending upon the location.
  • Cash salary of the borrower counted.
  • Minimum loan amount is Rs.1 Lakh and maximum loan amount is Rs.35 Lakh.
  • Minimum tenure is 20 years & maximum loan tenure is 30 years.
  • Loan funding of 90% of the market value of the property for the property value up-to 30 Lakhs.
  • Home loan available for properties with minimum built up area starting from 200 sq.ft.
  • 12 EMIs waived off. 4 EMI each waived at the end of 4th, 8th & 12th year provided:  
  • The loan should remain with Axis Bank for at least 48 months from the date of disbursement.
  • Clear track record must be maintained during the lifetime of the loan. (Only 3 instances of dues pending for 30 days and above will be allowed but not over 90 days.)
  • Axis Bank Asha Home Loan interest rate:
  • Fixed & floating interest rates available.
  • Fixed interest rates offered only for tenure up-to 20 years.
  • Axis Bank Asha Home Loan rate of interest for floating rate home loans start from 10.05% p.a.to 11.50% p.a.
  • 12% p.a. flat Asha Home Loan rate of interest for fixed rate home loan.
  • Processing fees of up-to 1% on the loan amount plus applicable GST. (Minimum Rs.10,000/-)
  • Nil prepayment charges for floating interest rates. Foreclosure charges of up-to 2% on the outstanding loan amount for fixed interest rate home loans.
  • Prepayment of the loan can be done as long as the loan tenure does not fall below 4 years in order to avail the benefits of the EMI moratorium.
  • PMAY credit linked subsidy schemes available with subsidy up-to Rs.2.67 lakhs.
  • Balance transfer facility available for Asha Loan Axis Bank.

6) Axis Home Loan Top Up

  • Available for all existing borrowers and for borrowers with balance transfer of home loan at competitive Axis Bank top up loan interest rate.
  • Top up loan in Axis Bank can be used for personal and business requirements, for construction of residential/commercial property, etc.
  • Maximum Axis Bank home loan top up amount is Rs.50 Lakhs.
  • Maximum tenure for Axis top up loan will be the same as outstanding home loan tenure.
  • Axis Bank home loan top up interest rate starts from 8.65% p.a. Onwards.
  • Processing fees of up-to 1% on the loan amount plus applicable GST. (Minimum Rs.10,000/-)
  • Axis Bank home loan top up criteria:
  • Top up loan on home loan Axis Bank is available for all salaried, self-employed & NRI borrowers.
  • Axis Bank top up loan eligibility – 21years to 65 years.
  • Home loan top up Axis Bank for the existing borrowers can be applied after completion of the 6 months tenure for home loan.
  • Clear repayment track for 6 months is mandatory for existing borrowers and 12 months for the borrowers seeking Axis Bank home loan balance transfer and top up.
  • Only 1 EMI bounce is allowed provided the bounced EMI is cleared before the next EMI due.

Compare Axis Home Loan Top Up with ICICI Bank home loan top up.

7) Axis Bank Super Saver Home Loan

  • It is an overdraft facility loan available for all borrowers from 21 years to 65 years.
  • Super saver home loan Axis Bank – is not available for NRI home buyers.
  • Excess funds are parked in the Super Saver Account to save on the interest.
  • The monthly installment will be debited from the funds parked in the Super Saver Account itself.
  • Minimum loan amount is Rs.50 Lakhs & maximum loan amount is Rs.5 Crores.
  • Maximum tenure for super saver Axis Bank is 20 years for full loan disbursement/ ready possession property & 22 years for partial loan disbursements/under construction properties.
  • Alterations in the loan tenure (increase or decrease) is not allowed.
  • Only floating interest rates are available.
  • Axis Bank Super Saver Home Loan interest rate is charged on the outstanding principal amount i.e. the principal loan amount – (minus) the excess funds parked. The excess funds parked can be withdrawn whenever required.
  • Cheque book, ATM card and online banking plus phone banking facility are provided to the loan borrowers who wish to manage their saving’s account while dealing with the home loan.
  • Nil prepayment charges.
  • Home loan balance transfer facility available.
  • Top up facility also available, but the benefits of this plan will not be extended to the top up loan.
  • Existing home loan borrowers can also shift their loan to Super Saver Home Loan scheme.
  • Interest rates starting from 7.75% p.a. onwards.
  • Interest rate is charged on daily reducing balance.
  • Processing fees of up-to 1% on the loan amount plus applicable GST. (Minimum Rs.10,000/-)
  • EMI cycle date will be 10th of every month for all loan borrowers.
  • No tax deductions under section 80C for the money parked in the super saver account and section 24 for the unpaid interest amount i.e. the interest saved.

8) Axis Bank Power Advantage Home Loans

  • Available for all borrowers salaried, self-employed as well as NRIs from 21 years to 65 years for the purchase of under-construction / ready to move/ resale house, self-construction, plot plus construction or home extension or improvement.
  • Interest rate is fixed for the first 2 years and then floating interest rates applicable for the balance loan tenure.
  • Longer repayment tenure up-to 30 years.
  • Maximum loan amount of Rs. 5 Crores.
  • Interest rate starting from 8% p.a. onwards.
  • Processing fees of up-to 1% on the loan amount plus applicable GST. (Minimum Rs.10,000/-)
  • Nil foreclosure & part payment charges if paid during the floating rate tenure. Pre & part payment charges of 2% plus applicable GST if the loan is closed during the first 2 years of fixed interest rate tenure.
  • PMAY credit linked subsidy schemes available with subsidy up-to Rs.2.67 lakhs.
  • Home loan balance transfer facility available.

Click to read Is pre-EMI is better than full EMI. Also find out the merits and demerits for investing in resale & builder property.

9) Pradhan Mantri Awas Yojana (PMAY)

  • Interest subsidy on housing loans for all eligible borrowers (salaried/self-employed/NRI) from 21 years to 65 years belonging to the EWS, LIG & MIG segment for the purchase / construction of their first house.
  • Subsidy amount of up-to Rs.2.67 lakhs provided the borrower does not own any pucca house in his name.
  • Maximum income to avail the benefits of this scheme is maximum up-to Rs.18 Lakhs p.a.
  • Longer repayment tenure up-to 30 years with subsidy up-to 20 years of the loan tenure.
  • Processing fees of up-to 1% on the loan amount plus applicable GST. (Minimum Rs.10,000/-)

10) Axis Bank NRI Home Loan

  • Available for NRI, PIO (Person of Indian origin), OCI (Overseas Citizen of India) & Merchant Navy employees.
  • Minimum loan tenure is 1 year and maximum loan tenure of 25 years.
  • Axis Bank NRI home loan eligibility:
  • Minimum age is 24 years and maximum 60 years or retirement age whichever is earlier for Axis Bank NRI loan.
  • The NRI, PIO & OCI should not be the citizens of Pakistan, Bangladesh, Sri Lanka, Afghanistan, China, Iran, Nepal, or Bhutan.
  • Total work experience required is 2 years with minimum 6 months overseas work experience required for Axis NRI loan.
  • Minimum income required is 5000 AED pm for GCC countries & 3000 USD pm for USA & other countries and 2000 USD pm for 9 months for merchant navy.
  • Fixed and floating Axis Bank NRI loan interest rates available for housing loans.
  • Axis Bank NRI home loan interest rate:
  • Floating interest rates starting from 7.75% p.a.
  • Flat fixed interest rate of 12% p.a.
  • Processing fees of up-to 1% on the loan amount plus applicable GST. (Minimum Rs.10,000/-)
  • NRI can also apply for top up loans. Benefits and terms and conditions will remain same as per the regular top-up loan product.
  • Home Loan For Self-Employed NRIs:
  • Self-employed NRIs can also apply for home loan for the purchase of ready to move/resale/under-construction property, self-construction, home extension or improvement and for balance transfer of the home loan.
  • Self-employed NRI home loan is not available for the purchase of plot, commercial property and agricultural land.
  • Minimum cost of the property purchased has to be Rs.30 Lakhs.
  • Maximum loan tenure of 15 years.
  • Minimum loan amount is Rs.20 Lakhs & maximum loan amount is Rs.50 Lakhs.
  • 60% funding on the cost of the property for ready to move projects and 90% for under-construction property while 50% for cases other the two.
  • The NRI, PIO & OCI should have their own office set up with minimum 5 years of work experience out of which 3 years should be in 1 country.

Click to get documents required for NRI Home Loans.

Additional Read On: NRI home loans & NRI home loan transfer.

Tax Benefits On Axis Bank Home Loan

The borrowers can enjoy the income tax benefits on the interest paid as well as on the principal amount repaid as per the Indian Income Tax Act.

  • Tax deduction available up-to Rs.1.5 Lakhs per year on the principal repayment of the loan under section 80C of the Income Tax Act.
  • Tax deduction up-to Rs.2 Lakhs towards the interest repayment in the year under section 24 of the Income Tax Act for the property self-owned by the borrower.
  • Entire interest amount can be claimed in a year if the borrower has given the property on rent.

List Of Documents Required For Home Loan In Axis Bank

1) KYC – Pan Card, Aadhar Card, Latest Passport size photograph, Office proof & Residence Proof.

2) Income Documents

  1. Documents required for home loan for salaried person – 4 months Salary Slips, 6 months Bank Account Statement, 2 years Form 16.
  2. Documents required for home loan for self-employed – 3 years ITR with Saral Copy, Balance Sheet, P&L Account, Capital Account – CA certified, 12 months bank account statements of all bank accounts savings + current account.

3) Property documents

  1. Prior Chain of Agreement
  2. OC/CC + approved plans
  3. Index 2
  4. Share Certificate
  5. Society Registration Copy
  6. Property Tax Receipt.

4) Additional documents required for home loan transfer

  1. LOD
  2. Outstanding Balance Letter
  3. 18 months repayment track record.

5) Other documents

  1. Duly signed Axis Bank home loan application form.
  2. Processing fees cheque.

6) Click for documents required for NRI home loan

7) Please refer to the links for detailed documents for Axis Bank home loan apply.

  1. Home loan documents required Resale Case for salaried, for self-employed for Proprietorship firm, Private Ltd. Company, Partnership Firm. 

Click to know housing loan interest rates of different banks and to know which bank has the lowest home loan interest rate.

Similar Banks Offering Home Loans

ICICI Bank HDFC Ltd. Canara Bank SBI Bank

For the latest home loan interest rates in Axis Bank & processing fees offer call on 9321020476.

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. Loanfasttrack is a direct sales associate with leading banks namely, ICICI Bank, HDFC Ltd, Canara Bank, Citi Bank, Piramal Housing Finance, etc.

Visit www.loanfasttrack.com.

Seek expert advice on 9321020476.

You can also email on info@loanfasttrack.com.

Loanfasttrack’s specialized services includes providing:

Additional Read:

SBI Home Loan

by admin

Home Loans

State Bank Of India is the largest mortgage lender in India providing attractive home loan interest rates. Current SBI home loan interest rates start from 6.95%p.a. (concessional rates of SBI home loan for women) with flexible repayment options up-to 30 years for SBI home loan tenure. Processing fee for home loan in SBI is up-to 0.40% of the loan amount (Min.Rs.10,000 & Max.Rs.30,000) plus applicable GST.

Benefits Of SBI Home Loan

  • Low home loan rates in SBI. SBI bank home loan interest rate starts from 6.95% p.a.
  • Interest concession of 0.05% p.a. on SBI home loan interest rate for women.
  • Interest calculation on a daily reducing balance.
  • Home loan also available as an overdraft with SBI overdraft home loan.
  • Low processing charges. SBI home loan processing fee ranges in 0.20%-0.40% of the loan amount plus applicable GST subject to a minimum of Rs 10000/- and maximum of Rs 30000/- plus GST.
  • No prepayment penalties.
  • PMAY credit linked subsidy schemes available with subsidy up-to Rs.2.67 lakhs.
  • SBI Pre-approved home loan facility available.

SBI Home Loan Interest Rates 2020

SBI Home Loan Schemes Rate Of Interest For Salaried Rate Of Interest For Self-Employed
SBI Regular Home Loan 6.95% -7.35% p.a. 7.10%-7.50% p.a.
SBI Shaurya Home Loan 6.95% p.a. onwards  –
SBI Maxgain Home Loan 7.30%-7.70% p.a. 7.45%-7.85%
SBI Privilege Home Loan 6.95% p.a. onwards  –
SBI Flexipay Home Loan 8.15%-8.65% p.a.  –
SBI Tribal Plus Home Loan 7.05% p.a. onwards  –
SBI (Commercial Real Estate) CRE Home Loan 7.45% p.a. onwards  –
SBI Realty Home Loan 7.65%-7.90% p.a.  –
SBI Home Top Up Loan (Term Loan) 7.50%-9.55% p.a. 7.65%-9.70% p.a.
SBI Home Top Up Loan (Overdraft) 8.40%-8.65% p.a. 8.55%-8.80% p.a.
SBI Insta Home Top Up Loan (For Rs.1 Lakh – Rs.5 Lakhs) 8.20% p.a. 8.20% p.a.
SBI Smart Home Top Up Loan (Term Loan) 8.05% p.a. 8.55% p.a.
SBI Smart Home Top Up Loan (Overdraft) 8.55% p.a. 9.05% p.a.
SBI Bridge Home Loan 9.50% p.a. – for first year 10.50% p.a. – for second year.  –
SBI Corporate Home Loan 9.20% p.a. – 10.95% p.a. (Loan applicant is a corporate entity).
SBI EMD Earnest Money Deposit 10.45% p.a.  –
SBI Loan Against Property (If self-occupied) 8.80%-9.30% p.a. 8.80%-9.30% p.a.
SBI Loan Against Property (If not self-occupied) 8.90%-9.65% p.a. 8.90%-9.65% p.a.
SBI Reverse Mortgage Loan 9.05% p.a. – for public 8.05% p.a. – for SBI pensioners  –

SBI Home Loan Details

SBI provides home loans for the purchase of property (residential/commercial/land), repairs, renovate or redecorate, extension or improvement and construction of the property.

SBI Home Loan Eligibility Criteria

Eligible Profile Salaried, Self-Employed Professionals, Self-Employed Non-Professionals, NRIs, PIOs, Corporate Entities
Age Criteria Minimum 18 years & maximum 70 years.
Loan Amount SBI home loan maximum amount is based on the eligibility.
SBI Loan Repayment Options – Home Loan Tenure SBI home loan maximum tenure is 30 years. (Minimum tenure for home loan in SBI is 5 years)
SBI Home Loan Types SBI Home Loan For Under Construction Property, SBI Property Loan, SBI Plot Loan/SBI Land Loan, SBI Top Up Loan, SBI Home Loan Transfer, SBI Renovation Loan/Home Renovation Loan SBI, SBI Home Extension Loan, SBI NRI Home Loan, SBI Loan Against Property, Reverse Mortgage Loan SBI, SBI Construction Loan/Home Construction Loan SBI, Commercial Property Loan SBI, Home Improvement Loan SBI.
SBI Home Loan Rate Today SBI housing loan interest rate starts from 6.95% p.a.
EBR 6.65% p.a.
SBI Home Loan EMI Per Lakh Starts from Rs.662/- (Rs.662/- is the per lakh EMI calculated @ of 6.95% p.a. for 30 years)
Rate Packages Available Floating & Fixed rate SBI housing loan rate.
SBI Home Loan Approval Process Time 20-30 working days.
SBI Housing Loan Processing Charges SBI housing loan processing fee (inclusive of legal & technical charges)- ranges in 0.20%-0.40% of the loan amount plus applicable GST subject to a minimum of Rs 10000/- and maximum of Rs 30000/- plus GST. Stamp duty charges for SBI home loan – 0.20% of the loan amount. (Read to know the complete list of charges on home loans- CLICK)
Pre Closure Charges For Home Loan SBI Nil for floating interest rates.

SBI Home Loan Schemes

SBI offers customized schemes for the customers to suit their varied home loan requirements. Mentioned below are its various home loan products with its salient features.

1) SBI Regular Home Loan

  • Available for all Indian residents from 18 years to 70 years for purchase (resale/builder under-construction or ready to move)/construction/extensions/repairs & renovations of the property. (Click to know the difference in home loan for resale & builder case)
  • SBI current home loan interest rates available from 7% p.a. onwards. Special discounted rates for women borrowers. 0.05% concession on interest rates for women.
  • SBI home loan offers longer repayment tenure up-to 30 years.
  • Zero prepayment charges.
  • SBI home loan processing fees range from 0.20%-0.40% of the loan amount plus applicable GST subject to minimum Rs 10000/- & maximum Rs 30000/-. (including legal and technical cost)
  • Home loan available in the form of overdraft.
  • Tax benefits under section 24 and 80(C).

Compare SBI Home Loan With ICICI Bank Home Loan, HDFC Ltd. Home Loan & Canara Bank Home Loan.

2) SBI Pre-Approved Home Loan

  • SBI pre-approved loan (PAL) is available for all Indian residents from 18 years to 70 years.
  • Pre-approved home loan from SBI enables the applicant to get home loan sanctioned even before finalizing the property.
  • SBI pre-approved loan interest rate starts from 6.95% p.a.
  • SBI PAL eligibility is assessed only on the basis of the income details of the applicant.
  • Home loan available in the form of overdraft.
  • Other benefits of PAL are similar to regular home loans.
  • Non-refundable processing fees (0.20%-0.40% of home loan amount plus applicable GST) will be collected at the time of sanction.

3) SBI Balance Transfer Of Home Loan

  • Available for all Indian residents from 18 years to 70 years.
  • Low housing loan rate of interest in SBI for balance transfer starting from 6.95%p.a. (Compare home loan transfer details of SBI with other leading banks)
  • SBI home loan take over interest rates are charged on daily reducing balance.
  • Home loan available in the form of overdraft.
  • No hidden costs- Nil pre & part payment charges.
  • Extended loan tenures up-to 30 years.
  • SBI home loan transfer processing fees inclusive of legal & technical – 0.20%-0.40% of the loan amount plus applicable GST (Min Rs 10000/- & Max Rs 30000/-).

Also Read: Home loan transfer requirements, Benefits of home loan transfer.

For the latest SBI home loan transfer interest rates & processing fees offer call on 9321020476.

4) SBI NRI Home Loan

  • Available for NRIs & PIOs (Person Of Indian Origin) applicants from 18 years to 60 years.
  • Extended loan tenure up-to 30 years.
  • SBI bank NRI home loan available in the form of overdraft.
  • Low SBI home loan ROI (Rate Of Interest) for NRIs – 6.95% onwards.
  • Processing cost including legal and technical charges – 0.20%-0.40% of home loan amount plus applicable GST. (Min Rs 10000/- & Max Rs 30000/-).

Click to get documents required for SBI home loan for NRI.

Learn more on NRI home loans & NRI home loan transfer.

5) SBI Flexipay Home Loan

  • SBI flexi home loan available only for salaried Indian residents from 21 years to 45 years.
  • 20% higher SBI housing loan eligibility with Flexi pay home loan.
  • The applicant can pay only the interest during the pre-EMI period followed by step-up EMIs in the subsequent years.
  • SBI flexi pay home loan interest rate varies from applicant to applicant depending on their credit scores and LTV (Loan To Value) percentage.
  • Maximum loan amount availed is up-to 7crs.
  • Processing cost including legal and technical charges – 0.20%-0.40% of home loan amount plus applicable GST. (Min Rs 10000/- & Max Rs 30000/-).

6) SBI Privilege Home Loan

  • Designed specially to provide home loans to Central & State Government employees (including Public Sector Banks, Central Govt.’s Public Sector Units & Pensioners) from 18 years to 75 years.
  • The loan can be serviced post retirement period. Post retirement EMIs capped @ 50% of the existing per month income.
  • Zero processing fees (excluding legal & technical cost) & Zero foreclosure charges.
  • 30 years repayment tenure.
  • Uniform interest rates of 6.95% p.a. onwards for all women, men/others with check-off facility & 7% p.a. onwards for all without a check off facility.

(Check-off facility meaning= the home loan EMIs are directly deducted from the employee’s salary and remitting the same to the lender’s bank)

7) SBI Shaurya Home Loan

  • Provided only for the defense employees i.e. for Indian army and defense personnel from 18 years to 75 years.
  • Zero processing fees (excluding legal & technical cost) & Zero foreclosure charges.
  • Longer repayment tenure of 30 years.
  • SBI shaurya home loan interest rates are charged on daily reducing balances.
  • Uniform interest rates of 6.95% p.a. onwards for all women, men/others with check-off facility & 7% p.a. onwards for all without a check-off facility.

8) SBI Realty Home Loan

  • Available for Indian residents from 18 years to 65 years for the purchase of the plot to construct a house. (Construction to be completed within 5 years from the sanction of the SBI plot plus construction loan).
  • Maximum loan amount availed for SBI plot and construction loan is up-to Rs.15 crores.
  • Maximum tenure available is 10 years.
  • The applicant can also avail another SBI home loan for construction of house on plot financed under SBI Realty as per the SBI land purchase scheme.
  • SBI Realty Loan interest rates range from 7.70% p.a. – 7.90% p.a. – daily reducing balance. (0.05% concession on rates available for women applicants.)
  • Processing cost including legal and technical charges – 0.20%-0.40% of home loan amount plus applicable GST. (Min Rs 10000/- & Max Rs 30000/-).

Also Read: Everything You Must Know Before Purchasing A Land & Availing The Land Loans

9) SBI Home Top Up Loan

  • Available for resident Indians and NRIs from 18 years to 70 years.
  • Top up loan on home loan SBI can be availed in the form of overdraft.
  • SBI home loan top up interest rate range in 7.50% p.a. – 9.55% p.a. for term loan and 8.40% p.a. – 8.65% p.a. for overdraft.
  • Interest charges on daily reducing balances for SBI top up loan interest rate.
  • SBI home loan top up eligibility is subject to the applicant’s income and the property’s market value (Maximum LTV is subject to 80%).
  • Longer repayment tenure up-to 30 years.
  • Processing cost including legal and technical charges – 0.20%-0.40% of home loan amount plus applicable GST. (Min Rs 10000/- & Max Rs 30000/-).

Compare SBI top up loan with ICICI Bank home loan top up.

10) SBI Smart Home Top Up Loan

  • Available for resident Indians and NRIs from 18 years to 70 years.
  • The applicant needs to visit the nearest SBI/RACPC (Retail Assets Central Processing Centre) to avail the loan.
  • The applicant should not have any other active home top-up or insta home top-up loans for availing SBI smart top up loan.
  • Minimum CIBIL score required is 550 and above with satisfactory repayment track record of 1 year or more. (Click to understand the significance of CIBIL in home loan)
  • Loan tenure available is up-to 20 years.
  • Minimum loan amount is 5 lakhs, also available in the form of overdraft facility.
  • No documents required.
  • Interest rates for term loans are 8.05% p.a. & 8.55% p.a. For overdraft loans are 8.55% p.a. & 9.05% p.a. respectively for salaried and self-employed applicants.
  • Flat processing fees of Rs.2000/- plus applicable GST.
  • No need to pay the processing fees upfront. The charges will be deducted from the loan amount itself.
  • Nil prepayment charges.

11) SBI YONO Insta Home Top Up Loan

  • It is the digital home loan that is applied through SBI’s YONO mobile app.
  • No documentation required.
  • Applicable only for its existing customers with satisfactory track record.
  • Only those pre-selected customers selected on the basis of the track history, outstanding tenure, etc. can apply for this product 24*7.
  • Instant disbursals through SBI YONO App. Loan available in the form of overdraft.
  • Loan amount that can be availed is minimum Rs.1 Lakh and maximum Rs.5 Lakhs.
  • Interest rate applicable for all is 8.20% p.a.
  • Flat processing fees of Rs.2000/- plus applicable GST adjusted through the top up loan disbursement amount.

12) SBI Bridge Home Loan

  • Bridges the gap of fund shortage between the sale of the existing home and the purchase of a new home.
  • Available for resident Indians from 18 years to 70 years.
  •  Minimum loan amount with SBI bridge loan is 2 years while maximum is 2 crores.
  • Loan tenure is up-to 2years.
  • Interest charged on daily reducing balances. 9.50% p.a for the first year & 10.50% p.a. for the second year.
  • Processing cost is 0.35% of the loan amount plus applicable GST, subject to minimum of Rs.5000/-.

13) SBI Corporate Home Loan

  • Available for corporate entities i.e. public sector and private limited companies including its subsidiary/SPV (Special Purpose Vehicle/Special Purpose Entity) units to purchase/construct residences (in the name of the companies) for the use by their employees/directors/promoters.
  • Also available for SBI home loan balance transfer in the name of the company from other lender Banks/HFCs/NBFCs
  • Preconditions for the corporate entities for availing the home loan:
    – Should be SBI’s existing borrower or debt free company.
    – Should have 3 years of business vintage.
    – Should have uninterrupted flow of income/net profits for the last 3 years.
    – No restructuring of the company’s loan accounts for the last 3 years.
  • In case of a subsidiary company:
    a.) The parent company should agree to be the guarantor in the home loan.
    b.) The parent company fulfills its eligibility norms &
    c.) The parent company provides undertaking to service the subsidiary company’s home loan if the subsidiary has insufficient t cash flows to repay the home loan EMIs.
  • Interest rates range from 9.20% p.a. – 10.95% p.a.
  • Processing cost is 0.50% of the loan amount plus applicable GST, subject to minimum of Rs.50,000/- & maximum of Rs.10 Lakhs.

14) SBI Home Loan To Non-Salaried Differential Offerings

  • Available for non-salaried resident Indians i.e. the self-employed Indian residents with minimum age of 18 years for the purchasing/constructing a house, for repairing & renovating the existing house and also for the housing loan takeover from other lenders.
  • Minimum loan amount that can be availed is Rs.50,000/- subject to the maximum loan amount of Rs.50 Crores.
  • Longer repayment tenures available up-to 30 years.
  • Interest rates applicable are 7.10% p.a. onwards on daily reducing balances.
  • Processing cost including legal and technical charges – 0.20%-0.40% of home loan amount plus applicable GST. (Min Rs 10000/- & Max Rs 30000/-).
  • Preconditions for availing the home loan for the applicant (proprietor/partner/director):
  • Should have a minimum business vintage of 3 years.
  • Must be profit making for the last 2 years.
  • Existing Credit Facilities, if any, should be Regular and Standard.
  • In case of joint ownership of the residential property in the name of proprietor and the proprietorship firm the firm must be a debt free firm or an existing borrower of SBI.

15) SBI Tribal Plus

  • Tribal plus home loan is available for all resident Indians residing in the hilly/tribal areas from 21 years to 60 years for the purchase/construction of a new house without mortgaging the land, for purchasing of the resale house not more than 10 years old, for repair & renovation of the house and also for the home loan takeover from other lender Banks/HFCs/NBFCs.
  • Repayment tenures are up-to 15 years.
  • Maximum loan amount that can be availed is Rs.10 Lakhs.
  • Nil prepayment charges.
  • No need to mortgage the land, third party guarantor are allowed.
  • Interest rates start from 7.10% p.a. on daily reducing balances. 0.05% rate concession for women borrowers.
  • Processing cost including legal and technical charges – 0.20%-0.40% of home loan amount plus applicable GST. (Min Rs 10000/- & Max Rs 30000/-).

16) SBI Earnest Money Deposit (EMD)

  • SBI Earnest Money Deposit scheme is available for all resident Indians with minimum age of 21 years.
  • The loan is availed only to pay the booking amount for the residences/plots sold by the urban development authorities, housing boards and other government entities.
  • EMD are short term loans having repayment tenure of not more than 1 year.
  • No minimum income criteria to avail the maximum loan amount of Rs.15 Lakhs.
  • Interest rates applicable for all is 10.45% p.a.
  • Applicable processing fee is 0.50% of the home loan amount plus applicable GST subject to a minimum of Rs.1000/-.
  • No prepayment charges.

17) SBI CRE (Commercial Real Estate) Home Loan

  • SBI CRE home loan is designed especially for all resident Indians from 18 years to 70 years who already own 2 or more residences and want to buy more.
  • Maximum number of home loans that can be applied through CRE is restricted to 3 including the existing and the proposed one & excluding the closed home loans.
  • Longer repayment up-to 30 years.
  • Home loan available in the form of overdraft facility.
  • Nil prepayment charges.
  • SBI CRE home loan interest rates are charged on daily reducing balances ranging from 7.50% p.a. – 7.85% p.a for salaried &7.65% p.a. – 8% p.a. for self-employed. 0.05% rate concession available for women borrowers.
  • Applicable processing fee is 0.35% of the home loan amount plus applicable GST subject to a minimum of Rs.5000/-.

18) SBI Maxgain Scheme

  • It is a home saver loan product which provides prepayment benefits without compromising the liquidity.
  • Available for the applicants from 18 years to 70 years for the purchase, construction, extension, repairs & renovation of the residential property.
  • The loan is sanctioned in the form of overdraft. Park the access funds in the account and pay less interest.
  • SBI maxgain home loan benefits the applicants by savings on their interest component. SBI maxgain interest rate is charged on the outstanding principal amount i.e. the principal loan amount – (minus) the excess funds parked.
  • SBI maxgain home loan interest rate charged for salaried range in 7.35% p.a. – 7.70% p.a. & SBI maxgain home loan rate for self-employed range in 7.50% pa. – 7.85% p.a. 0.05% concession on SBI maxgain rate of interest for women borrowers.
  • Provides cheque book, debit card and online banking facility to the applicant who wishes to manage his saving’s account while dealing with the home loan.
  • SBI maxgain terms and conditions/ Eligibility
  • Maxgain loan taken for construction – construction should be started within 3 years of the loan taken.
    – Maxgain loan taken on under-construction property – surplus funds deposited before the full disbursement of loan cannot be withdrawn till complete disbursement of loan. However, the interest will still be saved and added to the account balance, but will be withdrawn only after taking the possession of the property. 
    – Minimum loan amount that can be applied is Rs.20 Lakhs.
    – Longer repayment up-to 35 years available.
    – Processing cost including legal and technical charges – 0.20%-0.40% of home loan amount plus applicable GST. (Min Rs 10000/- & Max Rs 30000/-).
  • SBI maxgain disadvantage – No tax deductions under section 80C for the money parked in the maxgain account and section 24 for the unpaid interest amount i.e. the interest saved.
  • Use SBI maxgain calculator to calculate your interest component.

19) SBI Green Home Loan

  • SBI’s greenhouse loan is available for all applicants from 18 years to 70 years who wish to buy ecofriendly house i.e. environmentally friendly house.
  • The green house concept will help in conservation of natural resources such as wood, water and energy, reduce the carbon emissions, etc. and cause less damage to the environment.
  • Green housing loans will be sanctioned for projects rated by the Indian Green Building Council (IGBC). The projects which have eco-friendly amenities such as rainwater harvesting, water recycling and solar power systems, etc.
  • Various concessions for purchasing an eco-house from green home builders which includes:
  • Reduced OCR margins – Less own contribution required.
  • Lower interest rate – Concession on the housing loan interest rates for all loan tenures.
  • Processing fee offer – less processing fees or zero processing fees.

20) Pre-EMI Interest By Builders Scheme

  • Builders registered under the bank’s Builder Tie Up arrangement agree to pay the buyer’s pre-EMIs full or a part of pre-EMIs at a fixed interest rate.
  • The applicant pays the EMIs from the stipulated repayment start date as per the terms of sanction.
  • The stipulated repayment starts dates differ for each builder project and accordingly, the specific moratorium periods are permitted by the bank for different projects.

Click to read Is pre-EMI is better than full EMI. Also find out the merits and demerits for investing in resale & builder property.

21)  SBI Loan Against Property (P-Lap) / SBI Mortgage Loan

  • SBI lap loan is available for all resident Indians from 18 years to 70 years against the pledge of the property to fulfill the personal funds requirement for child education, marriage, medical expenses, etc.
  • House mortgage loan SBI is available only for personal purposes and not for business and speculative purposes. Compare SBI mortgage loan with ICICI Bank’s Mortgage loan.
  • SBI loan against property eligibility:
    * Maximum loan tenure of up-to 15 years.
    * Minimum loan amount is Rs.10 Lakhs & maximum is Rs.7.5 Crores (Subject to the location of the property).
    * Maximum LTV is 65% of the value of the property.
    * Minimum net monthly income of the applicant required is Rs.25,000/- i.e. Rs.3 Lakhs p.a.
    * No prepayment penalty.
    * SBI mortgage loan interest rate is charged on daily reducing balance.
    * SBI loan against property interest rate starts from 8.80% p.a. Onwards. (Check out mortgage loan balance transfer @ lowest interest rates in India)
    * Processing fees of 1% of the loan amount plus applicable GST, subject to maximum of Rs.50,000/-.

Click to know the documents required for applying for a mortgage loan for salaried, self-employed – Pvt. Ltd Company, Partnership firm, Proprietorship Firm, mortgage loan balance transfer for salaried.

Click to find out the Best Banks For Mortgage Loan In India and to know more on mortgage overdraft.

For the latest SBI lap loan interest rate call on 9321020476.

22) SBI Reverse Mortgage Loan

  • Reverse mortgage scheme of SBI provides mortgage loans for senior citizens of India above 60 years (spouse 58 years in case of joint loans) to meet their livelihood needs such as day-to-day expenses, medical expenses, etc. against their self-occupied and self-owned residential property.
  • The reverse mortgage loan in SBI is not repaid during the lifetime of the applicant. The entire loan balance along with the interest becomes payable only when the borrower sells the house or moves away permanently or when the last surviving borrower dies OR when he willingly pre-closes the loan.
  • No prepayment penalty.
  • Loan tenure for reverse mortgage loan SBI is 10-15 years depending on the age of the applicant.
  • Minimum loan amount is Rs.3 Lakhs and maximum is Rs 1 Crore.
  • 8.05% p.a. reverse mortgage interest rates for SBI pensioners.
  • 9.05% p.a. reverse mortgage loan interest rate for the public.
  • Applicable processing fee is 0.50% of the home loan amount plus applicable GST. (Minimum Rs.2000/- & Maximum Rs.20,000/-).

Click to get complete information on reverse mortgage.

List Of Documents Required For Home loan SBI

1) KYC – Pan Card, Aadhar Card, Latest Passport size photograph, Office proof & Residence Proof.

2) Income Documents required for housing loan:

  1. Documents required for home loan for salaried person – 4 months Salary Slips, 6 months Bank Account Statement, 2 years From 16.
  2. Documents required for home loan for self-employed – 3 years ITR with Saral Copy, Balance Sheet, P&L Account, Capital Account – CA certified, 12 months bank account statements of all bank accounts savings + current account.

3) Property documents required for home loan SBI:

  1. Prior Chain of Agreement
  2. OC/CC + approved plans
  3. Index 2
  4. Share Certificate
  5. Society Registration Copy
  6. Property Tax Receipt.

4) Additional documents required for home loan transfer

  1. LOD
  2. Outstanding Balance Letter
  3. 18 months repayment track record.

5) Other documents needed for SBI home loan

  1. Duly signed SBI home loan application form.
  2. Processing fees cheque.

6) Click for documents required for NRI home loan

7) Please refer to the links for detailed documents for home loan SBI.

  1. SBI home loan documents required Resale Case for salaried, for self employed for Proprietorship firm, Private Ltd. Company, Partnership Firm. 
  2. Documents required for home loan from builder for salaried, for self employed Proprietorship firm, Private Ltd. Company, Partnership Firm.  
  3. SBI housing loan required documents for home loan balance transfer for salaried, self employed – Proprietorship Firm, Private Limited Company, Partnership Firm.

Click to know housing loan interest rates of different banks and to know which bank has the lowest home loan interest rate.

For the latest SBI home loan interest rates & SBI home loan balance transfer interest rates call on 9321020476 or login to Loanfasttrack.

 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. Loanfasttrack is a direct sales associate with leading banks namely, ICICI Bank, HDFC Ltd, Canara Bank, Citi Bank, Piramal Housing Finance, etc.

Visit www.loanfasttrack.com.

Seek expert advice on 9321020476.

You can also email on info@loanfasttrack.com.

Loanfasttrack’s specialized services includes providing:

Additional Read:

Home Loan Transfer Requirements

by admin
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.

It also helps you:

Additional Read:

Canara Bank Home Loan

by admin
Canara Bank Home Loan | Loanfasttrack

Canara bank is one of the leading housing loan providers among the nationalized banks. Being a nationalized/public sector bank with attractive & affordable lowest interest rate along-with flexible repayment tenures it remains the most preferred choice among the home loan borrowers. The housing loan interest rates of Canara bank start from 6.95% p.a. with a special discounted interest rate of 6.90% for women borrowers.

The home loan with Canara bank is available for ready to buy property or under-construction builder property, for construction of house, for purchase of site and construction of loan thereon, for undertaking repairs, renovation, expansion, upgradation and creation of additional amenities, for home improvement and for loan takeovers.

Benefits of Applying Home Loan With Canara Bank

  • Lowest interest rate of 6.90% p.a.
  • No login-fees required.
  • Flat processing fees of 0.50% for home loans of any amount i.e. minimum Rs.1500/- and maximum Rs.10, 000/-.
  • Flat interest rates (as applicable) for any loan amount.
  • Lenient on the CIBIL scores.
  • Home loan available for all profiles.
  • Co-operative staff and personalized services.
  • Home loan and home loan transfers available for borrowers who have applied for moratorium during the covid-19 provided the basic requirement of minimum account balance is maintained.
  • Home loan available for all borrowers irrespective of their working sectors including the most affected sectors during covid19 which includes transport, aviation, tourism, hotels and restaurants, reality, construction, etc. provided the basic requirement of minimum account balance is maintained.
  • Flexible repayment options upto 30 years.
  • Pre-sanction of loan possible without having selected a property.
  • PMAY credit linked subsidy schemes available with subsidy upto Rs.2.67 lakhs.
  • Nil prepayment charges for floating interest rate home loans.

Canara Bank Home Loan Details

Being a government bank, the applicant feels secured for applying housing loan with
Canara bank. Below given are the details of Canara bank home loan.

Interest Rates:

  • Floating interest rates.
  • Interest rates start from 6.90% p.a.
  • Interest rates are linked to RLLR-Repo Linked Lending Rate.
  • Interest rates remain flat as applicable for any loan amount.
  • Since Canara bank is lenient on the CIBIL scores, interest rates differ with the risk grade which range from 6.90% – 8.90%.

Loan Amount: Minimum: NA, Maximum: 6x gross annual salary / gross annual income & Rs.15.00 lakhs for repairs / renovations.

Loan Tenure: Maximum up-to 30 years.

Eligibility Criteria:

  • Regular flow of income.
  • Within the age group of 21 years to 70 years.
  • Applicants above the age of 60 years are also eligible subject to certain stipulations.
  • Minimum 3 years work experience for salaried borrowers.
  • Minimum 3 years into business for self-employed.

Processing Fees: 0.50% on the loan amount or Rs.10,000/- whichever is low. Minimum processing fees is Rs.1,500/-.

Prepayment/Foreclosure Charges: Nil.

Loan To Value (LTV) Funding: Varies from 75%-90% depending upon the loan amount, market value of the property and the age of the property.

Home Loan Amount LTV % (On The Market Value Of Property)
  Property Age ≤ 10 Years Property Age > 10 Years
Upto 30lakhs 90% 75%
30lakhs – 75lakhs 80% 75%
75lakhs and above 75%  75%

Note: In case of Housing Loans where the cost of the project is upto Rs.10.00 lakhs, stamp duty, registration charges and other documentation charges can be included in the cost of the project for the purpose LTV ratio.

Documents Required: KYC, income documents and property papers. Additional LOD (list of documents), Outstanding Letter and 12 months repayment track record are required in case of home loan balance transfers.

KYC Pan Card, Adhar Card & Photograph
Income Documents  
For Salaried 4 months Salary Slips, 6 months Bank Account Statement, 2 years From 16.
For Self-Employed 3 years ITR with Saral Copy, Balance Sheet, P&L Account, Capital Account – CA certified with membership no. and UDIN No.
Property Papers Prior Chain of Agreement, OC/CC + approved plans, Index 2, Share Certificate, Society Registration Copy, Property Tax. 

Click for Home Loan documentations – For Salaried resale case & builder case, For Self-Employed- Proprietorship Firm resale case & builder case, Private Limited Company resale case & builder case, Partnership Firm resale case & builder case, NRI.

Click for Home Loan Balance Transfer documentations – For Salaried, For Self-Employed- Proprietorship Firm, Private Limited Company, Partnership Firm.

CLICK

TO TRANSFER YOUR HIGH INTEREST RATE HOME LOAN @ 6.90%p.a.

Canara Bank Eligibility Calculation

Canara bank keeps the eligibility calculation simple. 4 times of gross annual salary/gross annual income is the income eligibility of the borrower. At times 6 times of the gross annual income/salary may be considered for enhancement of the eligibility. The formula for calculation of the borrower’s income eligibility is as follows:

  • For Salaried Borrower
    Gross Annual Salary as per ITR X 4
    (4 times gross annual Salary as per ITR/ITAO of the concluded financial year).
  • For Self-Employed Borrower
    Average Gross annual Income of 4 years X 4
    (4 times of average gross annual income of all the four years in the case of individuals engaged in business or self-employed persons subject to production of documentary evidence regarding the gross annual income.)

Loan eligibility can be enhanced by adding income from other sources and by adding eligible income of the co-applicant.

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

CLICK TO CALCULATE YOUR EMI

Canara Bank Home Loan Schemes

Canara bank has a range of home loans to meet the requirements of borrowers. These are: Canara Housing Loan, Home Improvement Loan, Canara Site Loan, Canara Home Loan Plus, and Canara Home Loan For NRIs. Home loan interest rates of the bank are linked to RLLR – Repo Linked Lending Rate. RLLR of the bank is 6.90% w.e.f. 07.07.2020. The interest rates differ with the risk grade and range from 6.90% – 8.90%.

1) Canara Housing Loan

Canara housing loan is available for multiple purposes for purchasing a house,constructing a house, purchasing a plot, and renovating a house. It is available for borrowers with stable employment/business and income for at least 3 years. Special discounted interest rates are available for women borrowers. Below given is the interest grid for women borrowers and other borrowers according to their risk grade as on July 16, 2020.

CIC- Risk Grade RLLR Women Borrowers Other Borrowers
    Credit Risk Premium Over RLLR Effective ROI Under RLLR Credit Risk Premium Over RLLR Effective ROI Under RLLR
CS: 1 6.90% 0.00% 6.90% 0.05% 6.95%
CS: 2 6.90% 0.05% 6.95% 0.10% 7%
CS: 3 6.90% 0.45% 7.35% 0.50% 7.40%
CS: 4 6.90% 1.95% 8.85% 2.00% 8.90%
Note: For Housing loans under Commercial Real Estate (3rd & subsequent dwelling unit) the applicable rate shall be the above rate +0.50%

Note: Interest rates are subject to change as per RBI’s discretion without prior notice.

COMPARE HOUSING LOAN INTEREST OF TOP BANKS

2) Canara Site Loan

Canara site loan is a loan scheme available for borrowers for purchasing of housing sites from State Development/Town Planning Development authorities, Central and State Governments local authorities either exclusively or in partnership with private sector entities, or from any other body constituted by the Government for distribution of sites provided such layouts are duly approved by the concerned statutory authority. Additional housing loan can be taken for construction of house on the site. Takeover of loan is also allowed under this scheme provided the original loan is sanctioned for the mentioned purposes.

  • Eligibility: – Maximum age upto 60 years.
  • Eligible Applicant: – Salaried, Self-employed, Professionals & NRI.
  • Eligible Loan Amount: – Four years gross Annual salary/income OR 75% of the cost of the site/guideline value (whichever is less).
  • Repayment Tenure: – Whichever is earlier of
    – 10 Years OR
    – Maximum period permitted by the allotment agency for construction of house OR
    – upto 65 years of the borrower at the time of closure of loan.
  • Processing Fee: – 0.50% of the loan amount subject to a minimum of Rs.1,500/- and maximum of Rs.10,000/-.
  • Interest Rate: – Range from 7.95% – 9% p.a.
CIC- Risk Grade RLLR Credit Risk Premium Over RLLR Effective ROI Under RLLR
CS: 1 6.90% 1.05% 7.95%
CS: 2 6.90% 1.10% 8%
CS: 3 6.90% 1.60% 8.50%
CS: 4 6.90% 2.10% 9.00%

Note: Interest rates are subject to change as per RBI’s discretion without prior notice.

3) Home Improvement Loan

Home improvement loan is a loan scheme available for purchase of household appliances and for furnishing the house, such as refrigerator, fans, air conditioner/s, to put up wardrobes, etc.

  • Eligible Applicant: –
    – Salaried, Self-employed, Professionals & NRI.
    – Salaried minimum net take home salary should be 25% of the gross salary or Rs.2000/- after the deduction of EMI.
    – Self-employed & Professional should have a minimum annual income of Rs.50,000/-.
  • Eligible Loan Amount: – 1 year’s gross salary / income subject to maximum loan amount of Rs.2 lakhs.
  • Repayment Tenure: – Maximum upto 5 years.
  • Processing Fee: – 0.5% of the loan amount subject to a minimum of Rs. 1500/- and maximum of Rs. 10000/-.
  • Loan Disbursement: –
    – Loan amount is disbursed only after acquiring a ready built house or after completion of house construction or after completion of repairs & renovations, etc. – when the loan is availed along with a housing loan.
    – Loan amount is disbursed against proforma invoice, etc. – when the loan is not availed along with a housing loan.
  • Interest Rate: – Range from 9.40% – 11.45% p.a.
CIC- Risk Grade RLLR Credit Risk Premium Over RLLR Effective ROI Under RLLR
CS: 1 6.90% 2.50% 9.40%
CS: 2 6.90% 2.55% 9.45%
CS: 3 6.90% 3.05% 9.95%
CS: 4 6.90% 4.55% 11.45%

Note: Interest rates are subject to change as per RBI’s discretion without prior notice.

4) Canara Home Loan Plus

Canara home loan plus is a top-up facility available only for the existing housing loan borrowers of Canara bank who are having a satisfactory repayment track record for at least 1 year. The loan is available in the form of term loan of up to 10 years as well as overdraft of up to 3 years.

  • Eligibility: – Minimum age is 18 years and Maximum upto 60 years.
  • Eligible Applicant: – Only existing housing loan borrower having satisfactory repayment track record for at least 1 year.
  • Eligible Loan Amount: – Loan amount is subject to 75% LTV on the valuation of the property. 
    For Salaried – Loan amount is limited to 10 months gross salary subject to maximum Rs.25 lakhs.
    (Pre-condition- net take home salary shall not be less than 40%)
    For Self-employed – Loan amount is limited to 75% of 3 years gross income subject to maximum of Rs.25 lakhs.
  • Repayment Tenure: –
    For Term Loan – Remaining repayment period of existing housing loan or 120 EMIs, whichever is less. (Subject the loan is closed before 70 years of the age of the borrower).
    For Overdraft – 3 years.
  • Processing Fee: – 0.50% of loan amount subject to a minimum of Rs.100/- and maximum of Rs.500/-.
  • Interest Rate: – Range from 7.45% – 9.50% p.a.
CIC- Risk Grade RLLR Credit Risk Premium Over RLLR Effective ROI Under RLLR
CS: 1 6.90% 0.55% 7.45%
CS: 2 6.90% 0.60% 7.50%
CS: 3 6.90% 1.10% 8%
CS: 4 6.90% 2.60% 9.50%

Note: Interest rates are subject to change as per RBI’s discretion without prior notice.

5) Canara Home Loan For NRIs

Canara bank home loan is available for NRIs with a valid Indian passport. NRI home loan is available for purchase of ready built house, for construction of house, purchase of site and construction of house (subject to purchase of plot is restricted to 60% of the sanctioned loan amount), for undertaking repairs, renovation, expansion, upgradation and creation of additional amenities and balance transfer of home loan.

  • Eligibility: –
    – Minimum age is 18 years and Maximum upto 60 years.
    – Must have NRI status for 3 years.
    – Must have a valid Indian passport or foreign passports for PIO i.e. person of Indian origin.
    – Must have a steady source of income.
    – Must have 2 years minimum job experience with valid job contract and work permit.
  • Eligible Loan Amount: – Minimum: NA, Maximum: 6x gross annual salary / gross annual income & Rs.15.00 lakhs for repairs / renovations.
  • Repayment Tenure: – Upto 30 years.
  • Processing Fees: – 0.10% of loan amount subject to a minimum of Rs.500/- and maximum of Rs.10,000/-.
  • Prepayment/Foreclosure Charges: – Nil.
  • LTV Funding: – Varies from 75%-90% depending upon the loan amount, market value of the property and the age of the property.
Home Loan Amount New Property LTV % (On The Market Value Of Property)
    Property Age ≤ 10 Years Property Age > 10 Years
Upto 30lakhs 90% 80% 75%
30lakhs – 75lakhs 80%  80%  75%
75lakhs and above 75%  75%  75%
CIC- Risk Grade RLLR Women Borrowers Other Borrowers
    Credit Risk Premium Over RLLR Effective ROI Under RLLR Credit Risk Premium Over RLLR Effective ROI Under RLLR
CS: 1 6.90% 0.00% 6.90% 0.05% 6.95%
CS: 2 6.90% 0.05% 6.95% 0.10% 7%
CS: 3 6.90% 0.45% 7.35% 0.50% 7.40%
CS: 4 6.90% 1.95% 8.85% 2.00% 8.90%
Note: For Housing loans under Commercial Real Estate (3rd & subsequent dwelling unit) the applicable rate shall be the above rate +0.50%
  • Note: Interest rates are subject to change as per RBI’s discretion without prior notice.

Additional Read: Everything You Must Know About NRI Home Loans

Speak to our experts on 9321020476 or log on to https://www.loanfasttrack.com/ for additional details. You can also email on info@loanfasttrack.com.

Loanfasttrack is a direct sales associate with Canara Bank.

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, educational loans and loan transfers.

It also helps you:

√ To find the best bank for home loan

√ To get lowest home loan rates in Mumbai

√ To get an instant loan in Mumbai

√ To get instant personal loan in Mumbai & business loan in Mumbai

√ To make you qualify for the maximum loan against property eligibility

√ To get a low cost home loan balance transfer

√ To get assured low interest rates for loan against property in Mumbai

Additional Read:

Best Banks For Home Loan In India

by admin
Best Bank For Home Loan In India

(A Complete Guide For Home Loan)

The series of repo rate cuts by the RBI (announced in the monetary policies) during the corona-virus pandemic effect has reduced the home loan interest rates to an all time low of 10years, making it affordable for the people to purchase their dream house. The rates have fallen to as low as below 7%pa. Golden opportunity for the home buyers definitely not to be missed out for… 

A home buyer needs to compare and evaluate the following key facts of the various Banks/NBFCs to bang the best deal on a housing loan.  

  • Rate of interest (ROI)
  • Processing Fees (PF) and Other processing charges 
  • Loan processing time
  • The funding norms for Loan to value (LTV) 
  • Prepayment conditions and foreclosure charges
  • Documentation and services

With the lockdown being lifted in the many parts of the city of Mumbai, we have also resumed with our physical operations at Loanfasttrack. We assure safety while providing hassle free documentation at your doorsteps. With the constraints of limited working staff of the bankers, and the banks safety norms to disinfect the physical copies of the collected applications and documentations, we have temporarily revised the loan processing time by additional 7-9 working days. Loanfasttrack fully supports the bank’s safety norms and measures. 

Compare Home Loan Interest Rate Of The Top Banks

Interest rate offered is the primary factor for comparison of housing loans. It directly affects the EMI paying capacity of the home loan borrowers.

Bank  Home Loan Rate Of Interest (Min) Home Loan Rate Of Interest (Max) Processing Fees  
Canara Bank 7% (Woman Borrower) 7.25% 9.35% 0.10%-0.30% of the loan amount + applicable GST. Apply Now
ICICI Bank 7.70% 10% 0.30%-1% of the loan amount + applicable GST. Apply Now
HDFC  7.75% 10% Upto 0.50% of the loan amount + applicable GST. Apply Now
Piramal Housing 8.65% 10.50% 0.10%-0.50% of the loan amount + applicable GST. Apply Now
Axis Bank 7.75% 10% Upto 1% of the loan amount + applicable GST. Apply Now

Note: The rate of interest and the processing fees mentioned above in the chart are subject to change anytime without any prior notice. 

Besides the processing fees and the applicable charges, there are various other charges that make the total cost of the housing loan. Learn more on these charges click DON’T GET FOOLED !! MUST KNOW ALL COSTS IN HOME LOAN.

Which bank is providing the lowest interest rate on a Housing Loan?

As per the given rate chart Canara Bank among the nationalized banks & ICICI Bank among the private banks are giving the lowest interest rate for housing loan. The women borrowers can enjoy concessional interest rates on housing loans which are 0.10-0.20 paise lower to the standard interest rates. (Click to know Housing Loan Benefits For Women Borrower In India)The Covid -19 pandemic has made a strategic impact on the home loan mortgage industry of India resulting in the reduction of the housing loan interest rates to touch an all-time new low of 10years.  

best bank for home loan

Best Bank For Home Loan 

Here is a quick guide for those home buyers who are unable to decide which is the best bank for a housing loan. Although rate of interest remains the primary factor for comparison of the best bank for home loan; total costs involved, list of documents required, eligibility criteria, services provided, etc. are some of the other factors equally important to make a comparison. 

  • Home buyers looking for quick services and faster disbursement of loans along with low interest rates ICICI bank can be a better choice.
  • Home buyers feeling secured with nationalized banks, applying with Canara bank can be a preferred choice. 
  • Home buyers looking only for lowest interest rates @ 7% or below, Canara bank can be a better choice.
  • Home buyers earnings drawing minimum per month income or earning cash incomes, HDFC can be a preferred choice.

Home Loan Details

Home loan is a long term financial commitment of the borrower. It is a most common mode to raise the required funds to purchase a ready to move or under-construction residential property either in resale or from a builder.

Home loan gives with the benefits of extended loan terms i.e. the longer repayment tenures upto 30 years and flexible repayment options which includes zero pre & part payment charges and no locking preconditions on repayments. A home buyer has a liberty to choose among the home loan bank/NBFC of his choice. Best bank for home loan is available for every class of income earners be it professional, salaried, self-employed or even a daily cash income earner. 

A home loan comes with a choice for home buyers to select suitable interest rates for them. There are two types of interest rates:

1) Fixed Interest Rates:- In fixed interest rates, the interest rates remain fixed for the loan tenure or for the portion of the loan tenure depending upon the loan agreements of the banks. The fixed tenure and the interest rates vary from bank to banks. A home loan borrower can switch from a fixed rate to a floating interest rate anytime after the completion of the fixed tenure.

2) Floating Interest Rates:- In floating interest rates, the interest rates are not fixed and fluctuate according to the latest lending rates/base rate of the banks. The interest rates automatically get revised with the changes in the base rates of the banks. The floating rates are cheaper than the fixed interest rates and since they keep on varying i.e. fluctuating they are also referred to as variable or fluctuating interest rates.

Home Loan Criteria

Home Loan Criteria

Eligibility: A borrower with regular flow of income and within the age group of 21 years to 70 years. For salaried the age limit is 21yrs-60yrs and for self-employed the age limit is 21yrs-70yrs.

Loan Amount: The loan amount ranges from Rs.5lakhs to Rs.20crs.

Loan To Value (LTV): Varies from 75%-90% depending upon the loan amount and the market value of the property.

Loan Tenure: Ranges between 5years – 30years. 

Security: A property a home buyer plans to purchase, construct or renovate is taken as collateral for providing the home loan. It can be a resale or builder purchased residential property.

Interest Rates: The new home loan interest rates starts from 7%, special rates for women borrowers.

Lowest Per Lac EMI: Starts with Rs.665 for 30years.

Processing Fees: Starts from Rs.10, 000 – up-to 1% on the loan amount + applicable GST.

Other Charges: Legal charges, technical charges, administrative charges, franking & stamp duty charge, intimation to mortgage charge, etc.

Foreclosure Charges: Nil for variable interest rate home loans. Vary between 2%-5% on outstanding loan amount for fixed interest rate home loans.

CIBIL Score: Requires good CIBIL score of 750 and above.

Home Loan Products: Fixed rate home loan, floating rate home loan, home loan with overdraft facility, and home loan with saver plan. 

Types Of Home Loans: Home purchase loans, home loan balance transfers, home loan top-ups, NRI home loans, home construction loans, home extension loans, home improvement loans, home conversion loans.

Documents Required: Identity proof, Address proof, Income proof and Property papers. 

PMAY Benefits: Under PMAY (Pradhan Mantri Awas Yojana) schemes, all first time home buyers will enjoy interest rates subsidy amount up-to Rs.2.67lakhs on housing loans. 

 

Home Loan Eligibility

Home Loan Eligibility 

A home buyer can check his home loan eligibility for the best banks based on his income, age, current obligations, property valuation and LTV. For a salaried home buyer income eligibility is calculated at 60%-65% of the monthly net income and for self-employed income eligibility is calculated at 65%-70% of the net profit of the home buyer. By adding an earning co-applicant / co-applicants to the loan application the loan eligibility of the home buyer can be enhanced. Maximum up-to 6 members can be added as co-applicants to the loan. Banks have different criteria and specifications to calculate the eligibility of the home buyers such as, gross turnover product, banking surrogate, salary multiplier, etc. Click to learn more on the banking surrogate product of ICICI bank. The other factors equally important to determine a home buyer’s eligibility includes his CIBIL score, past repayment history and track records, his work experience, income history and job continuity, income stability, employment industry, his assets & liabilities, etc. High CIBIL score and stable job & income increases the chances of loan approval of the home buyers. Find below the list of the incomes which are not considered for the calculation of income eligibility of the home buyers.

Incomes which are not considered for eligibility calculation: 

  • Interest income received on the money lending business.
  • Overtime income of the salaried home buyers.
  • Part time income of the salaried home buyers working as a part time employee with yet another company.
  • Partner’s income in a partnership firm.
  • Interest income received on the fixed deposits and investments.
  • Pension income. (Considered only by a few nationalized banks and NBFCs only to an extent of 50% of the pension income drawn.)
  • A salaried home buyer also having a business income from only one head will be considered i.e. either salaried income or a business income.
  • Cash salary, cash rentals, cash agricultural incomes of the home buyers, which is not documented by legal proofs such as, salary certificate, bank statements reflecting the cash income deposits in the account, declaration on the letterhead of the company declaring the income, profile and experience of the home buyer, etc.

Income considered for eligibility calculation

All incomes which get legally reflected in the accounts of the home buyer can be considered for calculating his home loan eligibility, namely:

  • Salary, perks, incentives, bonus, gratuity, arrears, paid leaves.
  • Income from other sources such as, rental income, agricultural income, etc.
  • Cash income of the self-employed home buyer, if physical books of accounts are maintained provided such income is reflected in the ITR. 
  • Income of the co-applicant. (A co-applicant can be salaried, self-employed or even a company). Click to Know The Co- Applicant In Home Loan.
  • If the company is the co-applicant in the loan, net profit of the company will be considered.
  • Net income and profits of all the businesses of the self-employed home buyer.

Formula for calculating home loan eligibility

((Net income per month X 60% FOIR) – Obligation OR Deductions) ÷ Per lakh EMI subject to market value of the property i.e. LTV 

LTV – Market Value of the property X (60%-90%)

The lower figure between the two- i.e. income eligibility and the LTV factor of the property, will be the final home loan eligibility of the home buyer.

[FOIR means fixed obligation to income ratio, LTV means loan to value, Obligation Or deductions means EMIs of other loans if any]

Check Your Eligibility

Suggested Post: What Do You Mean By Loan Eligibility In Home Loan?

 

Home Loan EMI Calculator -

Home Loan EMI Calculator

The home loan EMI calculator makes personal budgeting easier for the home buyer as he can easily check how much EMI he can comfortably service with the help of the EMI calculator. The home loan EMI is dependent on three important factors, namely – borrowed principal amount, loan tenure and the rate of interest. Enter these details i.e. the required loan amount, loan tenure and the applied rate of interest on the EMI calculator, and the home buyer will come to know his EMI and the total interest payable till the loan tenure. 

Benefits of using online EMI calculator

  • The EMI calculator exactly shows how much EMI a home buyer has to pay as his monthly loan instalments.
  • It also gives an idea of the total interest payable till the loan tenure. This helps the home buyer to choose his preferable tenure for loan. For longer tenures higher will be the total interest payable and vice-a-versa. 
  • It is not easy for every home buyer to calculate his EMI using manual EMI formula. Manual EMI formula is complex. This increases the chances of wrong calculations, which will misguide the home buyers in taking the right decisions.
  • It saves time for the home buyer by calculating the EMIs in seconds.    
  • The home buyer can make the comparison on the multiple EMIs of the different tenures of the loans and rates and choose the EMI that best suits his budget.

Calculate Your EMI

Suggested Post: What Is Home Loan EMI?

Can a home buyer apply for a housing loan during the lockdown period? 

Yes, a home buyer can easily apply for a housing loan during the lockdown period through the bank’s online application process.   

Since the banks are not fully operational because of the lockdown restrictions and the lockdown still not been uplifted on some public transports banks have constraints on physical processing of the loan and are also experiencing delays in the loan processing. However banks have made it convenient for the home buyers to apply for a housing loan through their online portals. The home buyer can make his online home loan application with the desired bank, check his eligibility, compare and evaluate the key factors such as rate of interest, processing fees, etc. of the various banks on their respective portals while also checking on the best banks for providing best services during the lockdown period. The banks have further facilitated the online processing for the borrowers by allowing them to upload and submit the documentations online. The online applications with uploaded documents will be taken up for processing and with the successful verification the loan borrower will be provided with a provisional sanction letter. The physical processing, sanction and the disbursement of the loan will be possible only after the proper upliftment of the lockdown in the city. 

Apply For Home Loan

Know the best home loan interest rates, home loan eligibility, home loan in Mumbai and compare housing loans of various banks online on a single platform on https://www.loanfasttrack.com/. It is a user friendly platform providing detailed information, comparison and evaluation on the home loan process, documentation, eligibility, ongoing offers and key factors of rate of interest, processing fees, LTV, etc. from the top banks just at a single click. 

Factors to be considered by a loan borrower before applying for a housing loan during Covid-19

The pandemic that has affected almost all the sectors & trades in the country is having severe impacts on the earning capacities of the people. The lockdown has further worsened the situation affecting the pockets and the bank balances of the people. Under such circumstances providing a housing loan, at times proves risky for the banks. The home buyer therefore must remember the following important factors before applying for a housing loan with the banks especially during the period of Covid-19.    

  • Since the airlines, travel industry, hotel industry, real estate builders, diamond market, gold exporters, etc. are among the worst hit sectors, a home buyer working in these critical sectors with delayed payments or no income scenario might experience rejections to their loan application.
  • The home buyer working in these sectors therefore must maintain sufficient account balances, to suffice his income eligibility for housing loan. 
  • Home buyers purchasing an under-construction builder property must be careful in choosing the builder project. A project near to completion or 50% completion might be a preferred choice of funding for some banks over the projects with less than 50% completion status of the category B & C builders. Funding to under-construction projects <50% completion will be subject to scrutinizing the past records of the builders which includes the timely possession of his previous projects, defaults if any, etc. 

Additional read- Purchasing An Under-Construction Property? Here Are The Important Loan Facts You Must Know Before Making A Purchase.

  • For the home buyers who have availed the moratorium facility for their existing loans:
    In the event of no income earned – might face restrictions towards his housing loan application until the reflection of a regular flow of income in the accounts.
    In the event of income earned / sufficient balance in the accounts – after careful scrutiny goes for approval / rejections.  
  • Some banks have revised their criteria towards FOIR (fixed obligation against income ratio), capping on the loan amounts, minimum capping on the per month income of the applicant, etc. This might affect the loan eligibility of the home buyers.

 

Documents

Documents required for applying home loan

Home loan processing comprises of three processes:
a) Sanction process
b) Legal & Technical process
c) Disbursement process.

Below mentioned are the list of documents required for all the 3 processes of home loan for both salaried and self-employed home buyers.

A) Documents required for sanction process

For salaried home buyers

KYC

  1. Pan card copy of all applicants.
  2. Latest passport size colour photographs of all applicants.
  3. Residence proof – Copy of Aadhar card & electricity bill.

Financial Documents

  1. Latest 4 months salary slips.
  2. Latest 2 years form 16.
  3. Latest 6 months salary account statements.
  4. Latest 1 year bonus copy.
  5. For rental income receivable
    a) Copy of registered rental agreement.
    b) 12 months latest rental credit statement. 

Other Documents

  1. Bank form duly signed and all applicants. 
  2. Processing fee cheque in favour of bank.

For self-employed home buyers

KYC

  1. Pan card copy of all applicants.
  2. Latest passport size colour photographs of all applicants.
  3. Residence proof – Copy of Aadhar card & electricity bill.

Financial Documents

  1. 3 years latest financials of the applicant with Saral Copy, Balance Sheet, P&L account, Capital Account – CA certified with membership no. & USDIN no.
  2. Latest 3 years Form no-26 AS.
  3. Latest 1 year Copy of GST returns – 3B form.
  4. Latest 12 months bank account statement of the current account (if any).
  5. Latest 12 months bank account statement of all savings accounts.
  6. For rental income receivable:
    a) Copy of registered rental agreement.
    b) 12 months latest rental credit statement. 

Other Documents

  1. Business profile on the letter head of the company.
  2. Business proof – GST registration, Ghumastha or Copy of Aadhar Udoyg.
  3. Copy of contract letter if any.
  4. If home buyer is:
    a) Chartered Accountant – copy of COP & passing certificate.
    b) Doctor – copy of degree certificate.
  5. Processing fee cheque in favour of bank.
  6. Bank form duly signed and all applicants. 

B) Documents required for legal & technical process (For Salaried and Self-employed home buyers)

For resale property purchase

  1. Copy of draft agreement.
  2. Copy of prior chain of agreements.
  3. OC / CC + approved plan copy.
  4. Copy of index 2. 
  5. Latest property maintenance bill. 
  6. Copy of share certificate.
  7. Copy of society registration certificate.
  8. Property tax receipt.

For builder property purchase (with APF)

  1. Documents required for technical – cost sheet & approved plan copy from the builder.
  2. Documents required for legal – nill.

For builder property purchase (Non- APF)

  1. Documents required for technical – cost sheet & approved plan copy from the builder.
  2. Documents required for legal – copy of draft agreement from the builder.

On the basis of the draft agreement the banks seeks lawyers opinion on the non-APF project and the lawyer may demand additional documents from the builder which are:

  1. Sales Deed/Lease Deed/Development Agreement of the builder/society.
  2. If a development agreement is executed, power of Attorney from the Land owner.
  3. Chain of agreements from the previous landowner.
  4. Layout Copy.
  5. Approved Layout and building plans.
  6. Commencement Certificate from Municipal Council/Corporation.
  7. Completion Certificate.
  8. ULC Certificate for Clearance of land under ‘Urban Land Ceiling Act’1976.
  9. N.A permission and Latest N.A tax receipt.
  10. Property Card / 7/12 Extract.
  11. 6D Extract.
  12. 8 A Extract, if applicable.
  13. If the land is within the Survey Limits, collect the City Survey Extract instead of the 7/12, 6D, 8A.
  14. Title and Search Report.
  15. Copy of bye laws and registration certificate of the society in case the society is a registered  cooperative society.
  16. Index 2 issued by the sub registrar.
  17. Copy of Draft sale agreement.
  18. Partnership deed/MOA/AOA of the builder /Developer.
  19. Marketing Brochure / highlights of the project.
  20. Copies of Sanction plan with technical request.
  21. Carpet and Saleable area Statement.
  22. Public Notice and its objection if any.
  23. APF application form.
  24. Covering Letter indicating the LOD submitted.
  25. Cancelled cheques.
  26. Construction Schedule.
  27. Payment Schedule.
  28. RERA Certificate.

C) Documents required for disbursement process (For Salaried and Self-employed home buyers)

For resale property 

  1. Original copy of prior chain of agreement with stamp duty duly paid & registration done along-with index 2 and Occupancy Certificate/CC.
  2. Bank account statement for OCR proof.
  3. Original Copy of share certificate – if issued.
  4. NOC from society duly signed by chairman & society secretary.
  5. Seller documents – self attested pan card copy, aadhaar card copy, 3 months bank account statement & seller verification form.  
  6. Any other documents as required by the legal report and sanction conditions.
  7. Latest Property tax receipt copy.
  8. Copy of Society registration.
  9. Copy of mortgage intimation.
  10. If Seller BT – copy of Original LOD (list of document) & foreclosure letter is mandatory.
  11. For CIDCO/MHADA Propert
    a) Copy of conveyance deed, original NOC & transfer letter from
    b) CIDCO/ MHADA – if conveyance deed is executed.
    Copy of tri-party agreement & lease agreement – if conveyance deed is not executed. 
  12. 7-Security mandate cheques in favour of BANK.
  13. Docket kit duly signed by all applicants.

For Builder Property

  1. Original Agreement with index2.
  2. Demand letter from Builder.
  3. NOC from Builder.
  4. Bank account statement for OCR proof.
  5. ROC and Lien letter from Builder – if project is funded by the bank. 
  6. Payment receipt from Builder.
  7. Architecture report from Builder.
  8. Allotment letter or Possession letter from Builder.
  9. 7 security mandate cheque in favour of Bank.
  10. Docket kit duly signed by all applicants.

    Additional documents if the project is Non-APF
  11. Title search report.
  12. Any other documents as per the legal report of the property. 

Suggested Post:

Common home loan mistakes

Selecting the best suitable home loan is crucial for a home buyer. A wrong selection of the best bank for home loan and the suitable home loan product will cost the home buyer. Following are the common home loan mistakes that a home buyer commits.

  • Forget to make comparisons of offers from other banks.  
  • Wrong selection of home loan products.
  • Miss-out reading the fine prints i.e. the terms and conditions on the loan application form, offer documents and agreement papers. 
  • Do not collect the acknowledgment copy of the submitted documents.
  • Forget to take written communications from the banking representatives. 
  • Trusting the verbal promises made by the sales representative. 
  • Not carefully reading the offer documents and the application forms. 
  • Blindly signing the lengthy loan forms and agreements as suggested by the sales representatives. Blind signatures are consent of acceptance that authorises banks to cross sell. 
  • Apply for short repayment tenure on home loans to save on the interest cost and land up paying higher EMIs, which at times can be a wrong selection of the loan tenure.
  • Not knowing the other charges which cost a home loan.
  • Not having enough own contribution and expecting the banks to over-fund for the shortfall amount of OCR. 
  • Giving up on the job to become an entrepreneur, fails to produce business continuity proof and income stability proof to the banks which are mandatory for self-employed home buyers.  

Suggested Post: Everything You Must Know Before Applying For A Housing Loan

Reasons why a home loan gets rejected

The reasons for rejections of the home loan applications are case specific. Not qualifying for a loan or eligibility issue of the home buyer, property issues and non availability of documents are the broad reasons for home loan rejections. The home buyer has to be careful while applying for a housing loan. Multiple rejections of his loan applications may hamper his CIBIL score. (Know How Your Home Loan Inquiry Impacts Your CIBIL Scores)

Mentioned below are some of the reasons for home loan rejections.

  • Income eligibility of the home buyer.
  • Age of the home buyer.
  • Low CIBIL score of the home buyer (applicant) and or the co-applicant.
  • Negative profile, negative industry or negative business of the home buyer. 
  • Negative FI (first information) visit of the home buyer.
  • Home buyer who is a frequent job hopper.
  • LTV constraints on the property funding.
  • Black listed property, project, area, builder or developer.
  • Builder not approved or the project of the builder is not approved.
  • Loan defaults & unpaid dues of the home buyers. 
  • Black listed countries such as Pakistan, Afghanistan, Nigeria, Bhutan, China, Nepal, Bangladesh, Sri Lanka, Iran, North Korea (Democratic People’s Republic of Korea), Cuba, Syria, Sudan, and Crimea Region of Ukraine, Macau, Hong Kong for NRI funding for home loans.
  • Property legal issues such as unclear title, suit filed on the property, property not registered, stamp duty not paid, etc. 
  • Technical issues in the property such as property valuation, illegal construction, illegal extensions, age of the property, etc. 
  • Multiple funding of properties. Some banks have restrictions on funding on the number of properties of the home buyers.
  • Processing fees cheque bounce. Home buyer having insufficient account balances in either of his accounts or subsequent accounts of the co-applicants towards the deduction of processing fees on the home loan.  
  • End-use for the home loan top-up amount is not justified. Home buyers must hold a valid reason for applying a top-up on home loan. Valid reasons are- for children education, marriage, home renovation & repairs, business expansions, etc. According to the banking norms a top-up amount cannot be utilized for trading and investments in stock markets, mutual funds, buying a chawl property, to start new business, etc.    

Dealing with increasing interest rates

With changing economic conditions and inflation in the country the Reserve Bank of India keeps altering the repo rates for the banks. The alteration in the repo rates have a direct impact on the lending rates of the banks which further fluctuates the interest rates for home loans. With reduced repo rates home loan becomes cheaper for the home buyers and the home loan borrowers and vice-a-versa. While the hike in the interest rates is immediately implemented by the banks, the benefits of the reduced interest rates are not transferred to the home loan borrowers, and if transferred they are transferred with delays. Therefore if the interest rate of the home buyer is not changed irrespective of the reduction in the interest rates by the banks, it probably is a time for the home buyer to refinance his loan. Refinancing means transferring a high interest rate home loan to a low interest rate home loan of the another bank. Click to read more on refinancing. 

Learn the other ways to tackle the increasing interest rates of home loans, read our post Know How To Deal With The Increasing Interest Rates Of Housing Loans.

Magento 2 FAQ Extension

Home Loan FAQ

> What are the current housing loan interest rates in India?

Present housing loan interest rates in India range in 7.00% to 12.00%.

> What is the right time to apply for a home loan?

  • The right time to apply for a loan is after identifying the property and before finalizing the property.
  • Before identifying the property, apply for a pre-sanction loan to know the loan eligibility.

> Is Co-applicant mandatory for home loan? 

No. A co-applicant is not mandatory for home loan. But banks insist on having a co-applicant in the loan application. A co-applicant is the co-borrower for the loan and is equally responsible for loan repayment along-with the primary borrower.

> Who can be a co-applicant?

  • The co-applicant can be a spouse, parents, children (not minors), siblings who are in blood relation with an applicant. 
  • Co-applicant can be salaried/ self-employed/ pensioner/ housewife/ student and even a company.
  • All property co-owners mandatorily have to be the co-applicants to the loan.

> How to increase loan eligibility?

  • By adding an eligible co-applicant to the loan.
  • By adding variable income from other sources such as perks and reimbursements from the company, rental income, agricultural income, etc.
  • By repaying existing obligations such as a personal loan, business loan, consumer loan, car loan, outstanding dues on credit card, etc.

> What is the turnaround time for loan processing? 

  • For loan sanction process (5-15 working days) 
    For salaried home buyers: 5-7 working days.
    For self-employed home buyers: 10-15 working days.
  • For Disbursement (3-15 working days)

> What are the income tax benefits on home loan? 

Tax exemptions are available for:

  • Principal amount repaid up-to 1.5lakhs in a year. (under section 80C of the income tax act)
  • Interest paid up-to 2lakhs in a year. (under section 24b)

> Is there any Lock-In period for home loan?

There is no lock-in period for home loans with floating interest rates. For home loans with fixed interest rate lock-in periods may vary from bank to bank, which can be 1year, 3years, 5 years, 7years or 10years.

> What is better: a fixed rate home loan or a floating rate home loan?

A home buyer has to choose a home loan that best suits him. A fixed interest rate home loan secures from any fluctuations of interest rates in the markets while a floating interest rate home loan allows enjoying the benefits of reduced interest rates.

  • A fixed rate home loan is preferable when a home buyer knows – there will be a significant increase in the interest rates in the near future.
  • A floating interest rate is preferable when a home buyer assumes the interest rates to fall in the near future.

> Does switching from fixed rate to floating rate home loan, is allowed?

  • Switching the interest rate within the bank.
    Banks allow a home buyer to switch to a floating interest rate anytime during the tenure of his fixed interest rate home loan by paying a small fee. 
  • Switching the interest rates by switching the bank
    Not allowed till the lock-in tenure.
    Allowed in the lock-in period by paying a prepayment penalty which ranges from 2%-6% on the outstanding loan amount.

> What is the EMI for a 25lakhs home loan?

Per lakh EMI for 25lakhs home loan at the latest interest rate of 7.00% pa is:

  •  Rs.665/- for 30 years.
  •  Rs.775/- for 20 years.

Total EMI payable will be Rs.16, 633/- for 30 years & Rs.19, 382/ for 20 years.

> How to reduce home loan interest rates? 

> What is the difference between EMI and Pre-EMI?

Pre-Emi refers to the interest paid on the partial disbursements of home loan amount. The pre-EMI period is not a part of the loan tenure. 

EMI refers to a fixed amount paid to the bank towards the repayment of the housing loan. The fixed amount comprises the interest amount and the principal amount which are structured in a way that in the initial years of the loan, the interest component is much larger than the principal component, while towards the latter half of the loan, the principal component is much larger.

> Which banks give the cheapest home loan?

The Canara bank is providing the lowest interest rate for home loan which is @ 7%, followed by ICICI bank & HDFC bank. Even after evaluation the processing fees and other charges on home loan Canara bank is providing the cheapest home loan. 

> What are the stamp duty charges on home loan?

The stamp duty charge of 0.20% on the home loan amount needs to be paid to the government before taking the disbursement of the loan.

> Can a borrower apply for a top-up loan? What will be the interest rate for a top-up loan?

Yes, a borrower can apply for a top-up loan provided he has made the timely repayments of his loan EMIs. A top-up with the existing bank can be obtained with minimum documentation, but the interest rates on top-up loans are comparatively higher than the home loan rates by 0.25% – 1%.

However a top-up loan applied along-with the balance transfers to the new banks, the top-up rate will be similar to the new home loan rates.

> Can a borrower transfer his home loan to another bank?

Yes. A borrower can any time during his loan tenure of floating interest rate home loan transfer his loan to another bank. Balance transfer is done:

  • To enjoy lower interest rates on home loan.
  • To get longer repayment tenures.
  • To shift from fixed rate to floating rate home loan.
  • To apply for a top-up loan at the same rate of home loan.

Apply for Balance transfer @ Zero processing fees  – CLICK HERE

> What are the charges for switching the loan to the new bank?

Switching a loan to a new bank means the loan will be treated as a fresh home loan. A loan borrower has to once again pay all the relevant charges for loan namely- processing fees (0.10%-1% on the loan amount), administrative cost, legal & technical cost, stamp duty cost of 0.20% on the loan amount, etc. 

 To know all costs in home loan – CLICK HERE                                  

> Can a borrower repay his loan ahead of schedule? What are the charges if any?

Yes. A borrower can repay his loan ahead of schedule by making lump sum payments towards part or full prepayment of the loan amount.
No lock-in period and nil Pre & part payment charges – for floating rate home loan.
Lock-in period + pre & part payment charges applicable – for fixed rate home loan.

> What do you mean by “Power of attorney” in NRI home loans?

A power of attorney allows a person/NRI to grant another person the right to make decisions regarding the person’s assets, finances and real estate properties, in the absence of the NRI.  

Know more on NRI home loans. Click Here

Click to get the NRI list of documents for applying for a home loan.

> Is it mandatory to apply for mortgage intimation?

Intimation to mortgage is a new process introduced & practised only in the state of Maharashtra. It means intimating the sub-registrar office within 30 days of the loan taken by the borrower in the bank’s prescribed format. An mandatory cost of Rs.1300 towards notice of intimation is applicable to all home loan borrowers. Failure to intimate the sub-registrar will cost the borrower a penalty of 1% on the loan amount by the state government. 

> Can a home buyer apply for a home loan during the lockdown?

A home buyer can apply for a home loan during the lockdown, hassle free on https://www.loanfasttrack.com/home-loan/apply-online-now.html

> Why choose Loanfasttrack?   

If you are worried how to apply for a home loan during the lockdown, Loanfasttrack is the answer to your worry. 

If you want to transfer your home loan to get the benefits of the new low interest rates @ 7% and below, Loanfasttrack is your guide. &

If you are looking for a genuine service provider in Mumbai, Loanfasttrack is at your service. 

Reach us on https://www.loanfasttrack.com/. Loanfasttrack will provide you hassle free services at your doorsteps with comparative evaluations of more than 13+ top banks, with no additional cost. You can also contact us on 9321020476 or email on info@loanfasttrack.com. 

About Loanfasttrack– 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, educational loans and loan transfers.

It also helps you:

√ To find the best bank for home loan

√ To get lowest home loan rates in Mumbai

√ To get an instant loan in Mumbai

√ To get instant personal loan in Mumbai & business loan in Mumbai

√ To make you qualify for the maximum loan against property eligibility

√ To get a low cost home loan balance transfer

√ To get assured low interest rates for loan against property in Mumbai

Related Blogs

Everything You Must Know Before Applying For A Housing Loan

by admin

Home loan is a long term financial commitment. And therefore before applying for a home loan it is important that you gain the required knowledge to avoid facing difficulties later and refrain taking wrong decisions. By knowledge it means knowing the home loan process, its time duration, list of documents required, charges involved, OCR contribution, lending criteria, eligibility norms, understanding the importance for property legal and technical, etc. Insufficient information on this may create frustration and may hinder the smooth processing for the loan causing unwanted delays in the process. Also at times missing out on disclosing important information to lenders- banks/NBFCs may also result in unwanted loan rejections. It is therefore important to be true to the lending institutions if you wish to have a hassle free loan processing of your housing loan. 

The process for applying a secured loan like a housing loan is a time consuming process and it takes nearly 15-20 working days for a loan to get disbursed. Below mentioned are some of the vital aspects you must know before applying for a housing loan.

1- Importance of Pre-Sanction Loan. 

Do not commit mistakes like Mr. Roy, who booked a property valued at 1cr while his loan eligibility stood only at 60lakhs. Frustrated, Mr. Roy kept running to the lenders but finally faced rejections from all lenders. Unlike Mr. Roy, it is important that you know your loan eligibility prior before finalizing the property. The most convenient way to know your exact eligibility is to apply for a pre-sanction loan. A pre-sanction loan refers to a loan sanctioned to you only on the basis of your financial credentials. It holds validity for 6 months. The lender might charge you a nominal fee for a pre-sanction letter. A pre-sanction reduces your chance of ineligibility and you exactly know how much loan you can draw and which property you can afford to book. 

On receiving the sanction letter the first thing you need to do is read the page for any special terms & conditions. These special conditions are referred to as PSD conditions on which the lender agrees to sanction your case. Say for example: account opening, loan closure conditions, LTV percentage, repayment conditions or case-specific conditions such as latest salary credit, updated bank account statement,co-applicant addition, etc.  which are written by the credit manager. If you disagree or wish to sort any clarification on the mentioned terms & conditions coordinate with the sales manager. 

Additional Read: How To Read Home Loan Sanction Letter Of Bank.

2- Emphasize on written communications.

Do not trust the verbal promises made by the sales team. At times it may be a gimmick to increase their sales number. It is therefore important that you insist on having written communications especially via electronic mails over verbal conversation regarding the loan processing, documentation required, total loan processing charges, etc. along with any waiver promised on fees or documentation.

3- Maintaining transparency.

Maintaining utmost transparency with the bankers will result in quick and smooth processing for your loan application. It is expected you disclose all the relevant and important information to the bankers which is crucial for the loan application such as your job credentials-profile/job change/job loss/demotion/promotion, income credentials-increment/bonus/perks/salary cut, CIBIL score, co-application information, credit card overdue, loan default, delayed payments, EMI bounces, property related issues-title issues/transfer issues/unavailability of property papers, etc.  Miscommunications, misleading information or missing out the vital information may cause unwanted delays in processing and increases the chances of loan rejections. The most common thing observed is not talking about your CIBIL score. By hiding your low CIBIL score does not mean your lender will not come to know. The lender only after scrutinizing your CIBIL and past repayment track records approves your housing loan. (Read more on CIBIL And Its Significance In Home Loan).Any lame excuses for the low scores are not justifiable and therefore it is important you give accurate information to your bankers which will save precious time for both. 

Also give clarity to the lender of your intentions (if any) to apply with multiple banks to secure low interest rate housing loan. This creates an opportunity to bang a home loan with low rates. 

Additional Read: Know How Your Home Loan Inquiry Impacts Your CIBIL Scores

4- Loan processing charges. 

Know all your loan processing charges till disbursement well in advance. Take a written confirmation from the banker through email on the various charges for your loan processing. Most of the heating arguments with the bankers occur only due to the non-clarification on the fees charged. It is therefore important that you remain updated with all such charges involved till disbursement which are processing fees + applicable GST, administration cost, legal and technical cost, stamp duty, franking, resale affidavit, MOD charge, etc. (read to get detailed information on costs involved on- DON’T GET FOOLED !! MUST KNOW ALL COSTS IN HOME LOAN). Keep an official record of the various cash back and fees waiver offers from the lender (if any). This will ensure the lender values his promised offers.  

5- Property Documentation

It is unusual that you have an in-depth knowledge on all property papers unless you are a person of the same field. This many times is a cause of the problem especially in the case of resale property purchase. The builder properties on the other hand have simple documentation – agreement copy, OC and CC + approved plans & builder NOC which are the only documentation required to disburse a builder case home loan. The resale transaction however involves an additional set of documents apart from the agreement, OC/CC and the plan copy, the list of which is mentioned below. 

i) Set of prior chain of agreements

ii) OC copy

iii) CC + Plan Copy

iv) Society Registration Copy

v) Share Certificate

vi) Title Search report (to be done before purchasing a property)

vii) 7/12 of the property

viii) Encumbrance Certificate

ix) For CIDCO/MHADA property

  • Copy of conveyance deed, original NOC & transfer letter from CIDCO/ MHADA – If conveyance deed is executed.
  • Copy of tri-party agreement & lease agreement – If conveyance deed is not executed.

Unknown to the documentation, sometimes you proceed for registration without actually knowing the property’s track record and the ownership titles. Any discrepancy in the property papers will reject your home loan application on legal grounds. It is therefore suggested to get the legal and technical done for the property before finalizing the same. Only after legal and technical clearance of the property it will be safe for you to invest your lifetime earnings.

6- Importance of RERA and APF in builder property.

RERA stands for Real Estate (Regulation And Development) Act. It was introduced to safeguard the interest of the home buyers. The RERA registration is mandatory for all builders. Therefore look only for the RERA registered projects and builders, this will safeguard you against the malpractices of price exploitations and delayed possessions. 

APF stands for Approved Project Financials. The lender banks/NBFCs provide APF to the developer/project owner/builder who has all the necessary approvals for their project. The APF approval is provided after the clearance of the mentioned documents from the builders which are legal papers, government clearance, title deeds, approved plans, sale deeds, land approvals from the concerned authorities, clearance from forest/pollution/electricity and fire, etc. The lender then issues a APF number to the developer/builder. The APF ensures the credibility of the builder and provides surety that your investment is safe and guarantees the timely possession of the project.  

7- Payment towards property TDS 

In resale property purchase, you (the buyer) are liable to pay 1% TDS on the total sale considerations above the value of Rs.50lakhs (TDS is not applicable for sales considerations below Rs.50lakhs). The TDS amount is to be deducted from the sale consideration payable to the seller of the property and is deposited in the government’s account as per the income tax act by filling form 26QB for online payment of tax on the e-tax payment portal of the government. A downloaded copy of the submitted form 26QB is mandatory to disburse your loan, which needs to be submitted to your lender.   

Since the TDS amount is deducted from the sale considerations payable to the seller, the said amount can be clubbed to your OCR- i.e. own contribution amount. 

If your seller is an NRI, you have to deduct a TDS of 20%-30% on the total sale consideration from the amount payable to the seller. (for more information on NRI home loans read “Everything You Must Know About NRI Home Loans”)

8- Understanding Pre- EMI 

You need to repay your housing loan through equated monthly instalments auto debited from your bank accounts. The lender offers you a choice to select the EMI dates either 1st, 5th or10th of every month. If your housing loan is disbursed on any other dates other than the dates of EMI cycle, the lender will charge you per day interest on the loan amount till your EMI date. Say for example, if your loan is disbursed on 25th June and your EMI date is 5th, then you will have to pay interest to the lender from 25th June to 5th July on the total loan disbursement. This interest charge is termed as Pre-EMI.

Additional Read: IS PRE – EMI BETTER THAN FULL EMI. FIND OUT YOURSELF.

Related Blogs:

If you are looking for housing loan guidance for your property purchase in Mumbai, visit Loanfasttrack on https://www.loanfasttrack.com/. Loanfasttrack provides you hassle free services at your doorsteps with comparative evaluations of more than 13+ top banks, with no additional cost. You can also contact us on 9321020476 or email on info@loanfasttrack.com. 

About Loanfasttrack– 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, unsecured business loans, home loan transfer, top-up loans, car loans, educational loans and loan transfers.

It also helps you:

√ To find the best bank for home loan

√ To get lowest home loan rates in Mumbai

√ To get an instant loan in Mumbai

√ To get instant personal loan in Mumbai & business loan in Mumbai

√ To make you qualify for the maximum loan against property eligibility

√ To get a low cost home loan balance transfer

√ To get assured low interest rates for loan against property in Mumbai

Home Loan Refinancing In India: Things to Know Before Applying For Refinancing

by admin
Home loan refinancing

Are you still paying a high rate of interest on your home loan? Are you unsatisfied with the services of your existing lender? Does your existing rates remain unchanged even after a change (reduction) in the banks lending rates over the Coronavirus effect? Then probably it is time to refinance your home loan. 

Important Highlights

  • Home loan refinancing gives you a opportunity to: 
  • Enjoy lower interest rates.
  • Enjoy longer repayment tenures.
  • Transfer fixed interest rate loans to floating interest rates loans and vice-a-versa.
  • Get top-up at lower interest rates.

What Is Home Loan Refinancing? 

Refinancing means financing again. And hence home loan refinancing means financing of your home loan once again. In simple terms, the process of shifting your home loan from existing lender to a new lender is called as home loan refinancing. Refinancing helps to reduce your monthly EMI by saving on your per month interest outgo with the new reduced rate of interest from the new lender. Home loan refinancing is also referred to as home loan balance transfer or simply home loan transfer or home loan switch in the home loan/mortgage industry.   

There are various service providers who guide you in your home loan refinancing.  But choosing one that is knowledgeable also fully equipped and trustworthy, can save your time and money. Loanfasttrack is therefore a preferred choice of many home loan borrowers.  It provides a comparative evaluation of the rates, processing fees, etc. of the top banks at just a single click. Amazing discounts available for home loan refinancing cases. Hassle free services & free services – no cost is the slogan of the company. 

Benefits Of Home Loan Refinancing

Once you have decided to transfer your loan with a new lender, it is important to compare the rates, offers, and charges of the various lenders. You must evaluate the option before switching the loan to a new lender. At times home loan transfers come with an offer of zero processing fees, especially during festivals and at financial year closing of the lenders. Below given are the vital benefits of home loan refinancing.

1- Switching the loan helps to reduce the current interest rates 

Home loan is a long term financial commitment. Any change in the interest rates of the lender, will substantially change your interest amount and the EMI outgo. The home loan refinance gives you the opportunity to shift your loan with a high rate of interest to a lower rate of interest. Since home loans are taken for longer tenure, there always is a chance for the interest rates to fluctuate. A reduction in the repo rate reduces the lending rates of the lenders. However you are less benefited from the reduction in the rates as the benefit of lower rate is generally not transferred to you and if transferred it is a delayed process and is also not as per the industry standards. At times the lenders also charge you with a conversion fee in order to reduce your existing rate of interest. 

If you get any unsatisfactory response from the existing lender towards your request for the rate change, then it is a time for you to explore a new lender who is standing at your door with a better deal offering low interest rates and prompt services; switch your loan to this new lender.  

Additional read: Know How To Deal With The Increasing Interest Rates Of Housing Loans

2- Top-Up loan opportunity 

The home loan refinancing facilitates you with an opportunity to avail additional loan over and above your existing outstanding loan. This is called a top-up loan and is offered at the same interest rates as home loans. A top-up loan is offered for maximum loan tenure of 15 years. A top-up fulfils your immediate fund requirement and is therefore a more preferred option than other types of loans such as personal loans, business loans or mortgage loans. Also the rate of interest for top-up loans is competitive than other modes of loans. Hence a top-up loan can be applied to close your high interest rate secured or unsecured loan such as personal loan, consumer loan, credit cards, car loan, etc. and thereby reduce the monthly EMI obligation.  

Condition to avail a top-up loan:

1) Your income must suffice to be eligible for additional loan.

2) The top-up amount is subject to the market value of the property i.e. the LTV (Loan To Value) criteria of the lender. Maximum LTV taken is 80%.

3) Lower figure among 1 and 2, will be your top-up loan eligibility. 

For Example – If the market value of the property is 70 lakhs, loan taken is 50 lakhs, loan amount repaid within 2 years is 10 lakhs and the current outstanding loan amount is 40 Lacs, the top-up loan eligibility as per the LTV norms will be as follows.

70lakhs * 80% = 56lakhs – current outstanding loan amount of 40lakhs = 16lakhs.

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

3- Opportunity to switch to fixed rate of interest from floating rate of interest

You as the loan borrower reserve the right to select the desired interest rate (either fixed or floating) for yourself while applying for a housing loan with a lender. However over a period of time your preferences might change from a fixed rate to floating rate and vice-a-versa. Considering the current effect of pandemic Covid-19 on the mortgage industry in India, the lending rates and housing loan interest rates have reduced to the 2005 lending rates in India. This opportunity for securing lower interest rates has changed the preferences of many loan borrowers to switch to fixed interest rate housing loans. If there is no corresponding offer from the existing lenders allowing you to shift to fixed interest rates you can grab the opportunity of home loan refinancing. In fixed rate loans, the interest rates are fixed for 1 year/3years/5years/10 Years. 

4- Get longer repayment tenures

If for any reasons you find difficulty in paying the existing high EMI’s you may request your lender to increase your loan repayment tenure. Increased loan tenure will give substantial relief in the EMI amount and will ease your financial burden if any. However if your existing lender puts restrictions on extending the tenure or refuses to increase, you can go for home loan refinance. Home loan refinance not only increases your loan tenure but also offers you with low interest rates.

5- Tax Benefits

You can continue taking the tax benefits even after applying for home loan refinancing i.e. up-to Rs.1.5lakhs in a year towards the principal amount repaid (under section 80C of the Income Tax Act) and Rs.2lakhs per annum towards the interest paid (under section 24). 

Other Reasons To Opt For Home Loan Refinancing

  • Unsatisfactory services from the existing lender.
  • Not issuing home loan statements on time. 
  • Poor customer care responses and services.
  • Slow in reacting to the changes in the interest rates. 
  • Your changed financial conditions such as decrease in income, burdens of additional responsibilities, etc. which in turn affects your ability to service the EMIs.
  • When you wish to reduce your loan tenure and the existing lender is reluctant for a tenure change.

Pre-Conditions To Apply For Home Loan Refinancing

Following are the important pre-conditions to remember in order to apply for home loan refinancing.

  1. Timely repayment of your EMIs. 
  2. Clear repayment track records required. Good track record of all existing loans is required.
  3. No latest delayed payments within 12 months.
  4. No latest EMI bounces within 12 months.
  5. No unpaid dues or pending dues. 
  6. Good CIBIL score of 750 and above.
  7. Home loan must be at least 6 months old. 
  8. Minimum age criteria to apply is 21 years while the maximum age criteria is 60 years.

There are lenders who transfer loans only on the basis of your 12 months repayment track record. For example – ICICI bank’s Express BT (Balance Transfer) product.

Documents Required For Home Loan Refinancing 

Checklist for Loan Sanction KYC

  1. Latest passport size colour photographs of all applicants. 
  2. Pan card copy of all applicants.
  3. Residence proof – copy of aadhaar card, passport & electric bill.
  4. Application form duly signed by all applicants.

Financial Documents

I) For Salaried Customers

  1. Latest 4 months salary slips.
  2. Latest 6 months bank account statement (salary reflection). 
  3. Latest 2 years Form 16.
  4. Latest 1 year bonus copy- if any.
  5. For rental income receivable- if any:
    (a) Copy of registered rental agreement.
    (b) Latest 1 year bank account statement reflecting the rental credit.
  6. Latest 2 years ITR copy– for agricultural income receivable if any.
  7. If joining new company 
    (a) Copy of joining letter/ appointment letter/ offer letter of the new company.
    (b) Copy of resignation letter.
    (c) Reflection of One month salary credit in bank account statement.
  8. A Cheque towards the Processing fees of the bank/NBFC.
  9. Other important documents for transfer:
    (a) LOD (list of documents) from the existing loan bank.
    (b) Repayment track record for 18 months.
    (c) Outstanding letter copy from the existing loan bank.

II) For Self-employed 

  1. Last 3 years financials of the applicant including Saral Copy, Balance Sheet, P&L account, Capital Account & tax audit report (if applicable) – CA certified with membership no. and UDIN no.
  2. Latest 12 months bank account statement of the current account.
  3. Latest 12 months bank account statement of all savings accounts.
  4. Latest 3 years Form no-26 AS.
  5. Latest 1 year copy of GST returns – 3B form.
  6. For rental income receivable- if any:
    (a) Copy of registered rental agreement.
    (b) Latest 1 year bank account statement reflecting the rental credit.
  7. CA certified debtors & creditors statement aging for 1 year.

Other Documents

  1. Business profile on the letter head of the company.
  2. Business proof – GST registration, Ghumastha or Copy of AAdhar Udyog.
  3. Copy of contract letter if received any contracts.
  4. If proprietor profile is:
    (a) Chartered Account (CA) – Copy of COP & passing certificate.
    (b) Doctor – Copy of Degree Certificate.
  5. Details of all existing loans along with the sanction letters (for calculating loan obligation).
  6. Transfer Documents:
    (a) LOD (list of documents) from the existing loan bank.
    (c) Repayment track record for 18 months.
    (d) Outstanding letter copy from the existing loan bank.
  7. Processing fees cheque in favour of the bank/NBFC.

Checklist for Legal & Technical of the property

  1. Copy of Prior chain of agreements.
  2. Copy of Index 2.
  3. Copy of latest property tax receipt.
  4. OC/CC + approved Plan copy.
  5. Copy of Share certificate.
  6. Copy of society registration. 
  7. LOD copy.

Checklist for Disbursement Process

  1. Original prior chain of agreement with stamp duty & registration duly paid & along with the copy of index 2.
  2. OC Copy.
  3. Original share certificate (If Issued).
  4. Latest property tax receipt.
  5. Society registration copy.
  6. Docket kit duly franked and signed by all applicants.
  7. 7- Security cheques in favour of the Bank.
  8. Administration Fees clearance by cheque or DD-demand draft.
  9. Facility agreement duly franked and signed by all applicants.
  10. Copy of BT draft agreement duly franked and notarized and signed by all applicants.
  11. NOC from Builder.
  12. NOC from society with chairman and secretary signature.
  13. Original copy of LOD & Outstanding letter.
  14. For CIDCO/MHADA Property
    (a) If conveyance deed is executed- copy of conveyance deed & original NOC & transfer letter from CIDCO/ MHADA. 
    (b) If conveyance deed is not executed – copy of tri-party agreement & lease agreement.
  15. Any other documents as per:
    (a) Credit Manager’s requirement.
    (b) Property Legal report.
    (c) Sanction condition on sanction letter.

Conclusion 

To conclude, a natural temptation to opt for the better deal on the interest rate, services and tenures is what urges you to opt for home loan refinancing. But before opting, you must secure clarity on the charges involved in processing which are processing fees, administration & legal and technical charges and other charges as applicable on home loan refinancing. Be aware of the fact that the new lender will treat your request as a fresh home loan and you will have to go through the entire loan procedure once again i.e. the loan sanction process, FI visits, credit appraisals, legal and title search for the property, property technical and valuations, etc. 

Remember don’t refinance your home loan if:

  • The refinancing costs are not justified.
  • You are nearly through with your loan repayment. Refinancing is generally not advisable after 5-6years of the loan repayment because in the initial period you already pay a substantial portion of the interest amount.   

In the home loan/mortgage industry, the term home loan refinancing is also used in one more context i.e. the funding provided on the already purchased residential builder property. This is also termed as home loan refinancing. Read our previous blog Home Loan Refinancing to know more about it.

Related Blogs:

If you are looking for genuine service providers in Mumbai to help you refinance your home loan, visit us on https://www.loanfasttrack.com/. Loanfasttrack will provide you hassle free services at your doorsteps with comparative evaluations of more than 13+ top banks, with no additional cost. You can also contact us on 9321020476 or email on info@loanfasttrack.com. 

About Loanfasttrack- 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, unsecured business loans, home loan transfer, top-up loans, car loans, educational loans and loan transfers.

It also helps you:

√ To find the best bank for home loan

√ To get lowest home loan rates in Mumbai

√ To get an instant loan in Mumbai

√ To get instant personal loan in Mumbai & business loan in Mumbai

√ To make you qualify for the maximum loan against property eligibility

√ To get a low cost home loan balance transfer

√ To get assured low interest rates for loan against property in Mumbai