Home Loan at lowest rate of interest starting from 8.25% PA. This rate of interest is applicable to Home Loan, Purchase of House, Construction of House, Balance Transfer, Home Renovation from various banks like HDFC Bank ICICI Bank, Axis Bank, State Bank of India, Federal Bank, Punjab national Bank. etc.
Home loan for low rate of interest Banks and NBFCs offer a wide array of home loan products to choose from. Depending on the customers’ requirements and purpose, home loans can be classified into the following types.
Home purchase loan in Bangalore helps individuals by providing funds to buy a house. You can avail the benefits of home loans anytime, provided you fulfill the basic criteria.
Home Loan Eligibility Structure
You’re probably eligible for a Home Loan in Bangalore if you are:
- At least 21 years old and less than 65 years old
- Salaried or Self-employed
- Earn more than the minimum income required
- Home loan lenders take various factors into consideration before approving your home loan. The banks and NBFCs make sure that the Equated Monthly Installments is limited to about 50% of the monthly income. Usually, the loan approved to you is capped at 75% – 85% of the property value. While computing your home loan amount eligibility, the EMIs of other ongoing loans if any are also taken into account.
- One of the ways you can increase your eligible home loan amount is by making your spouse a co-applicant while applying for a home loan. This will increase the home loan amount you are eligible for as your spouse’s income will also be added to your eligibility. Another way you can increase your eligible home loan amount is by opting to choose longer loan repayment tenures.
Documents required for Salaried employee home loan
- Completed Home Loan application form
- 3 Passport size photographs
- Proof of identify (Xerox copies of Voters ID card/ Passport/ Driving license/ IT PAN card)
- Proof of residence (Xerox copies of recent Telephone Bills/ Electricity Bill/Property tax receipt/ Passport/ Voters ID card)
- Bank Account Statement/ Pass Book for last six months
- Personal Assets and Liabilities statement
- Original Salary Certificate from employer
- TDS certificate on Form 16 or copy of IT Returns for last two financial years, duly acknowledged by IT Department
Documents required for Self Employed home loan
- Completed Home Loan application form
- 3 Passport size photographs
- Proof of identify (Xerox copies of Voters ID card/ Passport/ Driving license/ IT PAN card)
- Proof of residence (Xerox copies of recent Telephone Bills/ Electricity Bill/Property tax receipt/ Passport/ Voters ID card)
- Bank Account Statement/ Pass Book for last six months
- Personal Assets and Liabilities statement
- Acknowledged copies of three years I.T. returns/ Assessment Orders.
- Photocopies of challans evidencing payment of Advance Income Tax.
Housing loan provide for up to a period of 20 years. The interest rates depend on the time to repay the loan. Home loan lenders go through the financial status of the customers. If they are convinced that the customer could repay the loan amount in a specified time frame, then they proceed with further formalities.
Besides this, individuals are provided with a variety of schemes using which they can buy their dream house without much effort.
Types of Home Loans offered for lowest rate of Interest
Home Loan purchase of a New/Pre-owned Property: This home loan is one in every of maximum availed sort of home loan in Bangalore. The home loan is maximum appropriate for debtors seeking to buy a brand new residence/flat or buy of an already owned assets. The interest rate related to those home loans can both be constant or floating. Most banks additionally disburse as much as 85% of the overall fee of the assets.
Home Loan for Construction of a Property: These Home loans are given to potential clients who’re seeking to assemble a residence instead of buying an already built assets. However, the banks will even take the fee of the plot into attention at some stage in the procedure of mortgage approval on this case.
Home Loan for Expansion/Extension: This Home Loan is appropriate for customers who are seeking to extend or renovate or repair in their present residence/assets.
Home Conversion Loan: These loans may be availed if you want to circulate to a brand new residence after having already availed a Home Loan and feature bought residence/assets with it.
Home Improvement Loan: These home loans are given to eligible clients who’re seeking to renovate or restore an present assets.
Home Loan Balance Transfer: Home loan stability switch may be availed via way of means of an individual if he/she desires to switch his present home loan from one financial institution to every other financial institution because of motives along with better customer service offerings lowest rate of interest by other alternative financial institution.
NRI Home Loan: NRI Home Loan are mainly designed for Non-Resident Indians (NRIs) who’re seeking to buy a residential assets in India. The strategies and formalities concerned with inside the approval procedure for NRI loans isn’t like the normal domestic loans supplied via way of means of the banks.
Home loans, additionally referred to as mortgages, use the borrower`s home for collateral. This home may be a single-own circle of relatives residence as much as a four-unit assets, in addition to a cooperative unit. Lenders fund home loans, however each the creditors themselves and agents who act on behalf of the creditors originate, or procedure, them.
Types of Interest Rates in Home Loan
There are mainly two types of home loan interest rates charged by most of the banks.
1. Fixed Interest Rate:
In this device of computation, the price stays even at some stage in the Home loan tenor. There might be no extrude with inside the interest rates because the price stays constant. Depending at the offer, you will be allowed to exchange over to the floating price device after finishing certain duration of the mortgage tenure.
• Advantage: Since the price stays constant, you know the way a lot interest you`re paying upfront. Your loan might be protected against common price fluctuations and saves cash in an extended run if there’s a hike in lending costs.
• Disadvantage: If the usual lending costs fall, you may now no longer advantage because the interest rate stays frozen.
2. Floating Interest Rate:
The interest charges on your home loan are subject to the current most lending rates of the bank. The rate is linked to the latest published rate of the bank which in turn depends on multiple factors such as RBIs monetary policy and lending rate revisions, the bank’s response to the revision etc.
•Advantage: The most visible perk of opting for the floating rate is that you have the advantage of being billed on the basis of the latest rate. If the rates fall, you save on interest charges.
•Disadvantage: In rare scenario, if the standard rates go up, the loan has to be bear the brunt of being billed a higher rate. Note: But, the floating home loan interest rates are cheaper than the fixed home loan interest rates on the first front
Note: But, the floating home loan interest rates are cheaper than the fixed home loan interest rates on the first front.
Get Home Loan from Public Sector Banks at Attractive Interest Rates
Home Loan Interest Rates of Top Public Sector Bank
| Name of Lender | Up to Rs. 30 Lakh | Above Rs. 30 Lakh & Up to Rs. 75 Lakh | Above Rs. 75 Lakh |
| Bank of Baroda | 8.45% – 9.95% | 8.45% – 9.95% | 8.45% – 10.20% |
| Punjab National Bank | 8.25% – 9.00% | 8.25% – 9.00% | 8.20% – 8.90% |
| State Bank of India | 8.50% – 9.15% | 8.40% – 9.05% | 8.40% – 9.05% |
| Union Bank of India | 8.25% – 10.15% | 8.25 – 10.35% | 8.25% – 10.35% |
| Bank of Maharashtra | 8.00%-10.45% | 8.00%-10.45% | 8.00%-10.45% |
Home Loan Interest Rates of Top Private Sector Banks at Low Interest Rates
| Name of Lender | Up to Rs. 30 Lakh | Above Rs. 30 Lakh & Up to Rs. 75 Lakh | Above Rs. 75 Lakh |
| Kotak Mahindra Bank | 8.30% onwards | 8.30% onwards | 8.30% onwards |
| ICICI Bank | 8.40% – 9.50% | 8.40% – 9.50% | 8.40% – 9.50% |
| Axis Bank | 8.60% – 12.70% | 8.60% – 12.70% | 8.60%- 9.05% |
| Karnataka Bank | 8.24% – 9.49% | 8.24% – 9.49% | 8.24% – 9.59% |
| Federal Bank | 8.37% – 9.60% | 8.37% – 9.65% | 8.37% – 9.70% |
| Bandhan Bank | 8.30% – 14.00% | 8.30% – 13.65% | 8.30% – 13.65% |
Home Loan Interest Rates of Top Housing Finance Companies (HFCs)
| Name of Lender | Up to Rs. 30 Lakh | Above Rs. 30 Lakh & Up to Rs. 75 Lakh | Above Rs. 75 Lakh |
| LIC Housing Finance | 8.00% – 10.00% | 8.00% – 10.20% | 8.00% – 10.40% |
| HDFC Ltd. | 8.40% – 10.00% | 8.40% – 10.25% | 8.40% – 10.35% |
| Tata Capital Housing Finance | 8.60% onwards | 8.60% onwards | 8.60% onwards |
| Bajaj Housing Finance | 8.20% onwards | 8.20% onwards | 8.20% onwards |
| PNB Housing Finance | 8.25% – 12.50% | 8.25% – 12.50% | 8.25% – 12.50% |
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