Home Loan - Compare & Apply Best Interest Rates Online

Home Loan - Avail home loans up to Rs. 10 crore with interest from 8.35% p.a., processing fees from 0.5%, and repayment tenure up to 30 years through money creators

Home Loan

Home loans are one of the most preferred financial tools that enables an individual to purchase a plot of loan or a residential property instantly. These loans are provided by Banks and housing finance companies (HFCs), and they have designed special schemes wide range of customers, including farmers, women, doctors, CA, etc. Here are the required details of various home loans/Housing Loans offered by various banks and financial institutions.

1. Kotak Mahindra Bank - Best for Low-Interest Rate

  • Low-interest rates start from 8.70% onwards and 8.75% onwards p.a. for salaried and self-employed individuals, respectively.
  • Processing fee of up to 0.50% of the loan amount
  • Loan tenure of up to 20 years
  • Zero prepayment charges
  • Balance transfer with top-up loan available

2. Canara Bank Housing Loan - Best Interest Rate for Women

  • Low-interest rates for women starting from 8.40% p.a. to 11.20% p.a. (Floating Rate).
  • Maximum repayment tenure of 30 years or up to 70 years.
  • Processing fee of up to 0.50% of the loan amount
  • It Can be used to purchase or construct a house/flat
  • Zero prepayment charges

3. Axis Bank Home Loan - Best Interest Rate for Salaried Employees

  • Low-interest rates starting from 8.70% p.a.
  • Loan amounts of up to Rs.5 crore
  • Maximum repayment tenure of 30 years
  • Processing fee of up to 1% of the loan amount
  • No prepayment/foreclosure charges

4. HDFC Reach Home Loans for self-employed professionals

  • Attractive interest rates start from 8.50% to 9.15% p.a. and 8.75% to 9.40% p.a.
  • Flexible repayment tenure of up to 30 years
  • Processing fee of 2% of the loan amount
  • Minimal documentation with minimum income of Rs.2 lakh p.a.
  • Add a woman co-owner for lower interest rates

5. SBI Privilege Home Loan for Government Employees

  • Low interest rates starting from 8.60% to 9.65% p.a.
  • Zero processing fee
  • Loan tenure of up to 30 years
  • Reduced interest rates for women borrowers
  • Interest concession when checkoff is provided

6. PNB HFL Plot Loan - Best Home Loan for Plot and Construction

  • Attractive rates starting from 9.50% p.a.
  • Flexible loan tenure of up to 30 years
  • Processing fee of up to 0.5% of the loan amount
  • Loan enhancement in case of escalating costs
  • Quick loan application and approval process

7. SBI Realty Home Loan - Best Home Loan for Land Purchase

  • Low-interest rates starting from 8.60% p.a.
  • The Maximum tenure of ten years
  • Processing fee of up to 0.35% of the loan amount
  • Maximum loan amount of up to Rs.15 crore
  • Interest rate concession for women borrowers

8. SBI Smart Home Top-Up Loan - Best Top Up home loan

  • Interest rates starting from 9.10% p.a. to 10.15% p.a.
  • Processing fee of Rs.2,000 + GST (Minimum) to Rs.10,000 + GST (Maximum)
  • Overdraft facility for loans above Rs.20 lakh
  • Loan tenure of up to 30 years
  • No prepayment penalty

9. Union Awas Home Loan - Best for Low Credit Score

  • Interest starts from 10.75% p.a. for credit scores below 600 for loans of up to Rs.30 lakh
  • Moratorium period of up to 3 years for construction or purchase of a home
  • Loan tenure of up to 30 years
  • For agriculturists, quarterly/half-yearly/annual repayments instead of EMI can be availed
  • Open to permanent employees of educational institutions and agriculturists with a yearly income of up to Rs.48,000 p.a.

Home Loan Eligibility

The following is the list of eligibility criteria:

Eligibility Criteria Requirement
Age Minimum Age: 18 years and Maximum Age: 70 years
Resident Type The applicant must be (anyone):
  • Resident Indian
  • Non-Resident Indian (NRI)
  • Person of Indian Origin (PIO)
Employment The applicant can be (anyone):
  • Salaried
  • Self-employed
Net Annual Income At least Rs.5-6 lakh depending on the type of employment
Residence The applicant must have (anyone):
  • A permanent residence
  • A rented residence where they have resided for at least a year before applying for a loan
Credit score A good credit score of at least 750 or more obtained from a recognised credit bureau

Documents Required for Home Loan

The following is the list of documents required:

Identity Proof (any one) Residence Proof (any one) Other Documents
  • Driving License
  • PAN
  • Voter ID
  • Copy of Electricity Bill/Water Bill/Telephone Bill
  • Copy of valid Passport/Aadhaar Card/Driving License
  • Employer Identity Card
  • Duly filled loan application form affixed with 3 passport size photographs
  • Loan account statement for the previous 12 months if the applicant has any other ongoing loan from other banks/financial institutions
  • Bank account statements for all the bank accounts owned by the applicant for the last six months

Income Proof Documents

The following is the list of eligibility criteria:

For Self-employed Applicant/Co-applicant For Salaried Applicant/Co-applicant
  • Income Tax Returns for the last 3 years
  • Certificate of Qualification (for Doctors/CA and other professionals)
  • Balance Sheet audited by a certified CA and Profit and Loss account for the previous 3 years
  • Business License Details
  • Business address proof
  • TDS Certificate
  • Salary Slips for the last three months
  • Copy of Form 16 or Income Tax Returns for the last two years

Documents Required from all Non-Resident Indians (NRIs) Applicants

The following is the list of eligibility criteria:

Identity Proof (any one) Residence Proof (any one) Other Documents
  • PAN
  • Valid Passport
  • Driver’s License
  • Voter ID Card
  • Telephone bill
  • Electricity bill
  • Water bill
  • Piped Gas bill
  • Attested copy of the applicant’s/co-applicants’/guarantor’s valid passport and visa
  • Proof of residence indicating the applicant’s current overseas address
  • Employer Identity Card
  • If the applicant is employed in the Merchant Navy, the applicant is required to submit a copy of Continuous Discharge Certificate (CDC)
  • PIO Card issued by the Government of India in case the applicant/co-applicant is a Person of Indian Origin (PIO).
  • The completed loan application form duly filled with three passport size photographs of the applicant and co-applicants.

Property Papers:

Agreement of Sale (anyone):

  • Registered Agreement of Sale
  • Stamped Agreement of Sale
  • Allotment Letter
  • Occupancy Certificate in case the property is a ready-to-move-in property
  • Copy (blueprint) of the Approved Plan and Registered Development agreement of the builder
  • Conveyance Deed in case of a new property
  • Bank account statements indicating all payments made to the seller or builder

Home Loan Fees & Charges

Depending on the type of loan you are applying for, the following charges may be levied:

  • Processing fees: This is a one-time non-refundable fee to be paid to the home loan provider after the loan application has been approved. The processing charge varies depending on the bank and the loan scheme you are applying for.
  • Prepayment charges: The Prepayment penalty is the fee you will have to pay the lender if you plan on repaying your home loan before the completion of the loan tenure.
  • Conversion fees: Some banks also charge a conversion fee when you switch to a different loan scheme to lower the interest rate associated with your current scheme.
  • Cheque dishonour charges: The fee is levied when the loan provider finds that a cheque issued by the borrower is dishonoured due to insufficient funds in the borrower’s account.
  • Fees on account of external opinion: In some cases, you should consult an external expert, such as a lawyer or a valuator, for their opinion on the loan. This fee should be paid directly to the concerned person, not the lending institution.
  • Home insurance: The premium should be paid directly to the concerned company during the term to ensure the insurance policy runs during the home loan tenure.
  • Default charges: Loan providers also penalise delayed repayments, i.e. if you fail to make your Equated Monthly Instalments (EMIs) or Pre-EMIs on time. The defaulting charges vary from one bank to another.
  • Incidental charges: This charge covers the expenses incurred by the bank to recover dues from a borrower who has failed to make his monthly instalments on time.
  • Statutory/regulatory charges: The fee includes all costs associated with the Central Registry of Securitisation Asset Reconstruction and Security Interest of India (CERSAI), Memorandum of Entry and Deposit, and stamp duty. You can visit www.cersai.org.in to learn more about these charges.
  • Photocopy of documents: The fee is payable to the bank if you require a photocopy of your home loan documents for personal needs.
  • Change in loan term: Some banks also charge a nominal fee if you wish to change the tenure associated with your loan.