Home Loan- New Options Availability

 No one is going home shopping during a lockdown. But once things start returning to
normal, home shopping would not be a bad idea.
 Real estate prices are reasonable. Loan rates are also affordable- as low as 7.9 percent of
certain banks.
 The maximum tenure offered by most lenders is 30 years, which makes the EMI much
more affordable.
 If the borrower gets a step-up loan repayment option, borrower’s EMIs will be smaller in
the initial years of the tenure.
 They will increase with time, but by then the economy would have recovered from the
impact of the Coronavirus epidemic.
 Since a step-up loan takes into account the future earnings potential of the prospective
borrowers as well, the loan eligibility also increases.

Home Loan Rates and Charges

Lender Interest Rate (%) Processing Fee Maximum Tenure

(Yrs)
State Bank of India 7.9 -8.8 Upto 0.4% 30
Union Bank of India 8 – 8.5 Upto 0.5% 30
Central Bank of India 8 - 8.1 Upto 0.5% 30
Bank of India 8.1 - 9 Nil upto 30th April, 2020 30
Indian Overseas Bank 8.2 – 8.45 Upto 0.5% 30
Axis Bank 8.55 – 11.5 1% 30
Kotak Mahindra Bank 8.2 – 9.25 Upto 2% 20
Federal Bank 8.55 – 8.70 3,000 – 7,500 30
ICICI Bank 8.25 – 9.35 Upto 0.5% 30
Citi Bank 8.03 – 8.98 Application Fee- Upto 5,000 25
Booking Fee- Upto 0.4%
HDFC Bank 8 – 9.6 Upto 1.5% 30
Bajaj Finserv 8.3 – 11.15 0.5% - 3% 30
LIC Housing 8.1 -9.2 As applicable from time to 30
time
IIFL 8.7 onwards Upto 1.75% 20
Indiabulls Housing 8.99 onwards Up to 2% 30