Home Loan Lowest Interest Rates 2023
A home is a dwelling place used as a permanent residence for an individual, household or family. Building your home can be one of the most exciting and important dreams one has and a home construction or purchase is probably the biggest financial decision in one's life. This decision has an impact on one's financial life for many years to come.
Now due to home loans offered by many finance companies and bank, it has become comparatively easier to build our own home. Such banks/ home finance companies provide you full assistance in getting loan by their simple procedures.
A Home loan in India is offered by several banks at a lower interest rate starting at 6.40%. These loans allow you to repay them in maximum of 30 Years. Banks offer the best Home loan schemes and you can repay the loan through easy EMIs.
Further, there is also tax benefits in availing home loans. Find below Banks List Providing Home Loan.
Home Loan at lower Interest Rate Oct 2023
| Bank | Interest Rate | Tenure | Max. Loan Amount | Processing Fees | |
|---|---|---|---|---|---|
| Federal Bank | 10.15% to 10.30% | 30 Years | Maximum loan amount is Rs. 15 crores | 0.50% of the Loan amount with a minimum of Rs 3,000 plus tax and maximum of Rs 7,500 plus tax | |
| City Union Bank | 10.25% - 12.75% | 15 Years | Maximum Rs. 1 Crore | 1% of the loan amount, subject to minimum Rs 250 | |
| Uco Bank | 8.45% to 10.30% | 30 Years | For Construction| Purchase| Takeover A|Cs : No upper limit For Repair| Extension| Renovation : Maximum Rs.25 lakhs (Metro/Urban/Semi-urban) & Rs.7.50 lakhs (Rural) | 0.50% of the loan amount, subject to minimum Rs.1,500 and maximum Rs. 15,000 | |
| Allahabad Bank | 8.50% to 10.40% | 30 Years | Maximum Upto Rs. 5 Crore | 0.23% on Loan Amount subject to maximum of Rs 20,381 | |
| Indian Bank | 8.50% to 10.40% | 30 Years | 60 times of Gross Monthly Income For Repair or Renovation: Rs. 10 lakhs (Max) | 0.23% on Loan Amount subject to maximum of Rs 20,381 | |
| Andhra Bank | 8.50% to 10.80% | 30 Years | Eligibility of loan amount is based on repayment capacity | Upto 0.50% of loan amount | |
| Corporation Bank | 8.50% to 10.80% | 30 Years | Max. Upto Rs. 5 Crore | 0.50% of the loan amount, maximum of Rs.15000 including service tax | |
| Union Bank Of India | 8.50% to 10.80% | 30 Years | Customised on the basis of the value of the property and the repayment capacity of the borrower. For repairs of an existing property - Maximum upto Rs. 30 lakh | 0.50% of the loan amount, maximum of Rs.15000 including service tax | |
| Laxmi Vilas Bank | 8.50% to 8.75% | 20 Years | Customised, subject to market value of the porperty and repayment capacity of the applicant, as per bank's assessment | Upto 1.20% of Loan amount plus applicable taxes | |
| Hdfc Bank | 8.50% to 9.60% | 30 Years | Customised, subject to market value of the porperty and repayment capacity of the applicant, as per bank's assessment | Upto 0.50% of the loan amount or Rs. 3000 whichever is higher plus applicable taxes | |
| Indusind Bank | 8.50% to 9.75% | 30 Years | Loan amount is subject to market value of the porperty and repayment capacity of the applicant, as per bank's assessment | As decided by the bank from time to time | |
| Central Bank Of India | 8.55% to 9.35% | 30 Years | Depending on repayment capacity of borrower and value of property. | 0.50% of the Loan Amount subject to maximum Rs.20,000 + GST (Completely waived till 31.12.2023) | |
| Bank Of Baroda | 8.60% to 10.60% | 30 Years | Customised, subject to market value of the porperty and repayment capacity of the applicant, as per bank's assessment |
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| Dena Bank | 8.60% to 10.60% | 30 Years | Customised, subject to market value of the porperty and repayment capacity of the applicant, as per bank's assessment |
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| Vijaya Bank | 8.60% to 10.60% | 30 Years | Customised, subject to market value of the porperty and repayment capacity of the applicant, as per bank's assessment |
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| Bank Of India | 8.60% to 10.75% | 30 Years | Customised, subject to market value of the porperty and repayment capacity of the applicant, as per bank's assessment |
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| Bank Of Maharashtra | 8.60% to 10.80% | 30 Years | For Metro and Urban area: No Maximum Limit For Rural areas : Amount of Loan should not exceed Rs.15 lakhs For Semi-Urban areas: Amount of Loan should not exceed Rs.25 lakhs | Upto 0.50% of loan amount | |
| Canara Bank | 8.60% to 11.25% | 30 Years | 4 years of gross salary to salaried individuals. 4 years' gross annual income to individuals engaged in business or to self-employed persons. Selectively loan upto 5 years' gross salary|income also permitted Rs.15.00 lacs for repairs | renovations. | 0.50% of Loan Amount (subject to Min Rs 1,500 and Max. Rs 10,000) | |
| Syndicate Bank | 8.60% to 11.25% | 30 Years | 75% of project cost for new constructions / purchase of
ready built house / flats. 70% of Project Cost for old house
aged more than 5 years. 72 months Gross Salary in case of Salaried Class 6 times of 3 years average income in case of non-salaried class. | 0.50% of Loan Amount (subject to Min Rs 1,500 and Max. Rs 10,000) | |
| Idbi Bank | 8.65% - 12.00% | 25 Years | Min. Rs. 5 Lakh to Rs. 10 Crore | 0.50% of the loan amount, subject to minimum Rs 2,500 | |
| The Nainital Bank | 8.65% to 11.00% | 25 Years | Customised, subject to market value of the porperty and repayment capacity of the applicant, as per bank's assessment | 0.50% of the loan amount, subject to minimum Rs 500 & maximum Rs 10,000 | |
| Oriental Bank Of Commerce | 8.65% to 9.45% | 480 Months, , including the moratorium period of 18 months | Housing Loan: No upper ceiling, loan amount depends upon income of individual as well as joint borrower, if any Home furnishing Loan: Maximum Rs 15 Lakhs (restricted to 30% value of existing house) | 0.50% of the Loan Amount, subject to maximum of Rs. 20,000 plus GST | |
| Punjab National Bank | 8.65% to 9.45% | 30 Years |
| 0.50% of loan amount. Maximum Rs.50,000 | |
| United Bank Of India | 8.65% to 9.45% | 30 Years |
| 0.50% of loan amount. Maximum Rs.50,000 | |
| Karnataka Bank | 8.75% - 10.43% | 30 Years | For Purchase/Construction: Max. Rs 5 Crore For Renovation,Remodelling,Extension or Repair: Max. Rs 30 Lakhs | 0.25% of the loan amount, subject to a minimum of Rs 250 | |
| Kotak Mahindra Bank | 8.75% to 9.60% | 20 Years | Rs. 2,00,000 to Rs. 1,00,00,000 | Upto 1.25% of Loan amount plus applicable taxes | |
| Jammu And Kashmir Bank | 8.75% to 9.85% | 15 Years | Loan amount is subject to market value of the porperty and repayment capacity of the applicant, as per bank's assessment | 0.25% of the loan amount with minimum of Rs. 500 and maximum of Rs 10000/- plus applicable service tax. However, 50% waiver in processing charges shall be provided to women borrowers (both for sole/joint borrower). | |
| South Indian Bank | 8.85% to 12.60% | 30 Years | Minimum: Rs 5 lakhs Maximum: Rs 1,500 lakhs | 0.50% + GST of loan amount | |
| Indian Overseas Bank | 8.85% to 9.55% | 30 Years | 75% to 90% of the cost of the house|flat excluding Registration and Documentation charges. The amount depends on applicant's age and repayment capacity. Up to 30% of the loan amount given for purchase of plot. | 0.50% of Loan Amount subject to maximum Rs 25,000 | |
| Idfc First Bank | 8.85% to 9.85% | 30 Years | Loan amount is subject to market value of the porperty and repayment capacity of the applicant, as per bank's assessment | Upto 0.50% of loan amount | |
| Punjab And Sind Bank | 8.95% to 9.95% | 15 Years | For construction of house or purchase of house/ flat/ Plot: Need based finance, with no Maximum limit For repairs / renovation / additions / alterations: Maximum Rs. 20 lakhs. | Up to 0.25% of the loan amount plus GST | |
| Axis Bank | 9.00% to 9.40% | 30 Years | Minimum: Rs. 3 lakhs Maximum: Customised, varies from person to person | Up to 0.50% of the loan amount subject to maximum Rs.10,000 | |
| State Bank Of India | 9.10% to 9.65% | 30 Years | Customised, depending upon applicant's income and repaying capacity, age, assets and liabilities, cost of the proposed house|flat etc. | Nil | |
| Bharatiya Mahila Bank | 9.10% to 9.65% | 30 Years | Customised, depending upon applicant's income and repaying capacity, age, assets and liabilities, cost of the proposed house|flat etc. | Nil | |
| State Bank Of Mysore | 9.10% to 9.65% | 30 Years | Customised, depending upon applicant's income and repaying capacity, age, assets and liabilities, cost of the proposed house|flat etc. | Nil | |
| State Bank Of Hyderabad | 9.10% to 9.65% | 30 Years | Customised, depending upon applicant's income and repaying capacity, age, assets and liabilities, cost of the proposed house|flat etc. | Nil | |
| State Bank Of Patiala | 9.10% to 9.65% | 30 Years | Customised, depending upon applicant's income and repaying capacity, age, assets and liabilities, cost of the proposed house|flat etc. | Nil | |
| State Bank Of Travancore | 9.10% to 9.65% | 30 Years | Customised, depending upon applicant's income and repaying capacity, age, assets and liabilities, cost of the proposed house|flat etc. | Nil | |
| State Bank Of Bikaner And Jaipur | 9.10% to 9.65% | 30 Years | Customised, depending upon applicant's income and repaying capacity, age, assets and liabilities, cost of the proposed house|flat etc. | Nil | |
| Bandhan Bank | 9.15%- 15.00% | 15 Years | Rs. 5,00,000 to Rs. 1,00,00,000, up to 90% of the cost of property (includes land and construction) | 1% of the Loan Amount plus taxes as applicable Minimum Rs. 5,000 plus taxes as applicable | |
| Karur Vysya Bank | 9.23% to 10.73% | 25 Years | Customised, subject to market value of the porperty and repayment capacity of the applicant, as per bank's assessment |
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| Icici Bank | 9.25% to 10.05% | 30 Years | Customised, subject to market value of the porperty and repayment capacity of the applicant, as per bank's assessment | 0.50% of the loan amount, subject to maximum Rs 11,800 | |
| Dhanalakshmi Bank | 9.35% to 10.50% | 20 Years | Maximum loan amount is Rs. 2.5 crores (Rs. 50 lakh for purchase of plot) | 1% of the Loan Amount, subject to a minimum of Rs.10,000 plus taxes as applicable | |
| Tamilnad Mercantile Bank | 9.35% to 9.85% | 30 Years |
| 0.50% of the Limit Sanctioned without any maximum cap plus Taxes as applicable | |
| Yes Bank | 9.40% to 10.25% | 25 Years | Maximum Upto Rs. 5 Crore | 0.5% of the loan amount or Rs 10,000 whichever is higher | |
| Dcb Bank | 9.50% to 16.00% | 20 Years | Rs.10 lakh to Rs.5 crores | Upto 2% of the Loan Amount, subject to a minimum of Rs.5,000 plus taxes as applicable | |
| Catholic Syrian Bank | 9.69% - 9.94% | 20 Years | 75 % of construction | purchase cost OR Loan Eligibility whichever is lower. Maximum Rs. 1,00,00,000 | 0.50% of loan amount |
Home Loan Eligibility
- Age Salaried: 21 to 60 years.
- Self-employed: 21 to 65 years.
- Permanent employees of State/Central Govt., Public Sector Undertakings, Corporations, Private Sector Companies and reputed establishments.
- Income Salaried - Minimum net monthly income of ₹ 180000 PM.
- Self-employed - Minimum net monthly income of ₹ 180000 PM.
- If salaried, number of years in the present job: 2-3 years
- If business, number of years in the current business: 3 years
Important Link About Home Loan
Purpose of Home Loan
- Home Purchase Loan - For the purpose of purchase of a house.
- Home Construction Loan - For the purpose of self-construction of a residential home.
- Land Purchase Loans/Plot Loans - For the purpose of purchase of a plot of land for construction or as an investment.
- Home Extension Loan - For the purpose of add more space to your existing home.
- Home Improvement Loan - For the purpose of internal or external repairs, waterproofing, electrical works, painting, roofing, plumbing, etc.
- Residential Plot Loan - For the purchase of a residential plot of land in an urban area, and build your house subsequently.
Types of Home Loan
| Sr No | Scheme | Brief Description |
|---|---|---|
| 1 | Regular Home Loan | Regular and most demanding Loan Scheme |
| 2 | Home Loan as Overdraft | Home Loan is taken as Overdraft |
| 3 | Home Top-Up Loan | Borrow amount over and above home loan amount |
| 4 | Balance Transfer of Home Loan | Transfer home loan from other institution |
| 5 | NRI Home Loan | NRIs and PIOs can get home loan |
| 6 | Flexipay Home Loan | Exclusively designed for salaried to get higher loan |
| 7 | Privilege Home Loan | Exclusively designed for government employees |
| 8 | Home Improvement Loan | For furnishing houses or flats at very low interest rate |
| 9 | Pre-Approved Home Loan (PAL) | Sanction of loan limit before finalizing property |
| 10 | Realty Home Loan | Exclusively to purchase a plot for construction |
| 11 | Bridge Home Loan | Upgrade home |
| 12 | Reverse Mortgage Loan | Loan against mortgage of residential property |
| 13 | CRE (Commercial Real Estate) Home Loan | Loan to customers who own at least 2 houses |
| 14 | Pradhan Mantri Awas Yojana (PMAY) | Subsidised home loan for eligible urban beneficiaries |
| 15 | Step Up Home Loan | Offers higher loan amount as compared to your actual loan eligibility |
| 16 | Fixed Home Loan 24/36 months | Fixed interest rate for first 2/3 years |
