A Home Loan is one of the biggest financial commitments of a lifetime. The loan amount of a home loan is always high and hence it comes with higher EMIs. The tenure period of a home loan is the maximum of all the loans available in the market ranging from 20 to 30 years.
Hence, even a little mistake in selecting your home loan provider can lead to big issues for your future financial life. So, when planning to opt for a home loan you have to consider many points. Neglecting even a single point can cost you much.
Before you decide to go with a particular lender it’s also important to know the estimated EMI. Home Loan EMI Calculator is the tool that can help you in this. Knowing your EMI will help you to analyze your affordability and to find a lender who can lend you according to your requirements. Repayment terms & conditions of the lender, your annual income, credit history, interest rate and processing fee are also some of the important factors which you need to consider.
Axis Bank Home Loan
Details:
Interest Rate: 6.90% – 8.55 per annum
Processing Fee & Charges: Up to 1% (min of ₹10,000) + GST as applicable
Minimum Loan Tenure: 1 year
Maximum Tenure: 30 years
Minimum Loan Amount: ₹300,000
Maximum Loan Amount: ₹50,000,000
Prepayment / Foreclosure Charges: NIL
HDFC Bank Home Loan
Details:
Lowest EMI – Starting from 653 per lack
Interest Rate: 6.80 to 7.30
Processing Fee & Charges: Up to 0.50% or ₹3,000 (whichever higher) + GST as applicable
Minimum Loan Tenure: 1 year
Maximum Tenure: 20 years
Minimum Loan Amount: ₹1,00,000
Maximum Loan Amount: ₹10,00,00,000
Prepayment / Foreclosure Charges: NIL
DHFL Home Loan
Details:
Interest Rate: Starting @ 8.75%*
Processing Fee & Charges: ₹2,500 + GST as applicable
Loan Amount: Home loan amount depends on the annual income of the borrower and their ability to repay the loan.
Minimum Tenure Period: 1 year
Maximum Tenure Period: 30 years
Prepayment / Foreclosure Charges: NIL
Bajaj Finserv Home Loan
Details:
Interest Rate: Starting @ 6.9%*
Processing Fee & Charges: Up to 0.80% + GST as applicable
Minimum Loan Amount: ₹20,00,000
Maximum Loan Amount: ₹3,50,00,000
Minimum Tenure: 10 years
Maximum Tenure: 20 years
Prepayment / Foreclosure Charges: NIL
ICICI Home Loan
Details:
Interest Rate: Starting @6.90%*
Processing Fee & Charges: 0.5% + GST as applicable
Minimum Loan Amount: ₹500,000
Maximum Loan Amount: ₹30,000,000
Minimum Tenure Period: 1 year
Maximum Tenure Period: 30 years
Prepayment / Foreclosure Charges: NIL
How to Know Which Home Loan is Best for You
The requirement of borrowers always varies according to their needs. So it cannot always be true that a bank that is best for you will be best for others too.
Let’s take an example to understand this example
You purchase a house worth ₹ 20 lakhs, for that you need a home loan of ₹ 19 to 18 lakhs. In this case, banks like ICICI & Axis Bank that offer the minimum home loan amount at affordable rates can be best for you. But, there is another person who is planning to purchase a home worth ₹ 1 crore. In this, he/she needs a home loan of ₹ 80 to 90 lakh for a tenure period of 30 years. For this ICICI and DHFL can be chosen as they offer maximum loan amounts at lower rates. Seeing this you get a clear idea of how preferences change depending upon the requirements. Hence, it becomes more important to be first clear with your requirements then decide your lender.
How to Find Best Home Loan for You
Check for the Interest Rate
Interest rate is one of the most important components that need to be compared while applying for a home loan. This can be done online easily. Check for all the home loan providers available in the market and compare their interest rate offerings. Don’t forget to check for the other charges involved such as processing and GST charges.
Take Help from Experts if you are in any Doubt
Getting the best Home loan is not an easy task. It needs a lot of research and patience to find the best one. Here experience and competence of a professional person may help you. Taking help from a professional expert clear all your doubts and help you to get the best loan. As they are aware of all the terms, conditions, and requirements which you may not be knowing.
Checking the Repayment Options
The repayment option is also an important thing that has lots of significance when you opt for a Home Loan. A Home Loan repayment option includes increasing and decreasing EMI options, pre-closure, prepayment, part payment, etc. Hence it becomes more important to opt for one wisely depending upon your requirements and repayment capability.
Make Budget for All Home Loan Costs
The price of the property is not the only expense that a home buyer has to bear. There are other additional expenses as well which come under the cost of borrowing. Registration fee, stamp duty charges, paying charges to the municipality are some of those charges and should also be counted in your home borrowing cost. So it is always important to make a budget for a home purchase. A budget helps you to have an approximate idea of your home purchase. Having this idea can further help you to get the best home loan for yourself.
To Conclude
Home Loans come with bigger commitments and need lots of planning. Hence, before you decide to go with a particular lender do proper research. Making a little effort, in the beginning, can save your money which can add a lot to your finances in the long term.
