A home loan is one of the biggest financial commitments. The loan amount of a home loan is always high and hence it comes with a higher EMIs. The tenure period of a home loan is maximum of all the loans available in the market, which varies from 20 to 30 years depending upon the lender.

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 check your EMI with Home Loan EMI Calculator. Doing this will help you to find a lender who can lend you according to your requirements. Borrower’s repayment capacity, repayment terms & condition of the lender, your annual income, credit history, and the required funding time of the borrower are also very important to consider here.

Best Home Loan Providers in India: 2019

Axis Bank Home Loan

Details:

Interest Rate: 8% – 11% 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:

Interest Rate: 8.80% – 9.55%

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: ₹100,000

Maximum Loan Amount: ₹100,000,000

Prepayment / Foreclosure Charges: NIL

DHFL Home Loan

Details:

Interest Rate: 10% – 19.07% per annum

Processing Fee & Charges: ₹2,500 + GST as applicable

Minimum Loan Amount: ₹100,000

Maximum Loan Amount: ₹3,000,000

Minimum Tenure Period: 1 year

Maximum Tenure Period: 30 years

Prepayment / Foreclosure Charges: NIL

Bajaj Finserv Home Loan

Details:

Interest Rate: Salaried: 8.85% – 10.30% per annum

       Self Employed: 9.25% – 11.15% per annum

Processing Fee & Charges: Salaried: Up to 0.80% + GST as applicable

                                           Self Employed: Up to 1.20% + GST as applicable

Minimum Loan Amount: ₹2,000,000

Maximum Loan Amount: ₹35,000,000

Minimum Tenure: 10 years

Maximum Tenure: 20 years

Prepayment / Foreclosure Charges: NIL

ICICI Home Loan

Details:

Interest Rate: 8.35% – 9.10% per annum

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 which is best for you will be best for other borrowers.

Let’s take an example to understand this example

You purchase a house which is of ₹ 20 lakhs only. Hence here you need a home loan of ₹ 19 to 18 lakh only. In this case, banks like ICICI & Axis Bank which offers the minimum home loan amount at affordable rates can be best for you. Whereas 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. Here Banks such as ICICI and DHFL can opt. seeing this you get a clear idea of how can 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 things to compare and check for when you are about to opt 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. 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

Repayment option is also an important thing which has lots of significance when you opt for a Home Loan. For a Home Loan repayment option includes increasing and decreasing EMI options, pre-closure, pre-payment, 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

Price of the property is not the only expense that a home buyer has to bear. There are other additional expenses as well which comes under the cost of borrowing.  Registration fee, stamp duty charges, paying charges to municipality should also be counted. So 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 comes with bigger commitments and needs lots of planning. Hence, before you decide to go with a particular lender do proper research. Making a little effort in beginning can save your money which can add a lot to your finances in the long term.