1- Introduction About Home loans :
Buying own home is a big dream for lots of individuals. For making the dream true, they are putting lots of efforts and trying to save a huge amount of money. All are not able to gather required funds in a short time period.
For these types of individuals, the option of home loan is available. The plans of home loans are specially formed for bearing home-related expenses. The financial institutions are providing the funds with this particular restriction.
The loan is featured with a completely secure system. The secured system means the funds’ providers are taking home as collateral. It means first you need to pay complete loan amount and then you can get a complete membership or free home from funds provider.
2- Popular Home loans In Hyderabad :
| Bank Name | Home Loan Rate | Processing Fee |
| SBI Home Loan | 8.60% | Nil Processing Fee till Dec, 2018 |
| HDFC Home Loan | 8.80% | 0.50% |
| Min Rs. 3,000 – Max Rs. 10,000 | ||
| ICICI Bank Home Loan | 9.10% | 0.50% |
| Min Rs. 5,000 – Max Rs. 5,000 | ||
| Axis Bank | 8.80% | 0.50% |
| Min Rs. 2,500 – Max Rs. 25,000 | ||
| PNB Housing Finance | 9.00% | 1.00% |
| Min Rs. 10,000 – Max Rs. 10,000 | ||
| Bank of Baroda | 8.65% | 0.50% |
| Min Rs. 7,500 – Max Rs. 20,000 | ||
| LIC Housing Finance | 8.70% | 0.50% |
| Indiabulls | 8.80% | Min Rs. 1,000 – Max Rs. 5,000 |
| Citibank | 8.75% | Nil |
| DBS Bank | 9.70% | Max Rs. 10,000 |
| DHFL | 8.70% | 0.50% |
| Min Rs. 2,500 – Max Rs. 20,000 | ||
| Kotak Bank | 8.90% | Max Rs. 10,000 |
| Dhan Laxmi Bank | 9.90% | 1.00% |
| Min Rs. 10,000 | ||
| IDFC Bank | 9.25% | Min Rs. 5,000 – Max Rs. 5,000 |
| Canara Bank | 8.75% | 0.50% |
| Min Rs. 1,500 – Max Rs. 10,000 | ||
| Syndicate Bank | 9.90% | 0.13% |
| Min Rs. 500 – Max Rs. 5,000 | ||
| RBL Bank | 10.45% | Min Rs. 5,000 – Max Rs. 15,000 |
| Karur Vysya Bank | 9.65% | Min Rs. 5,000 |
| Indian Overseas Bank | 8.70% | 0.53% |
| Min Rs. 8,900 – Max Rs. 13,350 | ||
| HSBC Bank | 8.75% | 1.00% |
| Max Rs. 10,000 | ||
| Edelweiss | 10.50% | 0.25% |
| DCB Bank | 10.24% | 2.00% |
| Min Rs. 5,000 | ||
| Yes Bank | 9.35% | 0.75% |
| Max Rs. 10,000 | ||
| Corporation Bank | 9.05% | 0.50% |
| Min Rs. 1,000 – Max Rs. 50,000 | ||
| LT Housing Finance | 9.90% | 2.00% |
| Min Rs. 4,999 | ||
| Union Bank of India | 8.80% | 0.50% |
| Max Rs. 15,000 | ||
| Andhra Bank | 8.75% | 0.50% |
| Max Rs. 10,000 | ||
| South Indian Bank | 9.35% | 1.00% |
| Max Rs. 10,000 | ||
| Standard Chartered Bank | 9.25% | 1.00% |
| Min Rs. 5,000 – Max Rs. 10,000 | ||
| PNB | 8.65% | 0.50% |
| Min Rs. 20,000 – Max Rs. 50,000 | ||
| Lakshmi Vilas Bank | 9.90% | 0.40% |
| Min Rs. 10,000 – Max Rs. 20,000 | ||
| Karnataka Bank | 8.70% | 0.25% |
| Min Rs. 250 | ||
| Indian Bank | 8.60% | 0.23% |
| Max Rs. 20,381 | ||
| GIC Housing Finance | 10.25% | Min Rs. 2,500 |
| Dena Bank | 8.75% | 0.50% |
| IIFL | 8.50% | 1.00% |
| Max Rs. 10,000 | ||
| Central Bank of India | 8.60% | 0.50% |
| Max Rs. 20,000 | ||
| Vijaya Bank | 8.55% | 0.50% |
| Min Rs. 1,000 – Max Rs. 20,000 | ||
| Bank of India | 8.85% | 0.25% |
| Min Rs. 1,000 – Max Rs. 20,000 | ||
| UCO Bank | 8.65% | 0.50% |
| Min Rs. 1,500 – Max Rs. 15,000 | ||
| Reliance Capital | 10.00% | 1.00% |
| Min Rs. 3,000 – Max Rs. 6,500 | ||
| OBC | 8.65% | 0.50% |
| Max Rs. 20,000 | ||
| IDBI Bank | 8.65% | 0.50% |
| Min Rs. 2,500 | ||
| Federal Bank | 8.60% | 0.50% |
| Min Rs. 3,000 – Max Rs. 7,500 |
3- Home loan Features and Benefits
The home loan is completely different from other types of loans. Similarly, the features of this particular loan are also different. In the upcoming details, I’m going to mention some important ones.
- Interest rates
The home loans are offered by the financial institutions with two different options. Mainly these options are related to the interest rates. It depends on the borrowers that which kind of terms & conditions they want.
In case you are choosing the fixed rates loan then you need to pay interest at a fixed rate. These rates are followed during the complete time period. The floating charges borrowers need to face changes in different conditions. Mainly these interest rates are changed with the variations in the market.
- Repayment time period
If we talk about the time period for repaying the loan amount then it includes a long time. Due to it, the borrower never faces any kind of stress regarding its repayment system. It makes lots of things easier for the borrowers and provides them an opportunity to own home without spending lots of money.
- Charges on repayments
In case the individuals are paying the money back before the loan time period is getting finished then the banks never get any kind of charges. Here, the borrowers will save a huge amount of money and reduce the loan cost.
- Credit score
A credit score is playing an important role in availing the loan facility. The individuals those have bad credit score they cannot avail the loan facility. As a result, they cannot get financial help. In case you want to avail the loan services then you should try to maintain a good credit score.
There are some major benefits.
- Own house
Many individuals are living in the rental houses. In these types of situations, they need to pay lots of money as rent and do not have own house. The way of home loan can help them in getting money for buying own house. With it, they need to pay money as an installment is lower than the rent you are paying.
- Tax benefits
People those are availing the loan facility they can get some tax benefits. Mainly these benefits are available in the form of tax relaxations. It saves lots of money of borrower.
These are some major features and benefits those are making the option of home loan an ideal choice.
4- Types of Home loans
The plans of home loans are designed by adding different types of things. Due to these variations, there are numerous types of these types of loans available.
Purchase land
The individuals are able to avail the loan services if they want to purchase a new land for constructing the home. In this particular way, you can get a financial assistance in buying a new house easily.
Buying own home
You can apply for a loan if you want to buy own home. When it comes to get this particular loan then the individuals are required to choose an option from two variants such as – floating & fixed interest rates.
Construction of home
Some individuals have own land but they are not able to construct home there. These types of individuals can avail loan facility for getting funds for building own house.
Improve home conditions
In case your home becomes old and want improvement but you do not have enough funds then the way of home loan can be useful. It provides the required amount of currency by which you can easily make modifications in the home.
Home extension
If you are interested in extending the home but facing lack of money then you should access services of home loan. With the help of this particular amount of money, you can easily increase the area of the home.
Home conversion
People those are already availing services of home loan and want to move to new one they can transfer the loan to a new home. In this particular way, they do not need to bear two types of loans or drop the idea of buying a new one.
You should choose the best type of loan as per the task you want to avail loan funds.
5 Home loan Eligibility Criteria:
Age (Min-Max) : 24-60
Income : 25,000 Per Month
Preference : Bank account holders preferred
Co-applicant mandatory – but should be family members
Employment Fulltime job with at least 2 years of experience
Cibil Score : 680+
6- Documents Required for Home loan – Self Employed :
Bank Statement: Past 1 year bank statement
Business Existence Proof: 3 years old Copy, the Company Registration license, Shop Establishment Act
Income Proof: Latest 3 years Income Tax Returns including Computation of Income, Profit & Loss Account, Audit Report, Balance Sheet, etc.,
Office Address Proof: Property Documents, Utility Bill
Office Ownership Proof: Property Documents, Utility Bill, Maintenance Bill
Photo Identity Proof: Passport/ Driving License/ Voter ID/ PAN
Residence Address Proof: License/ Registered Rent Agreement/ Utility Bill
1 passport size color photograph
Documents Required for Home loan – Salaried
6- Months Bank Account Statement
3- Months Payslips
Company Id Card
Aadhar Card & Pan Card
Present Address/Permanent Address Proof
Application form with photograph
Processing fee cheque
Form 16