HDFC bank is one of the leading banks in the nation that couples its quality products with exemplary customer service. One of their most popular and trusted products is their home loan. A HDFC home loan can be availed easily by visiting one of their several branches located across the nation or can be applied online as well.
|Interest Rate||8.80% to 9.05%|
|Processing Fees||Up to 0.50% of the loan amount or Rs.11,800 whichever is minimum|
|Loan Tenure||1 Year to 30 years|
|Guarantor Requirement||No Guarantor Required|
|Partial PrePayment Charges||Nil|
What makes a good home loan, especially a housing loan in India In the order of severity, competitive interest rate, expansive set of features, ease of application, flexible tenure and expert customer support are the primary factors that define the popularity of any home loan option.
Home Loan By Top Banks
HDFC bank takes its standing as a customer favorite seriously and series of additional features and benefits. The bank and is always on the forefront of innovation and simplification of traditional banking practices. No wonder, HDFC bank has emerged as an overwhelming favorite amongst the Indian populace, even though it isn’t as old as some of the other goliaths in the intensely competitive landscape of Indian banking.
HDFC Housing Loans are offered per the following conditions:
HDFC Bank Updates Home Loan Interest Rates
HDFC bank has recently updated their home loan interest rates. All home loan borrowers will now have to pay a rate of interest of 8.80% to 9.05% p.a.
HDFC Bank has reportedly announced a hike in interest rate on its housing loans. The Retail Prime Lending Rate (RPLR) has been increased by 10 basis points (bps) or 0.10%. The new rates will be effective from 01 October 2018. The announcement was made ahead of the Reserve Bank of India’s (RBI) fourth bi-monthly monetary policy review. RBI had earlier hiked the key repo rate by 0.25% or 20 bps in its third bi-monthly monetary policy review in the month of August.
Additionally, the bank offers the following types of home loans , based predominantly on the type of audience targeted:
|Home Loan Type||Target Audience|
|Home Loan for Salaried and Self-Employed||Professionals who are self-employed and salaried, non-professional self-employed people.|
|HDFC Pre-Approved Loan Scheme||For those looking to negotiate better with their sellers or mark their own financial credibility.|
|HDFC NRI Home Loan||Non-resident Indians willing to purchase a property in India.|
|HDFC Home Loan Transfer||For those looking to shift from existing exorbitant interest rates and costly EMIs over to HDFC’s advantage in this regard.|
|Home Improvement Loan (HIL)||Looking to upgrade home/property by making structural improvements, painting, and waterproofing, roofing and internal, external repairs.|
|Home Extension Loan||Addition of extra rooms to an existing home, or similar modifications.|
|HDFC Special Home Loan for Agriculturists||For farmers to buy property in residential areas of villages. No mortgage of agricultural land is required.|
|HDFC Rural Housing Finance||This loan is extended to private sector and government employees for properties in rural residential areas.|
Expounded in this document are reasons why you must look out for the HDFC home loan option, its various features and benefits, criteria adding up to the HDFC home loan eligibility, the latest interest rates and other such vital details. Read on…
The following pointers elevate HDFC housing loan to the top of its class:
Prospective borrowers must satisfy the following criteria to be deemed eligible for the home loan from HDFC Bank:
HDFC Bank, in its individual capacity, may require additional proof and qualifications to consider you eligible for a home loan. Kindly consult your nearest HDFC Bank for the same.
In order to avail the HDFC Bank Housing Loan, a prospective borrower must supply the following documents that confirm his/her identity, address, occupation, salary and other such vital details. A detailed list of documents are as follows:
|Identity and address proof||Voter’s ID, Aadhaar Card, Passport, Driving Licence, PAN Card.|
|Income proof||Last 6 months bank statement with clear attribution to monthly salary credits, Last 3 months salary slips, Latest Form-16 and IT returns.|
|Additional documents||Employment contract, Appointment letter (applies only if the current employment is less than a year old), Cheque to effect payment of the processing fee, Passport sized photographs of applicant and co-applicants (this must be suitably appended to the application form and said applicant/co-applicants must sign across the same), Bank statement for the last 6 months to ascertain payments for other ongoing loan repayments in this duration.|
|Documents relating to property||Copies of buyer agreement or allotment letter (whatever the case may be), Receipts of payments made to the developer.|
Home loans offered by HDFC Bank can be applied for either jointly or individually. Proposed property owners will have to be the co-applicants. But all co-applicants do not necessarily have to be co-owners as well. In most cases, co-applicants of the loan would generally be close family members. The maximum period for repayment of loan (general) is 20 years while the
Maximum Period for Repayment of Loan (Telescopic Repayment Option) is 30 years.
Anyone can apply for a home loan either individually or with a co-applicant. The same rules apply for Home Loans sanctioned to self-employed individuals where co-applicants do not have to necessarily be co-owners as well. In most cases, co-applicants of the loan would generally be close family members.
The Marginal Cost of Funds-based Lending Rate (MCLR) announced by HDFC Bank with effect from October 8, 2018, are as given in the table below:
|Loan Tenure||MCLR Rate|
HDFC Bank provides home loans with the 1-year MCLR as the base rate. To this, the bank adds a business margin to arrive at the actual home loan interest rate.
When referring to fees and charges attached to the HDFC Bank Housing Loan, their decremented magnitude and transparent nature are highly commended by the borrowers of this enterprising home loan product. Herein, a table of applicable fees and charges gives you a bird’s eye view of the overheads attached to your proposed loan,
|Processing Fee||0.50% of loan amount or Rs.2000 (whichever is higher) plus taxes.|
|Prepayment Charges- Adjustable Rate Home Loans (ARHL)||
|Prepayment Charges- Fixed Rate Home Loans (FRHL)||
Where there are home loans, there are home loan EMIs. Equated Monthly Installments are a reality of life and calculating them with the precision of a chartered accountant isn’t everybody’s cup of tea. BankBazaar.com simplifies this ardous task with its friendly Home Loan EMI Calculator . The process listed below will help you ascertain the EMIs applicable on your HDFC housing loan in mere minutes:
And that’s it. How does it feel to be a certified master of the Home Loan EMI calculator?
MHUPA or Ministry of Housing and Urban Poverty Alleviation introduced the Credit Linked Subsidy Scheme or CLSS in 2015 under the Pradhan Mantri Awas Yojana. It aims at housing for all by 2022, including construction, purchase, improvement and extension of the property. This initiative has been taken for the MIG (Middle Income Group), LIG (Lower Income Group) and EWS (Economically Weaker Section).
Beneficiary family includes wife, husband and the unmarried children. Under the MIG category, a person can be treated as a separate household if he/she is an adult and earning. This is irrespective of the marital status of that individual.
What happens when a popular home loan product meets a disbursal platform that is given top marks for user experience and informational value? You get the blueprint to apply for HDFC housing loan on BankBazaar.com. The steps, as listed below, are simple and quick:
When speaking of the best third party website for comparing banking products in India, BankBazaar.com is the overwhelming favorite. The following lists the express reasons why you should apply for your HDFC Bank Home Loan on BankBazaar.com:
HDFC Bank offers a number of repayment options that are intended to help the borrower customize his/her repayments in line with his/her unique conditions. Flexibility is the key here and the customer is free to choose the option that works best for him/her. Summarily, the following repayment options are available:
Step Up Repayment Facility (SURF): This repayment scheme is based on the expected income growth of the borrower. In the initial years, you can pay substantially lower instalments and still avail a high quantum of loan. Subsequently, the repayment increases proportionally with the assumed growth in the borrower’s income.
Tranche Based EMI: In case you purchase a property that is under construction, you are required to pay the interest amount for the loan till the final disbursement of loan amount and then pay the EMIs thereafter. With tranche based EMI, customers can immediately start on the principal repayment and start paying EMIs on cumulative disbursed amount.
Flexible Loan Instalments Plan (FLIP): FLIP is essentially a customized solution that is linked to the repayment capacity of the borrower which may change through the loan tenure. The repayment schedule is configured in such a way that the instalment is higher during initial years of the term and then decreases proportionally to the income.
Accelerated Repayment Scheme: This is a flexible scheme where you can increase the EMIs every year, proportional to your income growth which will enable you to repay the loan much faster.
Telescopic Repayment Option: Telescopic repayment plan will get the borrower a longer repayment tenure of up to 30 years which means the EMIs will be more affordable and the loan eligibility will also be enhanced.
HDFC bases the loan eligibility on the customer’s repayment capacity which is decided by several factors like income, age, occupation, co-applicant’s income, number of dependents, assets & liabilities and savings history. You can check for your own eligibility here.
Yes, HDFC Bank offers you the flexibility to schedule your home loan as part floating or fixed in line with your own convenience and requirements.
The processing fee is up to 0.50% of the total loan amount or Rs.2,000 whichever is higher plus taxes as applicable.
Yes, you can make prepayments on your HDFC Housing Loan. The penalty charges for prepayment are listed here.
When you are applying jointly for HDFC bank housing loan, all proposed owners of the house must be co-applicants. But, all co-applicants need not necessarily be co-owners. Co-applicants are generally immediate family members.
The HDFC Plot Loan is a type of home loan that allows borrowers to purchase a plot of land wherein they can eventually build a house. The advantage with this is that the borrower can decide upon his/her requirements in terms of the design of the house and other such requirements. All the essential conditions associated with the standard HDFC home loan shall apply here as well.
As the name so aptly describes, a Short Term Bridging Loan is a financial ‘bridge’ that takes care of your needs before you move into your brand new home, and are still running through the process of selling your old house. This interim period could result in double the expenditure and compliance with a whole bunch of legal and personal issues- necessitating the need for an all-encompassing Short Term Bridging Loan.
Not all home loan products are created equal. For long, it was inferred that signing up with a particular home loan provider was a commitment that would only end after the loan has been completely repaid. Also, this meant that the lender’s high interest rates had to be complied with, and that better loan options from other lenders that emerged at a later date were to be seen as missed opportunities. Not anymore!!
The following are express reasons why you must move your existing home loan over to HDFC:
Online activity, be it simple net surfing or purchasing products/services through shopping portals, must always be cautiously undertaken. When applying for the HDFC housing loan online, ensure that you pay attention to the following:
Legitimate Source: Online phishing scams are as common as cucumbers in a vegetable salad. Trusted websites like BankBazaar.com offer you the genuinely and security that will help you be confident when sharing your personal and financial information online, in the pursuit of your own HDFC Home Loan.
Keep Your Information Handy: All the vital details that form the crux of a KYC cycle must be kept handy. This will save you the trouble that is usually associated with the supply of wrong information.
Know Your CIBIL Score: When considering your eligibility for the loan, all lenders will seek out your CIBIL score to confirm your reliability as a borrower. Keep your nose clean, clear off existing loans and do not default on repayments. A good CIBIL score is literally money in the bank!!
Seek Help When Needed: When applying for the HDFC Housing Loan online, there will be occasions when concerns and queries will crop up. In such scenarios, dive down to the expert BankBazaar customer support option and get your queries resolved.
As the name clearly mentions, a home improvement loan helps you improve the aesthetic and functional qualities of your home. The HDFC Home Improvement Loan can be used for such varied purposes as painting the house, tiling and flooring, plastering, construction of a sturdy fence or border, etc. The borrower must however sufficiently prove that the disbursed loan will be used for the exact purpose for which it is intended.
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