Housing Loan Interest Rate 2022 Top Banks: Home Loans

Housing Loan Interest Rate 2022 Top Banks: Home Loans

Whenever a person wants to build or buy his house, he takes it from the bank or from any financial institute for a particular time and an amount which is there, when you take a loan from the bank, the bank charges interest in return. and after a certain time, they have to return that amount with interest to the bank.

Let us tell you that there are different types of loans. You can pay the loan through EMI. Many housing finance companies and almost all banks (HFCs) offer home loans for buying a house/flat/land.

Housing Loan Interest Rate 2022 Top Banks

Types of Housing Loans in India

Here we are going to share the types of loans which are available in India regarding Housing Loans.

Home Purchase Loan:

This home loan is the most common home loan. This includes ready-to-move-in properties, under-construction properties and pre-owned home/resale properties. As per RBI guidelines, banks/lending institutions can provide home loan amount up to 75-90% of the value of the property. can offer.

Composite Loan:

This loan is only for those individuals who want to buy a plot for investment or for building a house. Let all of you know that the first instalment of the loan amount is transferred to buy the plot. Then, as the house gets ready, you continue to get the loan amount.

Home Construction Loan:

As the name of this loan suggests, this loan is only for those people who need money to build a house. For this loan, you should already have land, only then you will get this loan and you want to build a house on that land. Like the composite loan, the home loan amount is transferred according to the stages of house construction.

Home Renovation/Improvement Loan:

This loan can be taken to meet the renovation and repair-related expenses of the existing home. The interest rate of this loan is the same as that of a regular home loan. However, its loan tenure is shorter than that of a regular home loan.

Home Extension Loan:

This loan is only for those people who need money to add extra space to their homes. Under this loan, banks/lending institutions usually lend only 75 to 90% of the amount for which the house will be completed, depending on the loan amount and LTV ratio.

Bridge Loan:

This home loan is for those people who want to sell their existing house and want to buy a new house with that money. You can take a bridge loan for the difference in the amount between the sale and purchase.

Step-Up Loan:

Under this loan, the borrower pays a small EMI in the initial years of the loan tenure. However, then as time progresses, the EMI amount increases with time. Step Up Loan makes loans affordable for young professionals who have recently started their careers.

Interest Saver Loan:

In this, the home loan account of the borrower is linked to his bank account. Any amount deposited in the bank account in excess of the EMI amount is used as prepayment of the loan. Thus, there is a saving on the interest amount as well. This home loan is similar to an overdraft facility.

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FAQ’s Housing Loan Interest Rate