HDFC Bank Home Loan
HDFC Bank is an Indian banking and financial services company. HDFC Bank is one of the India’s largest leading private sector banks by assets and world’s 10th largest bank by market capitalisation as of April 2021. It is the third largest company by market capitalisation as of Rs 122.50 billion on the Indian stock exchanges.
|Headquarters||Mumbai, Maharashtra, India|
|Owner||Housing Development, Finance Corporation|
|Subsidiaries||HDFC Securities HDB Financial Services|
What do you mean by Home Loan?
A Home loan is a loan which is obtained to purchase a house or a flat or to make repairs to an existing house.
How to Apply for HDFC Bank Home Loan?
Apply for HDFC Bank to buy or construct your dream house. At HDFC Bank, you can enjoy attractive home loan interest rates along with hassle-free loan application process, easy loan repayment options, and flexible tenures.
The first step to take a home loan is to check your eligibility. The eligibility for the Home loan depends upon your repayment capacity. Repayment capacity is determined based on your monthly income, monthly expenses, other liabilities etc. The basic eligibility requirement is that will you be able to pay your loan installments on time or not.
After considering your eligibility, the bank considers the value of the property which needs to be financed. Typically, home loan is secured loans. This means the property papers will be with the bank till the loan is repaid.
The application process for a Home Loan is simple. Each bank has its own loan application process. HDFC Bank applications can be done online through the bank’s website, or offline mode in the bank branch. Both cases requires a form to be filled up and the relevant documents to be attached.
Wide Range of Home Loans offered by HDFC Bank
Home Loans offered by HDFC Bank are as follows:
1. Home Loans: This loan scheme is to purchase a house, flat, bungalow, or to construct a house.
2. Home Improvement Loans (HIL): You can relay on Home Improvement Loans from HDFC Bank for internal and external repairs and restructuring. This loan covers various home repairs/renovation activities like painting, roofing, electrical work, plumbing, tilling and flooring, grills, windows, and much more.
3. Home Extension Loan (HEL): HDFC Bank offers Home Finance designed to help you add more space to your existing home for growing needs. Such as extra bedroom, home office, library room, etc.
4. Top Up Loans: Existing customers can avail for Top Up Loan on their existing Home Loan at attractive interest rates. Get a Top Up amount up to Rs 50 lakh.
5. Home Balance Transfer Scheme: This is for the existing house loans transferred from other banks to HDFC at lower interest’s rate.
6. HDFC Rural Housing Loan Scheme: This is a scheme for agriculturists, dairy farmers, planters, and horticulturists looking to buy a new or existing residential property in rural or metropolitan area.
7. The PMAY: This loan is for the economically weaker sections of the society, low income groups, and middle-income groups to purchase, construct, improvement, or extension of a house with a minimum interest subsidy of Rs 2.67 lakh.
Also Read: HDFC Bank Personal Loan
Advantages of HDFC Bank Home Loan
Following are some of the advantages of HDFC Bank Home Loan:
- No hidden charges
- Pe-approval of home loan available
- HDFC Bank offers special programs for Indian Army personnel (AGIF)
- The nominal processing charge is Rs 3000
- Rapid approval and processing
- Minimum documentation and clear terms and conditions
- Free and safe document storage
- Competitive interest rates
- Customers are assisted at their door
- Hassle-free loan application process
- Easy loan repayment options
- Flexible tenures
HDFC Bank Home Loans Interest Rates
The HDFC Bank home loan interest rates starts at 8.40% to 9.25% but varies as per individual profile. Interest rates for Salaried or Self-Employed Professional varies from 6.80 to 7.30.
HDFC Bank Home Loans Eligibility Criteria
Home loan eligibility may be differ from one candidate to another. The eligibility criteria for HDFC Bank housing loan are as discussed below:
- Resident and non-resident Indians
- Individuals whose age is between 21 and 60 years of age
- He/She must meet the requirement for credit score and should not be under too many debts
- Salaried and self-employed individuals
- Individuals who have had a job for at least 2 years, with a minimum of 1 year with the current employer
- Those who earn a minimum of 25,000 net income per month
- Dairy Farmers etc.
Processing Fees of HDFC Bank Home Loans
- Salaried/Self-Employed Professionals: Up to 0.50% of the loan amount or Rs 3,000, whichever is more.
- Non-Professionals who are Self-Employed: Up to 1.50% of the loan amount or Rs 4,500, whichever is greater.
Some of the common documents required to get a Home Loan are:
- Passport size photograph
- Fully filled and signed housing loan application form
- KYC documents including their identity and residential proof
- Income Tax returns for the past 3 years
- Bank statement for past 6 months
- Any other collateral statements
- Property registration papers
- Qualification certificate
- salary slip etc.
1. What is the minimum credit score required for applicants to qualify for an HDFC Bank Home Loan?
Ans: HDFC has not set a minimum credit score for home loan applicants. On the other hand, HDFC offers cheaper interest rates to house loan applicants with credit score of 750 or higher.
2. What is the age limit to apply for HDFC Bank Home Loan?
Ans: The applicant must be at least 21 to 65 years old to apply for HDFC Bank home loan.
3. Can I close HDFC Home Loan before the loan tenure?
Ans: Yes, you can close the HDFC home loan account before the loan tenure. There is no prepayment charge for floating home loans.
4. Is Home Loan insurance refundable?
Ans: If you pay for the policy yourself, the money will be refunded to your bank account after 15 days. If you pay for it with a bank or credit card, the money will be removed from the loan amount. It will include the insurance premium.
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