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Your Home is a place where you relax after coming back from your day¶s tiring work, it is that
place where you can give time to your family & spend beautiful moments with them. To acquire
a home which can be christened your ³Own House´ is a life-time decision & has to be taken with
a lot of planning & requires huge finances. Your Dream Home is not very far away with a Home
Loan which will fulfi ll your Dream into a reality. We at Deal4Loans are working constantly to get
you the BEST Loan Deal & have brought a small guide which would answer some important
questions related to Home Loan & help you decide your loan deal.






Home Loan is a Secured Loan offered against the security of a house/property which is funded
by the bank¶s loan, the property could be a personal property or a commercial one. The Home
Loan is a loan taken by a borrower from the bank issued against the property/security intended
to be bought on the part by the borrower giving the banker a conditional ownership over the
property i.e. if the borrower is failed to pay back the loan, the banker can retrieve the lent
money by selling the property. Get more Information on home loan section click Articles about
Home Loan and Home Loan must read.


 



 

 Before borrowing any loan borrower compare interest rates. Generally people
prefer to take SBI Home Loan because SBI (State bank of India) is main centralized and
national bank. SBI provides loan at comparatively low interest rate.




 HDFC stands for Housing Development Finance Corporation. This unit
is for housing development. HDFC provides loan and low interest rate. And you are facilitated
with ease repayment option. HDFC gives you an option of easy EMI. Because of flexible feature
and transparent policy, most people prefer HDFC home Loan for their requirement.

  


 ICICI Bank offers a wide range of Home Loan products, designed to
meet the requirements of customer. : ICICI Bank offers Doorstep service, Speedy loan sanction,
Simplified documentation and Loan amounts ranging from Rs. 2 lakh to Rs. 3 crore Rupees only.





There are different types of home loans available in the market to cater borrower¶s different
needs.

‡ 




 This is the basic type of a home loan which has the purpose of
purchasing a new house.

‡ 
 


 This type of home loan is for the renovation or repair of the
home which is already bought

‡ 


 This type of loan serves the purpose when the borrower wants to
extend or expand an existing home, like adding an extra room etc.

‡ 


 It is that loan wherein the borrower has already taken a home loan
to finance his current home, but now wants to move to another home. The Conversion Home
Loan helps the borrower to transfer the existing loan to the new home which requires extra
funds, so the new loan pays the previous loan &fulfills the money required for new home.
‡ 

 This type of loan helps finance the new home of the borrower when he wants
to sell the existing home, this is normally a short term loan to the borrower & helps during the
interim period when he wants to sell the old home & want to buy a new one, It is given till the
time a buyer is found for the old home.

‡ 


 This type of loan taken when the borrower wants to construct a
new home.

‡ 




 It is that loan which is taken to purchase a land for construction &
investment purposes.







Generally the documents required to processing your loan application are almost similar across
all the banks; however they may differ with various banks depending upon specific requirement
etc. Following documents are required by financial institutions to process the loan application:
‡ Age Proof
‡ Address Proof
‡Income Proof of the applicant & co-applicant
‡ Last 6 months bank A/C statement
‡ Passport size photograph of the applicant & co-applicant








‡ Employment certificate from the employer,
‡ Copies of pay slips for last few months and TDS certificate
‡ Latest Form 16 issued by employer Bank statements








‡ Copy of audited financial statements for the last 2 years
‡ Copy of partnership deed if it is a partnership firm or copy of memorandum of association and
articles of association if it is a company
‡ Profit and loss account for the last few years
‡ Income tax assessment order







 

There are various steps involved in getting a Home Loan from selecting your property to filling
up the loan application. Following are the various stages in Home Loan:

‡ The first step involved in the process is to 
 which is followed by the
verification of property documents, post that the documents are examined & simultaneously you
can start searching for the lender who can offer the BEST Home Loan Deal after checking your
eligibility criteria.

‡ 


 Banks offer the loan amount only after checking your
profile & based on various eligibility criteria¶s like age, income & salary banks lend you the
money.

‡ 











 Comparing home loan interest rates is the
primary feature in the home loan selection, however other fees & charges like Application fees,
processing fees, legal charges should not be neglected when comparing various loan offers. To
check the interest rates & other charges incurred by various banks, Deal4Loans has brought in a
Home Loan Comparison Chart across various Banks.

‡ 

 After you have selected your lender, you have to fill in the
application form wherein the lender requires complete information about your financial assets &
liabilities; other personal & professional details together with the property details & its costs.

‡ 







 You are required to submit the necessary
documents to the bank which will be verified together with the details in the application.

‡ 





 Bank checks out the borrower¶s loan eligibility (through repayment
capacity) & the amount of loan is confirmed. The borrower¶s repayment capacity is reached
which is based on the income, salary, age, experience & nature of business etc. Bank also
checks credit history through the Cibil Score which plays a critical role in deciding & approving
your loan application. Low Credit Score implies that the bank upfront rejects your application on
the basis of earlier credit defaults; on the other hand high credit score gives a green signal to
your application.

‡ 



m




 After the credit appraisal of the
borrower bank decides the final amount & sanctions the loan, the bank further sends an offer
letter to the borrower which constitutes the details like rate of interest, loan tenure & repayment
options etc.

‡ 






 The borrower needs to send an acceptance copy to the bank
 after the borrower agrees with the terms & conditions in the offer letter.

‡ 








 The bank further asks the legal documents of property
from the borrower to check its authenticity so as to keep them as a security for the loan amount
given. The next step involved is the valuation of the property by the bank which determines the
loan amount sanctioned by the bank.

‡ 






 The borrower signs the loan agreement & the
bank disburses the loan amount.






Acquiring a Home Loan doesn¶t only involve the cost of home loan interest rates but it also
includes other charges & fee accompanying at various stages of taking the Home loan. You must
consider all these charges while comparing the cost structure across banks. Following is the
detailed fee structure incurred by banks at different loan stages:

‡ 



 It is a fee payable at the time of submitting the loan application to the
bank which is normally non-refundable. The fee ranges between 0.5 per cent and 1 per cent of
the loan amount.

‡ 



 It is a fee incurred by banks at the time of loan sanction; there are few
banks who have removed this fee so you must check it with all the banks.

‡ 





 When the borrower pre-pays the loan before the loan tenure, banks
charge a penalty which usually varies between 1 per cent and 2 per cent of the pre-paid
amount.

‡ 



 Banks also incur some charges from the customer for legal and technical
verification of the property.

‡ 






 When there is a delay in the payment of your EMI, banks
charge a late payment fee from the borrower which normally ranges from 2% to 3% of the EMI.

‡ 






 Banks charge between Rs. 250 and Rs. 500 for every bounced
cheque towards the loan payment because of lack of funds in your account.









The borrower¶s eligibility of getting a home loan depend upon his/her repayment capacity & the banks
establish this repayment capacity by considering various factors such income, spouse's income, age,
number of dependants qualifications , assets, liabilities, stability and continuity of occupation and
savings history. You can now check your eligibility for Home Loan through our Home Loan Eligibility
Calculator
Deal4loans has brought in the Home Loan Eligibility Factors by banks






‡ 






‡ 
 Your chances of getting a home loan are increased if you have a good credit history
which is known by banks by checking the borrower¶s Cibil score. Now it is very hard to get a loan from
another bank when you already have a bad debt with one bank.

‡ 

 Your eligibility to take a home loan will augment when you club your income
with your spouse¶s income, bank in this case will calculate your eligibility on the basis of the clubbed
income of both the applicants. You can club incomes of spouse, children & parents staying with you and
having regular income.

‡ 





 Longer is the loan tenure, lower will be the EMIs which further increases
the repayment capacity of the borrower & in turn enhances the loan eligibility.

‡ Step-up Loan: In this type of loan EMIs remain low in the beginning & increase gradually as and when
the borrower¶s spending power increases. Therefore lower EMIs in the initial years enhances the
borrower¶s ability to pay & further increases the loan eligibility
‡ 






 You must know that in a home loan bank finances only 85 to 90% for
the property & the rest amount has to be funded by the borrower. You should increase the down
payment if you have more than required amount which will mitigate your debt considerably.







The home loan borrower enjoys Tax Benefits on both Interest paid & the Principal re-paid. Under Section
24(d) of Income Tax, the deduction of interest payable on the home loan is up to a maximum of Rs. 1,
50,000.
Under Section 80(c) of Income Tax, Principal amount for the repayment of loan along with other savings
& investments is eligible for tax deduction up to a maximum limit of
Rs. 1, 00,000.

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Home Loan plays an important role in helping one for easy availability of dream home. There are
number of banks that offer home loans for low interest rate. Home loan has some formalities
starting from submitting application to disbursement of loan amount. You can keep basic documents
ready for saving time and efforts.

Home Loan amount varies from person to person depending on the repayment capacity, age and
income, dependents and so on. The loan is available to those who are eligible for a contract. Such as
any person who is not less than 18 years, must not be insane and insolvent or bankrupt. Loans are
offered to salaried individuals, professionals or businessmen or self employed individuals and NRI͛s.

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  Let our Expert help you. Click here.




There are mainly three stages for transferring home loan from lender to borrower. They are as
follows:

1. x




  

  This is the first step in applying for home
loan. Borrower has to submit a duly filled application with all necessary documents.
2. ë
  This is the process of allotting home loan depending upon your age, repayment
capacity and value of your property.
3. x   This is process of transferring loan from lender to borrower. There are
number of banks to lend you a home loan. They will transfer the amount sanctioned to your
account.

x 

èor sanction of home loans by a bank you need to submit basic documents along with application. It
determines the rate of interest and amounts to be sanctioned as home loan. The amount varies for
each person depending upon their repayment capacity and credit rating. èollowing documents are
essential for getting sanction of home loans.

ñ xuly completed application form with Passport size Photo

ñ Repayment Track record of existing loans (if any)
ñ Proof for Photo and age
ñ Residence Address proof and signature verification proof.
ñ Copy of Sanctioned plan and sanction letter
ñ èee Cheque

Additional documents required are the following

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ñBank Statement for 6 months (Operating Account in case of self occupied)

ñIncome Tax return/ Computation of Total income Certified by Charted Accountant (CA) for
last three years

ñTax Challan, Balance sheet and Profit/Loss Account for last three years

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ñTxS Certificate and Identity card

ñBank Statement of Salary Account for 6 months

ñLast three months salary slip and èorm 16

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ñ ^

You need to do some homework before applying for Home loan. You need
to know how much you can afford. It depends on various aspects such as your monthly
expense, current salary or income, credit rating, down payments and interest rate,
dependents and so on.

ñ ÿ ÿ There are number of banks that compete to offer home loans at low interest.
You need to make some homework and compare the cost and the rate of interest offered by
each lender.

ñ ÿ

After scrutiny of your loan application, bank sanctions the loans
and disburse them into your account. You need not make hurry in choosing a home. Contact
 your realtor for appropriate home or place. Make inspection of property you plan to buy and
make an offer.

ñ G  
There are various insurance for your property such as insurance from fire,
disaster and so on. Lender requires that you have insurance for your property to safeguard
their interest.

ñ ë 


 èollowing these tips step by step will help you close the deal smoothly
and you can sign final settlement. The property or dream home is yours now. If this is your
first property transaction, realtor will help you in each and every step to help you owe the
property.

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  Let our Expert help you. Click here.

  c
 

Home Loan is mostly used for purchase of new home or property. Most of the borrowers consider
home loan is only for buying a home or property but there are different home loans for meeting
different needs. Some of them are as follows:

c 
 This for purchase of new home and most of borrowers use this type of loan
in purchase of new home or property. These are very common and are basic home loans.

c G    It is a loan sanctioned or disbursed for the repairs and renovation in
existing home. This is very helpful for borrowers who wish to renovate or implement some repair
works in existing home or property.

c  
  This is a loan given for extending or expanding existing home. This can be
used for modification of rooms or adding an additional or extra room.

   
   The name itself states the purpose of loan. It is the loan sanctioned for the
purchase of land. Land can be either for construction or investment purpose.

cÿ 
   The loan is available for construction of new home. It is a loan sanctioned
for constructing a home in existing land or property.

cÿ    This loan sanctioned for existing borrower who have financed present home
with home loan and wished to move new home which needs an extra funds. This loan helps to
transfer existing loan to new home with extra amount and helps to avoid pre-payment charge of
previous loan.
 ½  Bridge loan is a loan for those who want to sell existing home and buy a new home.
This loan helps you to finance new home until you find a buyer for existing home.

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There are number of lenders who offer home loan at low rate of interest. It seems very complication
for buy a home and it will be easy if you move systematically. One of the important things in buying
a home is finding best housing finance company. Here are some tips for you to find best lender.

ÿ
  
   It is recommended to choose the lender only after
you finalize the property. It helps you to get home loan easily as the lender knows what type of
home you are planning to buy. Some company offers loan for self constructed or under construction
property and some offers ready to move in property.

 

 You need to talk to different banks to know which offers maximum amount and loan
at affordable rate. You can club your and your spouse income for increasing your loan eligibility.

G  There are fixed and floating rate of interest for home loan. èixed rate is not fixed
for long period but fixed for a certain period. If you are going for floating rate check whether rate of
interest of lender had floated down over last couple of years.

 c Never haste in choosing a lender. Remember that cost of loan depend on how you
negotiate. Check the rate of charges apart from interest such as legal charges, processing fee, hidden
cost, pre-payment fee and so on. Never trust on verbal promises of your lender and get everything in
writing.

HxèC
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What is your dream to own a two-bed apartment, a dream to own sea-facing penthouse or want to
buy a land to build your dream house? You can fulfill all your dreams by taking home loan from
HDFC bank. Bank finances up to 85% maximum of the cost of the property, gives home
improvement loan, loan for extension of existing house. Bank has flexible repayment options so
that you don¶t face problem. Insurance cover plan is given by HDFC Standard Life Insurance
Company Ltd. to cover life¶s uncertainties of the borrowers.

  

Interest Rate †


Loan Amount Min. -  
Max. -  
Tenure Min. - 
Max. - 
Time to Process Loan

 





   

15 - 20 Yrs. Floating 8.75 %
10 - 15 Yrs. Floating 8.75 %
5 - 10 Yrs. Floating 8.75 %
1 - 5 Yrs. Floating 8.75 %
15 - 20 Yrs. Fixed 14.25 %
10 - 15 Yrs. Fixed 14.25 %
5 - 10 Yrs. Fixed 14.25 %
1 - 5 Yrs. Fixed 14.25 %








Processing Fee 

Late Payment Penalty !

Pre-Payment Charges "

Cheque Swapping Charges  









Annual Income "!

Age Min.: !#$ Max.: $







ID Proof $


Residence Proof $


Income Proof $


Telephone 

Photograph $


Bank Statement $


Signature Proof $






mortgage of house

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% 

 







We have been a part of a 30 year journey with our 33 Lakh customers. Our home loan counsellors offer you the
time tested advice.

Be it legal documentation, project or builder approvals, and technical advice, we look forward to sharing with you
and this   

Our project approval facility provides our customers the comfort of purchasing properties from builders who
have complied with all basic documentation.



 


We offer door step service. Please call HDFC Home Line call for our Sales Executive to assist you or get in
touch with the HDFC Office near you, please  





 
 

You can buy, sell, lease residential or commercial properties through c







We provide loans to meet all your requirements for you to make that house a home.
Home Loans, Home Improvement Loans, Home Extension Loans, Loans to professionals for office or clinic,
Home Equity Loans (Loan Against Property), Loan Against Rent receivabl es, Short Term Bridging Loan.
Loans on Adjustable Rate, Fixed Rate.





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ë!
 
Helps young executives take a much bigger loan today based on an increase in their future
income, this helps executives buy a bigger home today!
" 
#
Often customers, parents and their children, wish to purchase properties together. The parent
is nearing retirement and their children have just started working. This option helps such
customers combine the incomes and take a long term home loan where in the installment
reduces upon retirement of the earning parent.
 $%
Customers purchasing an under construction property need to pay interest ( on the loan
amount drawn based on level of construction) till the property is ready . To help customer
save this interest, we have introduced a special facility of tranche Based EMI. Customers can
fix the installments they wish to pay till the property is ready. The minimum amount payable is
the interest on the loan amount drawn. Anything over and above the interest paid by the
customer goes towards Principal repayment. The customer benefits by starting EMI and
hence repays the loan faster.

ë 

Accelerated Repayment Scheme offers you a great oppourtunity to repay the loan faster by
increasing the EMI. Whenever you get an increment, increase in your disposable income or
have lumpsum funds for loan prepayment, you can benefit by:
Increase in EMI means faster loan repayment
Saving of interest because of faster loan repayment
You can invest lumpsum funds rather than use it for loan prepayment. The return from the investments also
gives you the comfort of paying the increased EMI..






 With over 200 offices, 90 outreach programs - HDFC is able to provide home loans in over 2400 locations in
India. You can apply at your local HDFC office for properties in locations where we finance.




 


Income tax Certificate to enable you t o claim the tax benefits are sent to you.   







ECS facility
Post dated cheques - o   
  &

Loan repayment at any HDFC offices

AXIS bank

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Axis bank provides you quick and easy home loans to buy a new house/flat. The home loan offered by the
bank has attached features like attractive interest rates, balance transfer facility, doorstep service and option
to choose from floating or fixed rate of interest. In case you want funds for booking a house/flat then bank
gives you pre-allotment booking finance. Even NRI can take the loan for purchasing a ready to use
residential property.

  

Interest Rate (
Loan Amount Min. -  
Max. - 
Tenure Min. - 
Max. - 
Time to Process Loan








   

15 - 20 Yrs. Floating 9.25 %
5 - 10 Yrs. Floating 9.25 %
10 - 15 Yrs. Floating 9.25 %
1 - 5 Yrs. Floating 9.25 %
15 - 20 Yrs. Fixed 14 %
10 - 15 Yrs. Fixed 14 %
5 - 10 Yrs. Fixed 14 %
1 - 5 Yrs. Fixed 14 %








Processing Fee "

Pre-Payment Charges !








 Annual Income "#

Age Min.: !$ Max.: $







ID Proof $


Residence Proof $


Income Proof $


Telephone $


Photograph $


Bank Statement $


Signature Proof $






Equitable mortgage of the property to be financed by way of deposit of title deeds.

ICICI


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ICICI Bank has designed home loan plans to suit your needs to lay foundation for your dream home. Bank
has special offers such as attractive loan interest rates, home loan amounts to suit your needs, home loan
repayment tenure up to 25 years and others. The bank even sanctions the approval without having selected
a property. Further it gives free personal accident insurance cover and insurance option for home loan at very
attractive premium.

  

Interest Rate 
Loan Amount Min. - 
Max. -  
Tenure Min. - 
Max. - 
Time to Process Loan








   

15 - 25 Yrs. Floating 12.5 %
10 - 15 Yrs. Floating 13 %
1 - 10 Yrs. Floating 13.5 %








Processing Fee "

 Cheque Bouncing Charges ! 

Late Payment Penalty !

Pre-Payment Charges !

Cheque Swapping Charges  

Changing Fixed to Floating rate of interest Charges "

Changing Floating to Fixed rate of interest Charges "

Document Retrieval Charges  









Annual Income "!

Age Min.: !$ Max.: $







ID Proof $


Residence Proof $


Income Proof $


Telephone 

Photograph $


Bank Statement $


Signature Proof $


SBI
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The bank provides loan for construction/purchase/renovation of house or flat including purchase of land for
construction of house.

  

Interest Rate 
Loan Amount Min. - 
Max. - (
Tenure Min. - 
Max. - 






    
5 - 15 Yrs. Fixed 12.5 %
1 - 5 Yrs. Fixed 12.5 %
15 - 20 Yrs. Floating 11.5 %
5 - 15 Yrs. Floating 11 %
1 - 5 Yrs. Floating 10.5 %