Best Home Loan in India: Top Banks and Financial Companies in 2024
Best Home Loan in India
Owning a house is a huge milestone, achieving which can be overwhelming if you do not have enough funds. In these cases, a home loan can be a lifesaver, providing the financial support you need.
A home loan, or housing loan, is the sum borrowed from banks or financial companies that you repay over time.
If you are planning to buy a house and need funding, this guide will walk you through the best home loan options in India for 2024. Keep reading to choose the best home loan in India and make an informed decision.
Best Housing Loan in India
Here is a table outlining the best home loan options available in India as of 2024, along with their interest rates and processing charges.
Top 5 Banks for Home Loans in India |
||
| Name | Interest Rate | Processing Fees |
| SBI Home Loan | 8.50% to 9.65% | 0.35% of the loan amount plus applicable GST, subject to a minimum of ₹2,000 plus applicable GST and a maximum of ₹10,000 plus applicable GST |
| HDFC Home Loan | 9.40% to 9.95% (8.75% to 9.65% for special applicants) | Up to 0.50% of the loan amount or ₹3,000 whichever is higher plus applicable taxes and/or statutory levies |
| Axis Bank Home Loan | 8.75% onwards for salaried applicants and 9.10% onwards for self-employed applicants | Up to 1% of the loan amount or ₹10,000 (whichever is higher), plus applicable GST + upfront processing fee of ₹2,500 plus applicable GST |
| ICICI Home Loan | 8.75% to 10.05% | 0.50% of the loan amount plus applicable taxes |
| Bank of Baroda Home Loan | 8.40% to 10.60% | 100% waiver in processing charges, subject to recovery of out-of-pocket expenses of ₹10,000.00 + GST (per property) |
Top 5 Housing Finance Companies in India |
||
| LIC Housing Finance Home Loan | 8.50% to 9.25% | 0.25% of loan amount subject to a maximum of ₹15,000 + GST for loan amount up to ₹1 crore |
| Aditya Birla Home Loan | 8.6% onwards | Up to 1% of the loan amount |
| Bajaj Housing Finance | 8.50% to 15.00% | Up to 4% of the loan amount + GST as applicable |
| PNB Housing Finance | 8.5% onwards | 1% of the loan applied for + GST |
| IIFL Housing Finance | 8.75% onwards | Up to 1.75% of the loan applied plus applicable taxes |
Overview of Best Home Loan in India
Let us take a look at the brief overview of top choices for securing the best home loan in India:
- SBI Home Loan
SBI Home Loans, India’s largest mortgage lender, offers a one-stop solution for home buyers in India. Applicants can explore the loan options, check eligibility and apply online with ease to make their dream home a reality.
- Eligibility: 18 to 70 years
- Documents Required: Income proof, identity proof, address proof property papers, account statement, loan application affixed with 3 Passport size photographs.
- HDFC Home Loan
Besides attractive interest rates, HDFC home loans come with no hidden charges and customised repayment options. You can also opt for their expert legal and technical counselling to make well-informed decisions and ensure a seamless home-buying experience.
- Eligibility: 21 to 65 years
- Documents Required: Identity and residence proof, last 3 months’ salary slips, 6 months’ bank statements reflecting salary credits, latest Form-16 and IT returns.
- Axis Bank Home Loan
One of the best banks for home loan, Axis Bank offers financing solutions at 8.75% p.a., with tenures up to 30 years and amounts starting from ₹3 lakh. Enjoy reducing EMIs, EMI waivers, mixed interest rates and overdraft facilities, including options for affordable housing loans.
- Eligibility: More than 21 but less than 65 years of age
- Documents Required: Identity and residence proof, birth certificate, signature proof, Aadhaar, PAN card, passport-size photographs.
- ICICI Home Loan
ICICI Bank home loans are available up to ₹5 crore. With flexible tenure options, you can choose a repayment plan that suits your needs. Whether you are buying your first home or upgrading, the bank provides a seamless, customer-friendly experience to all applicants.
- Eligibility: 20 to 65 years (up to 70 years for self-employed applicants)
- Documents Required: Identity, address and age proof, bank statements of last 6 months, processing fee cheque, Form 16/IT Returns , application form with photograph.
- Bank of Baroda Home Loan
The home loan interest rates at Bank of Baroda start from 8.40% p.a., with tenures extending up to 30 years and flexible repayment options. A key benefit of choosing BOB home loans is the ability to opt for a top-up loan up to 5 times throughout the loan period.
- Eligibility: At least 21 years (18 years if you are a co-applicant)
- Documents Required: Identity, address and age proof, application form with photograph, property documents.
- LIC Housing Finance Home Loan
LIC housing finance offers a broad range of home loans with some of the lowest interest rates available. With customizable options based on your eligibility, you can benefit from features such as no prepayment penalties and the ability to transfer or take over existing home loans for added convenience.
- Eligibility: All salaried employees working in private or government/public organisations and self-employed individuals
- Documents Required: KYC documents, income statements and property documents.
- Aditya Birla Home Loan
Aditya Birla home loans provide a range of repayment options, including step-up, step-down and extended tenure, to suit your financial needs. Manage your debt effectively with their floating-rate home loans and make early repayments without penalties.
- Eligibility: Decided based on repayment capacity and property value
- Documents Required: Identity, address and income proof, bank statement, rental receipts, property documents.
- Bajaj Housing Finance Home Loan
With EMIs starting as low as ₹733/lakh and flexible repayment tenures extending up to 40 years, Bajaj Housing Finance allows you to repay the loan at your own pace. You can apply online and get your loan disbursed within 48 hours. Another unique feature is that you can transfer existing housing loans to benefit from lower rates and avail a top-up loan of ₹1 crore or more.
- Eligibility: 23 to 75 years
- Documents Required: KYC documents, proof of income, application form, property documents.
- PNB Housing Finance
There are several loan options available at PNB Housing with flexible tenures of up to 30 years, which you can avail until the age of 70. PNB can finance up to 90% of the property value. However, the applicant should be at least 21 years old to enjoy these benefits.
- Eligibility: 21 to 70 years
- Documents Required: Address, age and income proof
- IIFL Housing Finance
IIFL is among the top 5 housing finance companies in India for providing home loans starting from ₹2 lakhs with approval in just 30 minutes. Its quick approval system, requiring minimal documentation and online application, allows you to secure your dream home effortlessly.
- Eligibility: 18 to 75 years
- Documents Required: Address, age and income proof, proof of identity, employment proof, property documents, loan application form.
Conclusion
Even after finding the best home loan in India, buying a house involves more effort on your part. You need to carefully review the requirements, as each lender may have different criteria. Choose the right option based on your specific needs and repayment capacity to ensure it fits your financial situation.
