LIC Home Loan versus Home Loans from Other Banks

LIC Housing Finance offers home loans at an attractive rate of interest to both salaried and self-employed applicants.

LIC Housing Finance Home Loan Types

1. LIC Griha Prakash and Griha Laxmi Loans : Purchase a new or resale property, or to construct a home.
2. LIC Griha Sudhar Loan : Repair an existing home, or to refurbish it (ex. painting, plumbing,electrical work etc)
3. LIC Griha Prakash Loan : Extend an existing home by adding additional rooms or storeys.

IDBI Home Loan versus Home Loans from Other Banks

IDBI bank offers IDBI home loans to people who want to purchase a new or under-construction property or land as well as to those who want to transfer an existing home loan to an IDBI home loan.

Features & Benefits of IDBI Home Loan

1. Reassessment and adjustment of applicant's loan eligibility in case of change of income and residence status
2. Maximum funding
3. Flexibility of choosing between floating or fixed interest rate
4. Legal and technical assistance, simple documentation and doorstep service

SBI Home Loan versus Home Loans from Other Banks

State Bank of India (SBI) is the third largest home loan lender in India after HDFC Ltd and ICICI Bank. SBI quotes home loan interest rates in terms of daily reducing balance. The interest rate charged on an State Bank home loan varies according to the loan amount, and the processing fees also vary according to the amount of the home loan. SBI does not offer doorstep service, hence an SBI home loan borrower must visit an SBI branch in order to complete his paperwork and also to follow-up on the status of his application.

Main SBI Home Loan Schemes

1. SBI Realty : Purchase of plot of land
2. SBI Optima : Loan to existing home loan borrowers
3. SBI Green Home Loan : For homes that fight against the adverse climate change, SBI offers 0.25% concession in interest rate and waiver of processing fees
4. SBI Flexi : Combination of floating and fixed interest rate, in a pre determined ratio
5. NRI Home Loans : Loans for NRIs and PIOs
6. SBI Freedom : Pledging other financial security than mortgaging the house
7. SBI Max Gain : Operate your home loan account like your SB or Current Account

Axis Home Loan

Axis Bank offers home loans at attractive rates for various purposes like purchasing new home/flat, purchasing land,extending/renovating existing house etc

Features & Benefits of Axis Home Loan

1. Option to transfer existing home loan from another bank
2. Low rate of interest
3. Both floating and fixed rate home loans are available
4. Axis home loans are available to both self-employed and salaried applicants
5. Applicants can either apply as individuals or jointly for a Axis home loan

ICICI Home Loan

ICICI offers home loans for wide range of purposes and is one of the leading home loan lenders in India

ICICI Home Loan Types

1. ICICI Home Loan : Purchase a new or resale property, or to construct a home
2. ICICI Home Improvement Loan : Repair an existing home, or to refurbish it (ex. painting, plumbing,electrical work etc)
3. ICICI Land Loan : Purchase land for construction of house in near future
4. ICICI EMI Under Construction : Purchase home that is already under construction
5. ICICI Balance Transfer Loan : Transfer home loan from other banks/financial institutions
6. ICICI Top-Up Loan : Get additional funds for personal requirements on the existing home Loan on the same property
7. ICICI Office Premises Loan : For entrepreneurs to purchase, construct or extend their office premises

Features & Benefits of ICICI Home Loan

1. Partial pre-payment on your ICICI home loan can be made without incurring any charges
2. Documentation is simple
3. ICICI offers doorstep service for ICICI home loans, thus saving you a lot of time
4. ICICI will pre-sanction your ICICI home loan even before you identify your property

HDFC Home Loan

Housing Development Finance Corporation Limited (HDFC) which was incorporated in 1977, is the largest home loan lender in India.

HDFC Home Loan Types

1. HDFC Home Purchase Loan : Purchase a new or resale property, or to construct a home.
2. HDFC Home Improvement Loan : Repair an existing home, or to refurbish it (ex. painting, plumbing,electrical work etc)
3. HDFC Home Extension Loan : Extend an existing home by adding additional rooms or storeys.
4. HDFC Land Purchase Loan : Purchase land without immediate construction of house

Features & Benefits of HDFC Home Loan

1. By automated repayment, customer can repay home loan EMIs directly from their HDFC Bank savings account, saving customer the trouble of procuring, signing and tracking post-dated cheques
2. Home loan customers can avail other loans (such as HDFC Personal Loans, HDFC Car Loans, Two-wheeler Loans and Loan against securities) at lower interest rates
3. HDFC home loans are one of the lowest interest rates in the market
4. Fixed or floating structures are both available. Individual and join home loan are supported
5. When home loan interest rates changes, customer can opt to pay same EMI so that their tenure increases/decreases based on interest rate change
6. Repayment schemes like 'Step Up Repayment','Accelerated Repayment Scheme' which help customers decide higher EMIs when they get increments

Comparing home loan quotes from different banks/NBFCs

1. Banks quote interest rates in many different ways (ex. monthly reducing rate, flat rate), hence just looking at the interest rate value alone might not give you a true picture of which home loan quote is the best. The processing fee should also be considered when comparing loan quotes. The best way of finding out which home loan quote is the cheapest is by comparing the total amount that you need to pay in order to completely pay off your home loan.
Total cost of home loan = Loan amount + Total interest charged throughout loan tenure + Processing fees & related taxes
2. Compare the customer satisfaction ratings of each bank, as you'll need to remain in contact with your bank for the period of your loan, which could be the next 20 years
3. The amount you are eligible for will vary by bank, hence choose a lender who lends you enough for you to afford the down-payment on the house