New Delhi: Now is the best time to buy the dream home you’ve wanted to buy for years. Top lenders – State Bank of India (SBI), Kotak Mahindra Bank, Axis Bank, and Bank of Baroda – recently cut their home loan interest rates to an all-time low of 15 years. Banks have added numerous offers and discounts to help fuel demand over the holiday season.Also read – Construction loan rate at an all-time low: HDFC announces construction loan with 6.7% interest, so you apply for it
“Coupled with real estate prices and additional discounts and offers from developers, very real savings can be made on the most expensive investment in life,” said Santhosh Kumar, Vice Chairman – ANAROCK Property Consultants, quoted by Lively mint. Also read – Good news for loan seekers as banks offer record low interest rates. Details here
Here are the different home loan interest rate models offered by different banks: Also read – RBI partially lifts technology ban for HDFC-Bank and enables it to issue new credit cards
State Bank of India
SBI offers home loans at an interest rate of 6.90 percent for up to Rs 30 lakh and 7 percent for over Rs 30 lakh and under Rs 2 crore. The same concession would apply to home loans of up to Rs 3 billion in eight metropolitan areas.
Borrowers also receive an interest reduction of 25 bps on a loan amount over Rs 75 lakh based on their CIBIL score. Those who apply via YONO receive an additional license of 5 bps.
Kotak Mahindra Bank
Kotak Mahindra customers can get home loans starting at 6.9 percent per year this Christmas season, with a special discount for female applicants.
In addition, if borrowers switch their credit account from another bank to Kotak, they can save up to Rs 20 lakh on transferring the balance, the bank said.
Bank of Baroda
On Saturday, the state bank announced a 15 basis point reduction in its repo-linked lending rate for home loans, bringing home lending rates down to a starting price of 6.85 percent.
Axis bank, HDFC bank
Axis Bank has cut its mortgage rates by 6.9 percent annually. The same applies to the HDFC Bank. However, all private banks charge 0.5 percent of the loan amount as processing fees, which are capped at 3,000 rupees.
Union Bank of India
Home loans with the Union banks start at an interest rate of 7 percent and there is no processing fee until December 31st. The bank has lowered its home loan interest rate by 10 basis points for loans over Rs 30 lakh. Borrowers receive an additional discount of 5 basis points for the interest rate.