Housing financing provides cash for homebuyers, making it vital to the real estate market. Many Housing finance companies in India provide housing finance options to encourage homeownership, including loan guarantees, down payment help, and discounted interest rates for qualified persons.
Financial organizations like banks and credit unions provide customized house financing alternatives per consumer demands. To manage homeownership risks, housing finance includes mortgage insurance to protect lenders from default and property insurance to prevent damage or loss. In this blog, we will explain housing finance and a list of the top 10 home loan companies in India to help you choose the best one.
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List Of The Housing Finance Companies In India
Here is a list of the top 10 housing finance companies in India:
- HDFC Ltd. (Housing Development Finance Corporation Limited)
- LIC Housing Finance Ltd. (LIC HFL)
- Indiabulls Housing Finance Ltd.
- PNB Housing Finance Ltd.
- ICICI Home Finance Company Ltd.
- Aadhar Housing Finance Ltd.
- Tata Capital Housing Finance Ltd.
- Reliance Home Finance Ltd.
- Shriram Housing Finance Ltd.
- IIFL Home Finance Ltd. (India Infoline Housing Finance Limited)
Please note that this list of home loan companies in India is partial, as many other housing finance companies operate in India, but these are some of the major players in the market.
Here’s a table containing interest rates, tenure, and processing costs for each home loan provider in India:
HDFC Ltd. (Housing Development Finance Corporation Limited)
HDFC Ltd. pioneered and became India’s home financing powerhouse. It has helped millions become homeowners since 1977. HDFC serves many sections of society with house loans, loans against property, and construction financing. Investors and consumers trust its customer-centric approach, innovative goods, and robust procedures.
| Interest rate | Processing fee | Tenure |
| 8.55% | Upto 1.50 % of the Loan amount | 30 years |
LIC Housing Finance Ltd. (LIC HFL)
Since its 1989 founding, LIC Home Finance Ltd., a subsidiary of LIC, has been a significant home finance player. LIC HFL offers home loans, loans against property, and fixed deposits throughout India. Our reasonable interest rates, open procedures, and individualized customer care make us a valued partner for millions of homeowners. In providing affordable home financing solutions to everybody, LIC HFL promotes financial inclusion and social responsibility.
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| Interest rate | Processing fee | Tenure |
| 8.35% | up to 0.50% of the loan amount | 20 years |
Indiabulls Housing Finance Ltd.
Innovative products and client service make Indiabulls Housing Finance Ltd. a housing finance leader. It offers house loans, loans against property, and construction financing and has grown nationwide since 2005. Indiabulls Housing Finance meets our clients’ demands with affordable interest rates, fast loan processing, and flexible repayment alternatives.
Both new and returning customers can get online help from Indiabulls Home Loans for any questions they may have about house loans. Their range of services will help you make sure that your home-buying process is seamless, wherever you are and at any time. They are dedicated to providing you with the greatest possible home-buying experience and becoming your ideal home loan partner by combining efficiency in our products, services, and procedures.
| Interest rate | Processing fee | Tenure |
| 8.8% | 0.50% onwards of loan amount | 21 years |
PNB Housing Finance Ltd.
Punjab National Bank’s PNB home financing Ltd. has participated significantly in India’s home financing business since 1988. The firm provides house loans, loans against property, and development financing for its diversified client base. Many homeowners choose PNB Housing Finance for its low rates, open procedures, and individual attention.
| Interest rate | Processing fee | Tenure |
| 8.8% | 0.35% of the loan amount | 30 years |
ICICI Home Finance Company Ltd
A subsidiary of ICICI Bank, ICICI Home Financing Company Ltd. has been a significant home financing player in India since its founding. The organization offers home loans, loans against property, and home renovation loans, prioritizing client happiness and innovation. The goal of ICICI Home Finance, a division of the 68-year-old ICICI Group, is to enable millions of Indians to realize their ambition of owning a new home. ICICI HFC is led by CEO and MD Anirudh Kamani and employs a group of experts in banking and finance.
| Interest rate | Processing fee | Tenure |
| 8.75% | 0.50-2 % of loan amount | Up to 30 years |
Aadhar Housing Finance Ltd.
Since its start, Aadhar Home Financing Ltd. has provided home financing options to economically disadvantaged consumers. First founded in 2010, the organization promotes financial inclusion and helps families become homeowners. It offers carefully chosen, specially designed financial services to target clientele earning between Rs 5,000 and Rs 50,000 per month and up. For a 20-year loan term, the interest rate on an Aadhar home loan increases from 11.75% to 17%.
Read: Unlocking Your Dream Home with Sundaram Home Finance
| Interest rate | Processing fee | Tenure |
| 7-12 % | 1.5 % of the loan amount | Up to 30 years |
Tata Capital Housing Finance Ltd.
The Tata Capital Housing Financing Ltd. division of Tata Capital Limited has been a significant participant in India’s housing financing business since its founding. For its varied client base, the firm provides house loans, loans against property, and development financing. Affordable interest rates, flexible repayment choices, and clear procedures make Tata Capital Housing financing a popular housing financing alternative for individuals and families.
| Interest rate | Processing fee | Tenure |
| 7-12 % | 1.5 % of loan amount | Up to 30 years |
Reliance Home Finance Ltd.
A leading participant in India’s home financing business, Reliance Home Financing Ltd. offers a wide variety of options. People and families may get reasonable and accessible home financing from the firm. Customers seeking a house loan select Reliance Home because of its reasonable interest rates, flexible repayment alternatives, and customized service.
| Interest rate | Processing fee | Tenure |
| 9.75 % | 0.5- 1.5 % of loan amount | Up to 20 years |
Shriram Housing Finance Ltd.
Shriram City Union Finance Ltd.’s subsidiary, Shriram Housing Finance Ltd., has been a major participant in India’s housing finance business since its founding. The organization offers families and people nationwide inexpensive and accessible home financing alternatives. Shriram Housing Finance’s social responsibility and ethical business practices demonstrate its corporate citizenship and help create vibrant communities throughout India.
| Interest rate | Processing fee | Tenure |
| 9.5 % | 2.5 % of the loan amount | Up to 25 years |
IIFL Home Finance Ltd. (India Infoline Housing Finance Limited)
A subsidiary of IIFL Loan Ltd., IIFL Home Finance Ltd. is India’s significant home loan provider. People and families may get reasonable and accessible home financing from the firm. Customers looking for house financing select IIFL Home financing because of its reasonable interest rates, flexible repayment alternatives, and customized service. Due to its honesty, integrity, and customer happiness, millions of people trust and support the organization. A responsible corporate citizen, IIFL Home Finance helps communities throughout India flourish and prosper through social responsibility and ethical business practices.
| Interest rate | Processing fee | Tenure |
| 8.50 % | 0.50-1.75 % of the loan amount | Up to 30 years |
The home loan finance company interest rates depend on loan size, borrower credit profile, and market circumstances. Processing fees are usually a percentage of the loan amount and vary by bank and loan type. Contact the banks directly for the most current and up-to-date home financing information.
Find the best housing finance companies in India with NoBroker
This list of housing finance companies in India provides several possibilities to families and individuals seeking property. Lenders like HDFC Ltd., LIC Housing Finance Ltd., and Indiabulls Housing Finance Ltd. provide reasonable interest rates and flexible tenure choices. Some of these companies serve specialized market niches, guaranteeing financial inclusion and home financing options for everybody. The Indian housing finance sector is evolving due to innovation, customer-centricity, and enabling people and families to become homeowners.
Frequently Asked Questions
1. What are Housing finance companies?
HFCs finance housing-related activities. Their specialties include house, building, home renovation, and property financing. HFCs are home finance experts, unlike ordinary banks.
2. What differentiates HFCs from banks?
Banks and HFCs provide home loans, but there are critical distinctions. Banks provide various financial services, including housing loans, whereas HFCs specialize in housing financing. HFCs may also provide attractive interest rates, flexible lending requirements, and exclusive homebuyer products.
3. What are the HFC regulations?
The NHB regulates Indian HFCs. To maintain HFC stability, the NHB established regulatory and prudential criteria. These rules include capital sufficiency, asset categorization, provisioning, corporate governance, and transparency. Housing financing HFCs must follow specific requirements.
4. How do HFCs evaluate loans?
When determining loan eligibility, HFCs consider job stability, property value, income, credit history, age, and financial responsibilities. Typically, they evaluate the borrower’s repayment capabilities and creditworthiness thoroughly. The maximum loan amount is also determined by the loan-to-value (LTV) ratio, which is the loan amount divided by the property value.
5. Have HFC loans any advantages?
Competitive interest rates, housing finance-specific products, flexible repayment choices, and individualized customer service are all benefits of borrowing from HFCs. As housing market experts, HFCs can tailor solutions to homeowners’ demands. Many homebuyers choose HFCs because they handle loans faster than banks.
