Best Home Loan In Bangalore
Here's a Quick Look At The Best Home Loan Interest Rates In Bangalore.
Searching for the best home loans in Bangalore? The city offers a range of lenders with competitive interest rates and customized plans to fit your needs. Start your journey to homeownership with the right financing option today!
Eligibility For Home Loan In Bangalore
To be eligible for a home loan in Bangalore, prospective applicants are required to fulfil the following criteria:
- Age : The minimum age for the applicants must be 21 years and maximum age limit should not exceed 65 years at the time of loan maturity.
- Income : The minimum annual income required is typically between Rs. 2-3 lakh, depending on the lender.
- Employment stability : The applicant should be employed for a minimum of 2-3 years, depending on the lender
- Credit score : A credit score of 750 or above is preferred by most lenders.
- Property valuation : The property being purchased must meet the bank’s legal and valuation criteria.
Documents Required To Get The Best Bangalore Bank Home Loan Interest Rates
You will need the following documents to apply for a home loan in Bangalore:
| DOCUMENT TYPE | DOCUMENT |
|---|---|
| KYC Documents | Aadhaar card, PAN card, passport, and voter ID card |
| Proof of Income | Salary slips, income tax returns, Form 16, and bank statements |
| Property-related Documents | Property registration papers, property tax receipts, and NOC from the builder or society |
| Proof of Employment | Offer letter, appointment letter, and employment contract |
| Others | Passport-size photographs, loan application form, and declaration of assets and liabilities |
It is important to note that the exact documents required may vary depending on the lender and the loan amount.
Comparing Home Loan Rates in Bangalore
| Lender | Home Loan Interest Rates In Bangalore | Processing Fees & Charges | Maximum Loan Amount | Maximum Loan Tenure |
|---|---|---|---|---|
| Aavas Financier Limited Home Loan | 8% | 2% | – | 30 Years |
| Aditya Birla Capital Home Loan | 9% – 12.50% | 1% | 10 Crores | 30 Years |
| Andhra Bank Home Loan | 8.15% – 9.20% | 0.50% or ₹15000 + GST (whichever is lower) | – | 30 Years |
| Axis Bank Home Loan | 8.75% – 14% | 1% | 10 Crores | 30 Years |
| Bank of Baroda Home Loan | 8.50% – 10.60% | 0.25%- 0.50% | 10 Crores | 30 Years |
| Bank of India Home Loan | 7.80% – 9.65% | – | 7.50 Crores | 30 Years |
| Bank of Maharashtra Home Loan | 8.40% | 0.25% or 25,000 (whichever is lower) | 1 Crore | 30 Years |
| Canara Bank Home Loan | 8.85%- 11.25% | ₹1,500 – ₹10,000 | 3 Crores | 30 Years |
| Central Bank of India Home Loan | 8.45% – 9.20% | 0.50% or ₹20,000 + GST (whichever of lower) | 75 Lakhs | 30 Years |
| DBS Home Loan | 8.25% – 9.75% | – | 5 Crores | 25 Years |
| Dena Bank Home Loan | 8.25% – 8.35% | 0.50% | 1.5 Crores | 30 Years |
| Dhanalakshmi Bank Home Loan | 7.2% | 1% or ₹10,00 + GST (whichever is higher) | 1 Crore | 30 Years |
| DHFL Home Loan | 8.75% | – | 5 Crore | 30 Years |
| Federal Bank Home Loan | 10.15% – 10.30% | – | 15 Crores | 30 Years |
| HDFC Ltd. Home Loan | 8.50% – 9.60% | 0.50% or ₹3000 (whichever is higher) | 10 Crores | 30 Years |
| IDBI Bank Home Loan | 8.75% – 11.45% | – | 10 Crore | 30 Years |
| IDFC First Bank Home Loan | 8% – 14% | 3% | 10 Crores | 30 Years |
| Indiabulls Home Loan | 8.75% | 1% | 2 Crores | 30 Years |
| Indian Overseas Bank Home Loan | 9.55% | – | – | 30 Years |
| India Shelter Finance Corporation Home Loan | 13% – 20% | 2% – 3% + GST | 50 Lakhs | 20 Years |
| Jammu and Kashmir Bank Home Loan | 8% | 0.25% + GST | 50 Lakhs | 30 Years |
| Karnataka Bank Home Loan | 9.08% – 10.38% | 0.50% – 2% | 5 Crores | 30 Years |
| Karur Vysya Bank Home Loan | 9.23% – 12.13% | ₹2500 – ₹7500 + GST | – | 25 Years |
| Kotak Mahindra Bank Home Loan | 8.85% – 9.40% | 0.50% | 10 Crores | 20 Years |
| LIC HFL Home Loan | 8.70% | 0.30% onwards | 10 Crores | 30 Years |
| PNB Housing Home Loan | 8.50% – 10.85% | – | 2 Crores | 30 Years |
| Reliance Home Finance Limited Home Loan | 9.35% – 13% | 0.50% – 1.50% | – | 20 Years |
| South Indian Bank Home Loan | 7.95% – 9.60% | 0.50% + GST | 15 Crores | 30 Years |
| State Bank of India Home Loan | 9.55% | ₹2000 – ₹10000 + GST | 5 Crores | 30 Years |
| Sundaram Home Finance Ltd Home Loan | 6.95% – 8.30% | 0.50% | 4 Crores | 25 Years |
| Tamilnad Mercantile Bank Home Loan | 9.10% – 9.60% | 0.50% | 5 Crores | 30 Years |
| Tata Capital Limited Home Loan | 8.95% | 2% | 5 Crores | 30 Years |
| Union Bank Home Loan | 8.75% | 0.50% or ₹15000 + GST (whichever is lower) | – | 30 Years |
| Yes Bank Home Loan | 9.15% – 11.25% | 1.5% – ₹10000 (whichever is higher) | 10 crores | 35 Years |
Top 5 Locations To Buy Homes In Bangalore
Here are the top leading and preferred locations in Bangalore, viable for home purchase along with some supporting information:
- Indiranagar : Indiranagar is an upscale locality in East Bangalore preferred for its high-end residential locales, restaurants, shopping centres and other infrastructure. The area is well connected to the rest of the city and is a popular location among young professionals and expats.
- Koramangala : Koramangala is a prime residential location in South Bangalore. It is well connected with the major parts of the city providing quality social infrastructures with many schools, restaurants and hospitals.
- Whitefield : Whitefield is a fast growing suburban area located in East Bangalore. It is home to several IT parks and tech companies, making it a prime location among tech professionals. This area also provides good social infrastructure with quality schools, shopping centers and hospitals.
- JP Nagar : JP Nagar is a residential area in the south of the city. With excellent social infrastructure, it also provides easy connection to the rest of the city. The area is known for its independent houses, villas and apartments.
- Jayanagar : Jayanagar is an established residential area in the south of the city known for its independent houses, villas and apartments. With good connectivity to the major parts of the city, it also provides access to several parks and gardens, making it a preferable choice among families.
Tax Benefits On Home Loan Rates In Bangalore
To be eligible for a home loan in Bangalore, prospective applicants are required to fulfil the following criteria:
- Tax deduction on interest payment : Section 24 of the Income Tax Act, 1961 allows a deduction of up to Rs. 2 lakh on interest paid for self occupied property and has no maximum limit for a rented-out property.
- Tax deduction on principal repayment : Under Section 80C of the Income Tax Act, 1961, borrowers can claim a deduction of up to Rs. 1.5 lakh on the principal repayment of a home loan.
- Tax benefits on joint home loans : If a home loan is taken jointly, each borrower can claim tax benefits on the interest paid and the principal repayment, proportionate to their share in the loan.
- Tax benefits on pre-construction interest : Borrowers can claim a tax deduction on the interest paid during the pre-construction period, in five equal instalments, starting from the year in which construction is completed.
- Tax benefits on stamp duty and registration charges : Borrowers can claim a deduction on stamp duty and registration charges paid while purchasing a house, subject to a maximum limit of Rs. 1.5 lakh under Section 80C.
NOTE:Tax benefits are subject to changes in tax laws and regulations. Borrowers are advised to consult a tax expert for detailed information on tax benefits of home loans.
FAQs
What is the difference between fixed and floating interest rates on home loans in Bangalore?
Home loans can have either fixed or floating interest rates. Fixed rates remain unchanged throughout the loan tenure, while floating rates are subject to market fluctuations and can vary over time. With fixed rates, borrowers can enjoy stability and predictability in their loan repayments, while the floating rates have the potential to be lower than fixed rates when market conditions are favourable.
What is the maximum loan amount I can get for a home loan in Bangalore?
Home loan eligibility in Bangalore is based on income, credit score, and property value. Banks usually offer up to 80% of the property value, with the maximum loan amount varying by the lender. In Bangalore, the upper limit for home loans is commonly set at Rs. 10-20 crores.
Can I prepay my home loan in Bangalore without penalty?
While many banks allow prepayment of home loans without penalty, some may charge a fee if the prepayment amount exceeds a specific limit or if it occurs within a designated period, like the first year of the loan.
How long does it take to process a home loan application in Bangalore?
Home loan processing periods in Bangalore vary by bank and typically may take up to 2-3 weeks for document verification, property appraisal, and loan approval. However, expedited processing may be available for specific loan types.
