Best Home Loan In Delhi
To ensure the best deal possible, it is crucial to research and compare different lenders' interest rates for a home loan. Here's a quick look at the best home loan interest rates in Delhi.
Looking for the best home loan options in Delhi? With a variety of lenders offering competitive rates and flexible terms, finding the right loan can make your home-buying journey easier and more affordable. Explore your options today!
Eligibility For Home Loan In Delhi
To be eligible for a home loan in Delhi, prospective applicants are required to fulfil the following criteria:
- Age : The applicant’s age must be between 21 and 65 years at the time the loan matures to be eligible for the loan.
- Income : Most lenders require applicants to earn an annual income of Rs. 2-3 lakhs, but this amount can vary.
- Employment History : Applicants must demonstrate a stable employment history of at least 2-3 years, as determined by the lender’s guidelines.
- Credit Score : A credit score of 750 or higher is preferred by most lenders as an indication of the applicant’s creditworthiness.
- Property Valuation : The property being purchased must meet the legal and valuation requirements established by the lender.
Documents Required To Get The Best Delhi Bank Home Loan Interest Rates
Prospective buyers will need the following documents to apply for a home loan in Delhi:
| 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 should be noted that the particular documents required may vary depending on the lender and the loan amount.
Comparing Home Loan Rates in Delhi
| Lender | Home Loan Interest Rates In Delhi | 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 Delhi
Below is a list of the most sought-after and highly recommended areas in Delhi that are ideal for purchasing a home, along with some accompanying details :
- Dwarka : Located in South-West Delhi, Dwarka is a well-laid out residential area that connects well to other parts of Delhi and the airport. It has a mixture of apartments and independent houses, and the property rates here are relatively affordable compared to other prime areas in Delhi.
- Vasant Kunj : Vasant Kunj is considered to be a posh residential area located in South Delhi. It has a mix of luxury apartments and independent houses and is known for its greenery and peaceful environment along with its good social infrastructure.
- Saket : Saket is another upmarket residential area located in South Delhi. It is known for its posh residential complexes and proximity to some of the best malls and shopping centres in Delhi. It connects well to the other parts of Delhi through the metro and other modes of transport.
- Greater Kailash : Greater Kailash is a well-established residential area in South Delhi known for its luxurious homes, proximity to popular markets, and excellent connectivity to other parts of the city. It has a mix of independent houses, builder floors, and apartments, making it a popular choice for people looking for different types of properties.
- Rajouri Garden : Rajouri Garden is a popular residential area located in West Delhi. It is known for its excellent connectivity to other parts of Delhi, good social infrastructure, and a mix of affordable and high-end properties. It has a vibrant market and commercial area, making it a popular choice for young professionals and families.
Tax Benefits On Home Loan Rates In Delhi
Home loans offer a number of tax benefits to the borrower. Here are the key tax benefits of home loans in Delhi:
- Tax deduction on interest payment : Section 24 of The Income Tax Act, 1961, permits a tax deduction of up to Rs. 2 lakhs on the interest paid for self-occupied property, while for a rented-out property, there is no maximum limit.
- Tax deduction on principal repayment : Borrowers can claim a tax deduction of up to Rs. 1.5 lakh on the principal repayment of a home loan, under Section 80C of the Income Tax Act, 1961.
- Tax benefits on joint home loans : In the case of a joint home loan, each borrower can claim tax benefits on the interest paid and the principal repayment, in proportion to their share in the loan.
- Tax benefits on pre-construction interest : During the pre-construction period, borrowers can claim a tax deduction on the interest paid, in five equal instalments starting from the year in which construction is completed.
- Tax benefits on stamp duty and registration charges : Under Section 80C of the Income Tax Act, 1961, 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.
NOTE:Tax benefits related to home loans may be impacted by changes in tax laws and regulations. We recommend that borrowers seek advice from a tax expert for more detailed information regarding these benefits.
FAQs
What is the difference between fixed and floating interest rates on home loans in Delhi?
Home loans offer fixed or floating interest rates. Fixed rates remain stable throughout the loan term, while floating rates are subject to market fluctuations. Fixed rates provide stability, while floating rates have the potential to be lower when the market is favourable. Clients can choose the type of interest rate that aligns with their financial goals.
What is the maximum loan amount I can get for a home loan in Delhi?
To be eligible for a home loan in Delhi, banks consider factors such as income, credit score, and property value. Typically, lenders offer up to 80% of the property value, with the maximum loan amount varying by bank. In Delhi, the upper limit for home loans is usually between Rs. 10-20 crores. It's important to meet the eligibility criteria and compare offers from different lenders.
Can I prepay my home loan in Delhi without penalty?
Although most banks do not penalise borrowers for prepaying their home loans, some may impose a fee if the prepayment amount exceeds a certain limit or if it is made within a designated period, such as the first year of the loan. It's important to check with your lender regarding their prepayment policy and any applicable fees before making additional payments towards your home loan.
How long does it take to process a home loan application in Delhi?
Processing times for home loans in Delhi can vary between banks, with the typical time frame being 2-3 weeks for document verification, property appraisal, and loan approval. However, some banks may offer expedited processing for certain types of loans. It's important to check with your lender regarding their processing times and any options available for expediting the process.
