Step Into Your Dream Home Sooner with ICICI Step-Up Home Loan

Leverage up to 20% greater loan eligibility and begin your homeownership journey ahead of schedule—even on a humble beginning salary. ICICI Step-Up Home Loan offers salaried youth the ability to purchase a superior home today with reduced EMIs in early years, with repayment growth at a steady pace with income growth.

• Designed for young salaried professionals
• Get a higher loan amount than standard home loan eligibility.
• Pay lower EMIs in the beginning; repay more when your income increases.
• Ideal for first-time homebuyers

At NoBroker, we simplify the entire process—no need to visit bank branches. Apply online, compare offers, and receive your ICICI Step-Up Home Loan approval sooner with expert support every step of the way.

Get Started Today—Buy Smart, Pay Smart.

ICICI Step-Up Home Loan Overview

What is ICICI Step-Up Home Loan?

The ICICI Step-Up Home Loan is a special home loan product conceived particularly for young salaried professionals who are at the beginning of their careers. As compared to home Loans, this product provides greater loan eligibility and a systematic EMI repayment schedule that progresses with your income.

In the first few years, borrowers have to pay only the interest component of the loan, maintaining EMIs in a controlled manner. As your income rises in the future, the loan enters into the secondary tenure, where you start paying full EMIs including the principal and interest. This two-stage repayment method makes the loan economical and future-proof.

Key Features of ICICI Step-Up Home Loan

1. Higher Loan Eligibility

One of the significant features of the ICICI Step-Up Home Loan is that it provides maximum loan eligibility of up to 20% more than traditional home Loans. This implies that even with a modest present income, you can get a larger amount of loan to buy your dream home.

This facility is particularly useful for career-starting professionals, as it takes into account future income escalation.

2. Disciplined EMI Repayment

Repayment pattern is well planned in two stages:

• Primary Period (Initial 3–5 Years): You pay only the interest part of the ICICI Step-Up Home Loan in this period. This keeps your monthly cost very low.
• Secondary Period (Residual Tenure): Post-primary period, you start paying complete EMIs consisting of principal and interest. This stage starts when your income is likely to have grown.

This is a structure that makes your repayment burden increase incrementally with your earning potential and not in one lump sum.

3. Loan Tenure of up to 20 Years

Tenure can be selected by borrowers for up to 20 years. The longer the repayment tenure, the lower are the EMI outgo and the greater the flexibility in financial planning for your ICICI Step-Up Home Loan.

4. Option of Top-Up Loan

In the secondary tenure, customers can be eligible for a top-up Loan based on their payment history and financial condition. These ICICI Step-Up Home Loans can be utilized towards home improvement, furnishings, or personal expenses.

5. Part-Payment Flexibility

Once EMIs start in the second phase, the customers can make part payments against the principal amount. This option can decrease the outstanding amount and interest burden over time.

Eligibility Criteria

To be eligible for an ICICI Step-Up Home Loan, you should fulfill the following requirements:

• Age: You should be under 40 years of age.
• Income: Your minimum monthly income should be ₹30,000.
• Employment: You need to be a salaried individual employed with select corporates identified by ICICI Bank.
• Property: This loan is available for new housing purchase and resale property.
• Existing Loan Status: The applicants should not have an existing home loan.

Why Opt for ICICI Step-Up Home Loan Through NoBroker?

Applying for an ICICI Step-Up Home Loan from NoBroker has several advantages:

• Easy Application Process: We take care of all the paperwork and communication with the bank.
• Quicker Approvals: Our tie-up with ICICI Bank enables quicker eligibility checks and processing.
• Professional Loan Advisors: Our in-house professionals will advise you on the optimal loan structure considering your current income and growth prospects.
• Zero Hidden Charges: Honest and clear advisory—what you see is what you get.
• Full Support Till Disbursement: We are with you every step of the way—from eligibility check to document submission and disbursal.

Step-by-Step Application Process

Here’s how you can apply for ICICI Step-Up Home Loan via NoBroker:

1. Check Eligibility: Our free online eligibility calculator.
2. Submit Documents: Furnish basic KYC, income proof, and property documents.
3. Application Review: ICICI Bank and our team evaluate your loan application together.
4. Loan Approval: Approved for a greater amount compared to a standard home Loan.
5. Loan Disbursement: Funds are disbursed as per the agreed terms.

Who Should Consider ICICI Step-Up Home Loan?

The following individuals can consider ICICI Step-Up Home Loan:

• Young professionals anticipate a consistent rise in income with the passage of years.
• First-time homebuyers seeking a greater loan amount than their existing income permits.
• Salaried persons with well-established, reputed organizations.
• Individuals looking to invest in newly built or resale residential apartments.

Benefits at a Glance for ICICI Step-Up Home Loan

• Easy access to higher loan amounts without raising the EMI burden upfront
• Reduced EMIs in the early years to ease early-career financial obligations
• The high tenure of 20 years
• Top-up and part-payment facilities provide flexibility.
• Designed to grow with your career progression

How ICICI Step-Up Home Loan Repayment Works

The repayment structure of ICICI Step-Up Home Loan is what sets it apart from regular home Loan. It is specially designed to support young professionals whose current incomes may not justify large EMIs, but who expect their income to grow significantly over time.

Two-Phase Repayment Model

The repayment tenure is divided into two distinct terms:

During the Primary Term, you pay only the interest on the disbursed loan amount. This keeps your monthly EMIs significantly lower. The Secondary Term begins once the primary phase ends, where you start repaying both principal and interest in full EMIs.

Why Does This Increase Your Loan Eligibility against ICICI Step-Up Home Loan

Let’s break it down with a simple example:

• Suppose your monthly income is ₹50,000.
• The bank uses a Fixed Income to Obligations Ratio (FIOR) of 40%. That means your EMI obligation should not exceed ₹20,000 (i.e., 40% of your income).
• At an interest rate of 10% per annum for a 20-year tenure:

How ICICI Step-Up Home Loan Repayment Works

The repayment structure of ICICI Step-Up Home Loan is what sets it apart from regular home Loan. It is specially designed to support young professionals whose current incomes may not justify large EMIs, but who expect their income to grow significantly over time.

Two Phase Repayment Structure

You have a total repayment period consisting of two distinct periods:

During the Primary Term, you are only paying interest on your loan amount disbursed.This reduces your monthly EMIs appreciably. The Secondary Term starts when the primary period concludes, when you begin paying principal as well as interest in complete EMIs.

Why Does This Increase Your Loan Eligibility against ICICI Step-Up Home Loan

Let’s understand it through a simple example:

• Assume your monthly salary is ₹50,000.
• The bank uses a Fixed Income to Obligations Ratio (FIOR) of 40%. That means your EMI obligation should not exceed ₹20,000 (i.e., 40% of your income).
• At an interest rate of 10% per annum for a 20-year tenure:

Result: The ICICI Step-Up Home Loan increases your loan eligibility by nearly 15.8%, allowing you to purchase a more expensive property earlier in your career.

Key Caveat: EMIs Will Spike Once Primary Tenure Expires

Picking up where the above example left off:

• You borrowed ₹24 lakh with the ICICI Step-Up Home Loan program.
• You pay interest only for the first 5 years: ₹20,000 a month.
• Once 5 years are up, the full principal has to be paid over the last 15 years.

For instance, if the interest rate stays at 10%, your EMI will now be around ₹25,790 per month—a whopping 29% higher than your initial EMI.

This repayment plan is based on the assumption that your income will rise in the years to come. In the event that your income fails to rise as anticipated, you will not be able to manage the new amount of EMI.

Warning: You Will Pay More Total Interest Over Time

Though the interest rate per se does not vary (say, 10% p.a.), the overall interest paid over the loan period is greater in the case of a Step-Up Home Loan because of the initial interest-only payments.

This translates to you paying a total of ₹2.83 lakhs more in interest with an ICICI Step-Up Home Loan than with a normal one.

Can You Prepay?

The other critical detail to know is that prepayments are not permitted during the Primary Term. You can only make part payments or prepaid your loan when you reach the Secondary Term, when you start paying full EMIs.

This is likely because the first framework assumes you are not yet financially able to pay higher amounts. While this protects the bank’s interest, it could be restrictive if you happen to receive more money—increase in the form of a bonus, gift, inheritance, or better job.

Summary: Advantages and Disadvantages of ICICI Step-Up Home Loan

Is This Loan Ideal for You?

ICICI Step-Up Home Loan can be a good option if you’re beginning your career, anticipate steady growth in your income, and desire a better home in the near future. But it’s always advisable to plan your finances well so that you can sustain the EMI increase after the Primary Term is over.

At NoBroker, we offer personalized advisory to help you assess your financial situation and choose the best home loan product. When you apply through us, we make sure that you are well advised and guided at every step of the process right from applying for the loan to loan disbursal.

Apply with NoBroker Today

At NoBroker, we take away all the obstacles that would normally prevent home loan sanction requests. With the use of our experts, banking relationships, and the delivery of all paperwork to your doorstep, you can have an ICICI Step-Up Home Loan sooner, with more ease, with less work.

Don’t let your existing income hold you back. Let us assist you in owning your home at your pace.

Call us now to get started.