Follow real-time updates on Union Budget 2023Catch exclusive videos on Union Budget 2023 from CNBC-TV18
With the onset of the festive season, several banks have announced a slew of offers on home loans. These offers come at a time when realtors are expecting a strong consumer demand in the residential property market.
With the onset of the festive season, several banks have announced a slew of offers on home loans. While the country’s largest lender State Bank of India (SBI) has launched a bouquet of offers for prospective home loan customers, Kotak Mahindra Bank has cut the home loan interest rate by 0.15 percent to 6.50 percent.
Recommended ArticlesView All
World Cancer Day 2023: Early detection is crucial for reducing the global burden
Feb 4, 2023 IST5 Min(s) Read
World Cancer Day 2023: A way forward to better management of cancer this year!
Feb 4, 2023 IST6 Min(s) Read
Pakistan economy at alarming level as foreign reserves drop to $3.1 billion from $16.6 billion in a year
Feb 3, 2023 IST3 Min(s) Read
FM Nirmala Sitharaman speaks on inflation, taxes, GDP and more. Read the full interview here
Feb 3, 2023 IST37 Min(s) Read
These offers come at a time when realtors are expecting a strong consumer demand in the residential property market.
Here’s a list of offers announced by different banks on their home loan rates:
State Bank of India (SBI)
SBI is offering credit score linked home loans at 6.70 percent, irrespective of the loan amount. Earlier a borrower availing of a loan greater than Rs 75 lakh, had to pay an interest rate of 7.15 percent. With the introduction of the festive offers, the bank said that a borrower can now avail home loan for any amount at a rate as low as 6.70 percent.
According to the lender, the offer results in a saving of 45 basis points (bps) which translates to an interest saving of more than Rs 8 lakh, for Rs 75 lakh loan with a 30-year tenure.
Further, the rate of interest applicable for a non-salaried borrower was 15 bps higher than the interest rate applicable to a salaried borrower. SBI has removed this distinction between a salaried and a non-salaried borrower. Now, there is no occupation-linked interest premium being charged to prospective home loan borrowers.
Punjab National Bank (PNB)
PNB has slashed the interest rate on home loans above Rs 50 lakh by 0.50 percent to 6.60 percent. This offer, the bank said is, irrespective of any upper ceiling limit.
The state-owned lender said the rate will be linked with the applicant's credit score. The said rate is also applicable to balance transfer cases. Further, the bank said it will offer top-up home loans at an attractive rate of interest to existing as well as balance transfer cases.
Kotak Mahindra Bank
Kotak Mahindra Bank Ltd (KMBL) has cut home loan interest rates by 0.15 percent to 6.50 percent. This special rate of 6.50 percent is a limited period festive season offer and will end on November 8, 2021.
Kotak said, the offering is for both fresh home loans and balance transfers, which is available across all loan amounts and is linked to a borrower's credit profile.
Bank of Baroda (BoB)
Bank of Baroda is offering a waiver of 0.25 percent on the existing applicable rates for home loans. The bank’s home loan rates start at 6.75 percent.
The lender has also waived off processing fee on home loans.
HDFC has unveiled its special limited period offer for the upcoming festival season. Under this special offer, the company said that customers can avail of home loans starting at 6.70 percent.
"This offer is applicable to all new loan applications irrespective of the loan amount or employment category. The special rate is linked to borrower’s credit score," HDFC said.
This is a close-ended scheme and will be valid till October 31, 2021.