HOME EXTENSION LOANS ( Self Employed )
Avail your Home loan from leading banks at best interest rates
What is a Home Loan?
A home loan is a form of secured
loan that is availed by an individual to purchase a house. The property
can be an under-construction or a ready property from a developer, a
resale property, an
existing house on which
improvements and extensions need to be made.
You could also transfer your
existing home loan availed from another financial institution to our
partner banks. A housing loan is repaid through Equated Monthly
Installments (EMI) which consists of a
portion of the principal
borrowed and the interest accrued on the same.
Home Loan Features
- Home Loans for purchase of a flat, row house, bungalow from private developers in approved projects
- Home Loans for purchase of properties from Development Authorities such as DDA, MHADA etc
- Loans for purchase of properties in an existing Co-operative Housing Society or Apartment Owners' Association or Development Authorities settlements or privately built-up homes
- Loans for construction on a freehold / lease hold plot or on a plot allotted by a Development Authority
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Looking for a Home Loan?
How It Works?
Needtoday Partners
Home Loan Offers
| Bank Logo | Lender | Interest Rates | Processing Fees | Apply |
|---|---|---|---|---|
|
HDFC | 6.70% - 8.70% | Up to 1% plus statutory dues | |
|
ICICI Bank | 6.70% - 7.55% | 0.50% – 2.00% or Rs. 1,500 (Rs. 2,000 for Mumbai, Delhi & Bangalore), whichever is higher | |
|
Bajaj finserv | Bajaj finserv 6.65% - 14% | Up to 6% |
Home loan interest rates as of 08th feb 2022. Home loan rates in the table are subject to the credit/ risk profile as assessed by the lender on the basis of parameters such as credit scores, age, and repayment capacity of the applicant. Housing loan interest rates in the table are subject to change anytime without prior notice.
Home Loan Application Process
Step by Step Process of How to Apply for a Home Loan
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Step 1: Submit your details by clicking the link
Step 2: To find out the home loan amount you are eligible for, click on ‘Check Eligibility’.
Step 3: Our Virtual Relationship Manager will get in touch with you and will be your one point contact.
Step 4: Our Virtual Relationship Manager will understand and forward your requirements to one or more banks
Step 5: The banks will contact you to take your requirement forward
Step 6: We will assist you from application to disbursal along with great customer support for a hassle free experience.
Home Loan Eligibility Details
You can apply individually or jointly for Home Loans. All proposed owners of the property will have to be co-applicants
Who can apply for Home Loans?
| Self Employed Professional | Self Employed Non Professional |
|---|---|
| Doctor | Trader |
| Lowyer | Commission Agent |
| Chartered Accountant | Contractor |
| Architect | |
| Consultant | |
| Engineer | |
| Company Secretary, etc |
What is the maximum home loan funding and repayment tenure?
| Home Loan Amount | Maximum funding | |||
|---|---|---|---|---|
| HDFC BANK | ICICI BANK | BAJAJ FINSERV | AXIS BANK | |
| Up to and including ₹30 lacs | 90% of the property cost | |||
| ₹30.01 lacs to ₹75 lacs | 80% of the property cost | |||
| Above ₹75 lacs | 75% of the property cost | |||
*Subject to market value of the property and repayment capacity of the customer, as assessed by banks
The tenure of the loan is also dependent on the
customer’s profile, age of customer at maturity of loan, age of property
at loan maturity, depending upon the specific repayment scheme as may
be opted and any other
terms which may be applicable based on prevalent
norms of the banks.
For most Home Loan products, the maximum repayment period shall be up to 20 years.
Home Loan Documents
For home loan approval, you need to submit the following documents for applicant / all co-applicants along with the completed and signed home loan application form.
| A | Sr. No. | Mandatory Documents | ||
|---|---|---|---|---|
| 1 | PAN Card or Form 60 (If the customer does not have a PAN Card) | |||
| B | Sr. No. | Description of Officially Valid Documents (OVD) that can be accepted for establishing the legal name & current address of Individuals* [Any one of the following documents can be submitted] | Identity Proof | Address Proof |
| 1 | Passport, the validity of which has not expired. | |||
| 2 | Driving license which has not expired. | |||
| 3 | Election /Voters identification card | |||
| 4 | Job card issued by NREGA duly signed by the officer of the State Government | |||
| 5 | Letter issued by the National Population Register containing details of name, address. | |||
| 6 | Proof of possession of Aadhaar Number (to be obtained voluntarily) | |||
A document mentioned above shall be deemed to be an OVD even if there is a change in the name subsequent to issuance provided it is supported by a marriage certificate issued by State Government or Gazette notification, indicating such a change of name.
| Document | Salaried | Self Employed Professional | Self Employed Non Professional |
|---|---|---|---|
| Last 3 months' Salary Slips | |||
| Last 6 months' Bank Statements, showing salary credits | |||
| Latest Form-16 and IT returns | |||
| Income Tax Returns along with computation of income for the last 3 Assessment Years (of both the individual and the business entity and attested by a CA) | |||
| Last 3 years’ Balance Sheet and Profit & Loss A/c Statements, with Annexures / Schedules (of both the individual and the business entity and attested by a CA) | |||
| Last 6 months' Current A/c Statements of the business entity and Savings Account Statements of the individual |
| Document | Salaried | Self Employed Professional | Self Employed Non Professional |
|---|---|---|---|
| Own Contribution Proof | |||
| Employment Contract / Appointment Letter in case current employment is less than year old | |||
| Last 6 months' Bank Statements showing repayment of any ongoing loans | |||
| Passport size photograph of all the applicants / co-applicants to be affixed on the Application form and signed across. | |||
| Cheque for processing fee favouring Bank Ltd. | |||
| Business Profile | |||
| Latest Form 26 AS | |||
| List of Directors and Shareholders with their individual shareholding certified by a CA / CS in case of the business entity being a company | |||
| Memorandum and Articles of Association of the Company | |||
| Partnership deed in case of the business entity being a partnership firm | |||
| Details of ongoing loans of the individual and the business entity including the outstanding amount, instalments, security, purpose, balance loan term, etc. |
*All documents to be self-attested. The above list is indicative in nature and additional documents can be asked for.
Fees & Charges
| Type | Charges |
|---|---|
| Check Dishonour Charges | ₹300** |
| List Of Documents | Up to ₹500 |
| Photo Copy Of Documents | Up to ₹500 |
| PDC Swap | Up to ₹500 |
| Disbursement Cheque Cancellation Charge Post Disbursement | Up to ₹500 |
| Re-Appraisal Of Loan After 6 Months From Sanction | Up to ₹2,000 plus applicable taxes |
| Reversal of Provisional Prepayment under Banks Maxvantage Scheme | Rs.250/- plus applicable taxes/statutory levies at the time of reversal |
| Name of the Product / Service | Name of Fee / Charge levied | When Payable | Frequency | Amount in Rupees |
|---|---|---|---|---|
| Switch to Lower Rate in Variable rate Loans (Housing / Extension / Renovation) | Conversion Fees | On Conversion | On every Spread change | Upto 0.50% of the Principal Outstanding and undisbursed amount (if any) at the time of Conversion or a cap ₹50000 plus taxes whichever is lower. |
| Switching to Variable Rate Loan from Fixed Rate Loan (Housing / Extension / Renovation) | Conversion Fees | On Conversion | Once | Upto 0.50% of the Principal Outstanding and undisbursed amount (if any) at the time of Conversion or a cap ₹50000 plus taxes whichever is lower. |
| Switch from Combination Rate Home Loan fixed rate to Variable rate | Conversion Fees | On Conversion | Once | 1.75% of the Principal Outstanding and undisbursed amount (if any) plus taxes at the time of Conversion. |
| Switch to Lower Rate (Non–Housing Loans) | Conversion Fees | On Conversion | On every Spread change | Half of the spread difference on the principal outstanding and undisbursed amount (if any) plus taxes, with a minimum fee of 0.5% and Max. 1.50%. |
| Switch to Lower Rate (Plot Loans) | Conversion Fees | On Conversion | On every Spread change | 0.5% of principal outstanding and undisbursed amount (if any) plus taxes at the time of Conversion. |
| Switch to a RPLR-NH Benchmark Rate (Non–Housing Loans) and corresponding spread | Conversion Fees | On conversion where the resultant rate of interest remains the same | On change of bench- mark rate and/or change of Spread Change | NIL |
| Switch to a RPLR-NH Benchmark Rate (Non–Housing Loans) and corresponding spread | Conversion Fees | On conversion where the resultant rate of interest is lowered | On change of benchmark rate and/ or change of Spread Change | Half of the spread difference on the principal outstanding and undisbursed amount (if any) plus taxes, with a minimum fee of 0.5% and Max. 1.50% |
| Switch to Lower Rate (Loans under Banks Reach)- Variable Rate | Conversion Fees | On Conversion | On every Spread change | Upto 1.50% of the principal outstanding and undisbursed amount (if any) + applicable taxes/statutory levies at the time of conversion. |
| Switch to Banks Maxvantage Scheme | Processing Fee | At the time of Conversion | Once | 0.25% of the outstanding loan amount + applicable taxes/statutory levies at the time of conversion |
Loan Calculators
Needtoday Finance Home loan calculator helps you calculate your Home Loan Emi with ease and can help you make an informed decision about buying a new house. The EMI calculator is useful in planning your cashflows for servicing your home loan.
Frequently Asked Questions (FAQ's)
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Home loan is a form of secured loan that is availed by a customer to purchase a house. The property can be an under-construction or a ready property from a developer, purchase of a resale property, to construct a housing unit on a plot of land, to make improvements and extensions to an already existing house and to transfer your existing home loan availed from another financial institution to Bank. A housing loan is repaid through equated monthly installments (EMI) which consists of a portion of the principal borrowed and the interest accrued on the same.
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You can avail a Bank home loan online in 4 quick and easy steps:
1. Sign Up / Register
2. Fill in the home loan application form
3. Upload Documents
4. Pay Processing Fee
5. Get Loan Approval
You can also apply for a home loan online. Visit https://portal.Bank.com/ to apply now!.
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You are required to pay 10-25% of the total property cost as ‘own contribution depending upon the loan amount. 75 to 90% of the property cost is what can be availed as a housing loan. In case of construction, home improvement and home extension loans, 75 to 90% of the construction/improvement/extension estimate can be funded.
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Home loan eligibility depends on the income and repayment capacity of the individual. Please find details about home loan eligibility criteria: Create Table here also
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Yes. You may be eligible for tax benefits on repayment of the principal and interest components of your Home Loan as per sections 80C, 24(b) and 80EEA of the Income Tax Act, 1961. Since the benefits may vary each year, please do consult your chartered accountant/ tax expert for the latest information.
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You can take disbursement of your home loan once the property has been technically appraised, all legal documentation has been completed, and you have made your down payment. You can submit a request for the disbursement of your loan online or by visiting any of our offices.
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Some of the factors that determine your eligibility for a home loan are:
- Income and Repayment Capacity
- Age
- Financial Profile
- Credit History
- Credit Score
- Existing Debt/EMIs
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Bank will determine your Home Loan Eligibility largely by your income and repayment capacity. Other important factors include your age, qualification, number of dependants, your spouse's income (if any), assets & liabilities, savings history and the stability & continuity of occupation.
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You can apply for housing loans at any time once you have decided to purchase or construct a property, even if you have not selected the property or the construction has not commenced. You can even apply for a home loan whilst you are working abroad, to plan for your return to India in future.
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Yes. You can avail two home loans at the same time. However, the approval of your loan depends on your repayment capacity. It is up to Bank to assess your eligibility and ability to repay the EMIs for two home loans.properties which are free of encumbrances of any sort.
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For your convenience, Bank offers various modes for repayment of your house loan. You may issue standing instructions to your banker to pay the installments through ECS (Electronic Clearing System), opt for direct deduction of monthly installments by your employer or issue post-dated cheques from your salary account.
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EMI's begins from the month subsequent to the month in which disbursement of the loan is done. For loans for under-construction properties EMI usually begins after the complete home loan is disbursed but customers can choose to begin their emi’s as soon as they avail their first disbursement and their EMI’s will increase proportionately with every subsequent disbursement. For resale cases, since the whole loan amount is disbursed in one go, EMI on the whole loan amount start from the subsequent to the month of disbursement
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Pre-EMI is the monthly payment of interest on your home loan. This amount is paid during the period till the full disbursement of the loan. Your actual loan tenure — and EMI (comprising of both principal and interest) payments — begins once the Pre-EMI phase is over i.e. post the house loan has been fully disbursed.
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All co-owners of the property need to be co-applicants to the house loan. Generally, co-applicants are close family members.
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Yes. You can prepay your home loan (in part or in full) before the completion of your actual loan tenure. Please note that while there are no prepayment charges on floating rate home loans unless the same availed for business purposes.
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No. You don’t need to have a guarantor for your home loan. You will only be asked for a guarantor in certain situations, namely:
- When the primary applicant has a weak financial standing
- When the applicant wants to borrow an amount that is beyond their eligibility.
- When the applicant earns less than the established minimum income criteria.
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A home loan provisional certificate is a summary of the interest and the principal amounts repaid by you towards your home loan during a financial year. It is provided to you by Bank and is required for claiming tax deductions. If you are an existing customer, you can easily download your provisional home loan provisional certificate from our online portal .
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No. Home loan insurance is not mandatory. However, it is advisable that you buy insurance for protection against any unforeseeable circumstances.
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Our Bank Reach Loans make home buying possible for micro-entrepreneurs and salaried individuals who may or may not have sufficient proof of income documentation. You can apply for a house loan with minimal income documentation with Bank Reach.
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It is a loan for renovating (without altering the structure/carpet area) your home in ways like tiling, flooring, internal / external plaster and painting etc.