Types of Home Loans in Delhi NCR

There are different types of home loans available in the market to cater borrower’s different needs.

Home Purchase Loan:

This is the basic type of a home loan which has following purposes of purchasing a new house:

  • Purchase of ready to move in Flats / Floors / Row houses / Bungalows in the resale market / Development Authority / Developers / Societies
  • Purchase of under-construction Flats / Floors / Row houses / Bungalows from Development Authority / Developers / Societies

Maximum loan: 80% of the cost of the property and based on the repayment capacity of the customer

Maximum Term: Varies between 15 – 25 years depending on borrower profile and Bank policies

Rate of Interest: Home Loan Rates FREE Quote

 

Land Purchase Loan:

It is a loan which is taken to purchase a vacant plot of land for construction or investment purposes

Maximum loan: 60% – 80% of the cost of plot and based on the repayment capacity of the borrower

Maximum Term: Varies between 10 – 15 years depending on borrower profile and Bank policies

Rate of Interest: Plot loans usually attract 0.25% – 0.5% higher rate as compared to a Normal Home Loan. Current Home Loan Rates

 

Home Improvement Loan:

This type of home loan is for the renovation or repair of the home which is already bought. This renovation loan facilitates internal and external repairs and other structural improvements like Painting, Waterproofing and Roofing, Plumbing and Electrical Works, Tiling and Flooring, Grills, Aluminum Windows compound walls and much more.

Maximum loan: 80% of Improvement Estimate as assessed by the Bank

Maximum Term: Varies between 15 – 20 years depending on borrower profile and Bank policies

Rate of Interest: Home Improvement Loans attract same rate of interest as Home Loans. HDFC Home Loan Rates

 

House Construction Loan:

This type of loan taken when the borrower wants to construct a new house over a self-owned or financed plot of land. This also serves the purpose when the borrower wants to extend or expand an existing home, like adding an extra floor etc. Disbursement of loan is done in stages as per the construction progress at site as visited and vetted by the technical team of the Bank.

Maximum loan: 80% of Construction Estimate as assessed by the Bank

Maximum Term: Varies between 15 – 25 years depending on borrower profile and Bank policies

Rate of Interest: House Construction Loans attract same rate of interest as Home Loans. ICICIBank Home Loan Rates

 

Office Premises Loan / Non-Residential Premises (NRP) Loan:

NRP Loan is taken to purchase / construct an office / shop / clinic by a self-employed person.

Maximum loan: 60% – 80% of the cost of property and based on the repayment capacity of the borrower

Maximum Term: Varies between 10 – 15 years depending on borrower profile and Bank policies

Rate of Interest: NRP Loans attract 1% – 2% higher rate as compared to Home Loan. Home Loan Interest Rates