Home Loan Rates

Worry about financial closure of projects if interest rates go up any further

The deposit and lending rates are directly proportional to the repo rate, and they generally go up if the benchmark rate is hiked

A surge in post-pandemic pent-up demand helped India's property market overcome risks from rising interest rates this year but the dream run might face hurdles from global headwinds in 2023. Any moderation in growth will mark a premature end to what industry watchers believe to be the start of a "long-term upcycle" in the Indian real estate sector. The optimism emanates from record housing sales this year, surpassing the pre-COVID 2019 numbers and the previous high of 2014. "2022 proved to be a successful year for the residential real estate market as momentum of sales and consolidation of players continued," property consultant Anarock's Chairman Anuj Puri said. Fundamentally, the market is much more mature and stable than it was prior to the pandemic, he told PTI. Puri said he is "hoping that 2023 calendar year is as vibrant as 2022 for the residential market, provided the headwinds of possible global recession, high inflation and interest rates and Covid resurgence doesn't beco

By the time interest rates moderate, prices could move higher

With this rate hike, HDFC has now passed on the entire rate hike done by the six-member monetary policy committee (MPC) of the Reserve Bank of India (RBI) to the borrowers

New rate is 8.25%, applicable for fresh home loans and take over of existing home loans from other lenders

State-owned Bank of Maharashtra (BoM) on Sunday announced a cut in interest rate on home loans to 8 per cent as part of its festive offer. The bank currently offers home loans starting at 8.3 per cent. The rate varies depending on the borrower's credit score. The Pune-based lender has also slashed interest rate on personal loans to 8.9 per cent from the existing 11.35 per cent effective Monday (October 17, 2022), BoM said in a statement. The lender has already waived processing fee for its gold, home and car loans under the 'Diwali Dhamaka' offer. By introducing this offer, the bank is offering one of the lowest interest rates in retail loans, especially home and personal loans, in the banking industry. Market leader State Bank of India (SBI) and mortgage lender HDFC Ltd are offering discounted interest rates on home loans beginning at 8.40 per cent. At a time when interest rates are rising across the spectrum in line with the rising policy rates, BoM is making retail loans cheap

Despite rising interest rates, leading home loan players SBI and HDFC have announced discounted interest rates beginning at 8.40 per cent as part of their festive offerings. SBI in a statement said that its home loan book has topped the Rs 6 lakh crore mark, a first in the industry. The leading lender said it is offering up to 25 bps discount on interest rate to new home loan borrowers, making the entry level rate at 8.40 per cent and the offer will run up to January 31, 2023. The largest pure-play mortgage player HDFC, which is awaiting its merger with its banking subsidiary HDFC Bank, said it's also offering discounted interest rates to new borrowers to the tune of 20 bps or at 8.40 per cent. According to HDFC website, the festive offer is valid up to November 30, and the low rate will be applicable to those borrowers who have a minimum credit score of 750. Leading banks and mortgage players have increased their lending rates by up to 0.50 percentage point after the Reserve Bank

A cumulative increase of 0.95 per cent in median home loan rate has impacted the purchase affordability and purchase decisions of homebuyers, according to the Affordability Index by Knight Frank

Home loan protection plan may only cover accidental death, which could leave the borrower's nominees exposed

The RBI's decision to raise the benchmark lending rate by 50 basis points to 5.40 per cent will make home loans costlier, and thus reducing affordability of prospective homebuyers, they added.

All markets decline in affordability due to rise in home loan rates

Analysts warn that housing finance companies (HFCs), which cater largely to affordable housing segment, may see some margin erosion

The Pune-based lender's outstanding home loans stood at Rs 19,112 crore as of September 2021

What are BPLR and MCLR, and how do they impact your home loan rates?

If you are planning to take a home loan from a bank, BPLR and MCLR are some of the terms you would come across. What are BPLR and MCLR and how do they impact home loan rates? Let's take a look

The minimum rate of interest now starts at 6.40 per cent, instead of 6.8 percent earlier

Favourable demographics, improved affordability of residential properties and historically low mortgage rates are pushing the demand for home loans, mortgage lenders said. Several major banks, mortgage companies and housing finance companies have significantly reduced their interest rates on home loans during the festival period to encash revival in housing demand after the second wave of the COVID-19 pandemic. In some cases, the interest rate on home loans is as low as 6.5 per cent. Asked about the likely impact of its decision to cut mortgage rates for the festive season on home loan disbursals, HDFC Managing Director Renu Sud Karnad said the lower interest rate does help but it is just one of the many variables for the pick-up in demand for home loans. "Housing today is much more affordable than it ever was. In the last couple of years, property prices have more or less remained the same across the country while income levels have gone up," she noted. Karnad further said people

State-run Bank of Baroda on Thursday said it has reduced its home loan rate by 25 basis points (bps) to 6.50 per cent from 6.75 per cent.

When selecting the new lender, understand the conditions attached to prepayment

A day after SBI and Bank of Baroda announced festival season offer, Punjab National Bank on Friday slashed the interest rate on home loan above Rs 50 lakh by 0.50 per cent to 6.60 per cent