6 Best Banks You Need to Consider for Home Loans

In the quest for a new home, excitement and challenges go hand in hand, especially with high property rates. To make your dream home a reality, a home loan becomes your ally. With the RBI raising repo rates, home loan interest rates are at an all-time high. Therefore, finding a bank offering lower interest rates is crucial. We have curated a list of banks providing the best home loans for borrowers like you. Explore the options and choose from the best home loans that fit your needs.

• Union Bank of India

Headquartered in Mumbai, Union Bank is a combined entity with a merger of the Corporation and Andhra Bank in it. With a network of 9300 branches and 11800 ATMs, the public lender bank is offering home loans for a tenure of 30 years with the best rate at 6.40% for salaried and 6.45% for self-employed borrowers. Because of no cap on the home loan amount, the loan is highly affordable.

• State Bank of India

The largest mortgage lender, SBI, comes with an experience of more than 65 years in the banking industry. To date, the State Bank of India has helped more than 30 lakh families in building their homes. With more than 24000 branches, the accessibility of this bank is quite high. The bank offers more than ten types of home loans based on an individual's eligibility. However, they maintain strict property evaluation norms. The charges they offer are transparent and come with several repayment options.

• Kotak Mahindra Bank

Kotak Mahindra Bank can be the best choice if you are considering a low-interest bank for your home loan. The bank has branches in over 100 locations and is one of the fastest-growing private banks in the country. The bank is offering a 6.55% interest rate for home loans to salaried and non-salaried individuals. The bank offers zero processing fees. The bank offers immediate loan approval.

• HDFC

For high-value home loans up to 10 crores, HDFC offers home loans at a rate of 8.50% for a tenure of 30 years. The bank also runs rural housing schemes, so if you are planning to build a home in your native place, this bank can be the best bet. HDFC also offers a loan product named HDFC Reach Loan which aims to offer home loans to those salaried individuals and entrepreneurs who are not holding sufficient income documents. The bank offers nearly 7 home loan variants. In the case of HDFC, you may even consider a home loan balance transfer for additional construction requirements. Another advantage associated with HDFC is its multiple options for choosing the loan repayment plan.

• Bank of Baroda

Bank of Baroda is India's international bank, with more than 10,000 domestic and overseas branches. With the amalgamation of Dena Bank and Vijaya Bank, the Bank of Baroda emerged as the third-largest bank in the country. This bank offers a rate of 7.40% to salaried individuals and 8.10% to non-salaried individuals. The best part about this bank is its online platform for loan application and processing. Thus, a lot of time is saved as there is minimal manual movement of documents. However, individuals with a lower credit score might find it difficult to avail Bank of Baroda home loan.

• ICICI Bank

The second largest private lender in the country, ICICI has more than 5000 branches across the country and offers amazing home loan features, for instance, allowing a non-working female partner to become the co-borrower. The bank offers a quick and seamless loan processing mechanism which is a must in today's time when individuals are way too occupied with their jobs that they don't really have time to run from pillar to post with loan documents to get the sanction. Also, the bank charges no additional fee for its door-to-door service.

Conclusion

If you're considering a home loan, it's crucial to prioritise a lower interest rate. Comparing home loan products from various banks is highly recommended to find the best rates. Our compiled list serves as a valuable resource, guiding you towards the best home loan provider. Take advantage of this information to make an informed decision and secure a home loan with favourable terms and rates that suit your financial needs.