Processing Fees & Charges
| HOUSING CHARGES | |
|---|---|
| Processing fee/Loan processing charge (non-refundable) | Salaried / Self employed Professional Upto 0.50% of the loan amount or ₹4,000/- whichever is higher, plus applicable taxes. Minimum Retention Amount: Upto 50% of applicable fees or ₹4,000/- + applicable taxes whichever is higher. For Self-Employed Non-Professionals: Upto 1.50% of the loan amount or ₹5,000/- whichever is higher, plus applicable taxes. Minimum Retention Amount: Upto 50% of applicable fees or ₹5,000 + applicable taxes whichever is higher. For NRI Loans Upto 1.50% of the Loan amount or ₹4,000/- whichever is higher + applicable taxes / statutory levies and charges. Minimum Retention Amount: Upto 50% of applicable fees or ₹4,000/-+applicable taxes/statutory levies whichever is higher For Value Plus Loans Upto 1.50% of the Loan amount or ₹5,000/- whichever is higher + applicable taxes / statutory levies and charges. Minimum Retention Amount: Upto 50% of applicable fees or ₹5,000/-+applicable taxes/statutory levies whichever is higher For HDFC Reach Scheme Upto 2.00% of the loan amount+ applicable taxes / statutory levies. Minimum Retention Amount: Upto 50% of applicable fees or ₹4,000/-+applicable taxes/statutory levies whichever is higher |
| Re-Appraisal Of Loan After 6 Months From Sanction(applicable for housing and non-housing) | Salaried / Self employed Professional- Upto ₹3,300/- For Self-Employed Non-Professionals/ NRI/ Value Plus Loans/ HDFC Reach Scheme/- Upto ₹5,000. |
| Conversion of ROI from floating to fixed(who have availed EMI based floating rate Personal Loans)*Please refer the RBI circularNo.DBR.No.BP.BC.99/08.13.100/2017-18 on “XBRL Returns – Harmonization of Banking Statistics” dated January 04, 2018.”. | Upto ₹3.000/- |
| List Of Documents (For issuance of duplicate LOD post disburserment) |
Upto ₹500/- |
| Photocopy of Documents | Upto ₹500/- |
| Repayment Mode Change Charges | Upto ₹500/- |
| Stamp Duty & Statutory / Regulatory Charges | At actual |
| Incidental Charges | At actual |
| Cersai Charges | At actual (upto ₹100/-) |
| Mortgage Guarantee | At actual |
| Administrative Charges | Upto ₹5,000/- plus applicable taxes |
| Other penal charges, if any | |
| Non Compliance of sanction / agreed Terms | Upto 2% charges per annum on principal outstanding for non compliance of agreed terms upto its fulfillment - (Charged on monthly basis) Subject to a Max of ₹50,000/- for Critical security related deferrals Max of ₹25,000/- for other deferrals |
| Conversion Fees/Charges | For Home Loan, HL Top UP & Plot Equity loan (Switch to lower rate in Variable rate loans ) Upto 0.50% of the Principal Outstanding and undisbursed amount (if any) at the time of Conversion or ₹3,000 (which ever is lower ) for 1st Conversion with charges. , for Subsequent conversions charges would be Upto 0.50% of the Principal Outstanding and undisbursed amount (if any) at the time of Conversion OR ₹2,000 ( which ever is lower ) . Switch from Combination rate home loan under fixed rate term/Fixed rate loan to Variable rate – Upto 1.50% of the Principal Outstanding |
| Payment Return Charges | ₹450/- |
| Premature closure charges | • Adjustable Rate Loans (ARHL) and Combination Rate Home Loan (“CRHL”) during the period of applicability of the Variable Rate of interest – Nil • Fixed Rate Loans (“FRHL”) and Combination Rate Home Loan (“CRHL”) during the period of applicability of the Fixed Rate of interest - 2% plus applicable taxes/statutory except when part or full prepayment is being made through own sources |
| Property Document Retention charges | ₹1,000 per calendar month, after 2 calendar months from date of closure of all loans/facilities linked to the collateral |
| Own Sources: *the expression ""own sources"" for this purpose means any source other than borrowing from a Bank/HFC/NBFC or Financial Institution. The Borrower will be required to submit such documents that HDFC may deem fit & proper to ascertain the source of funds at the time of prepayment of the loan. 1. All the above charges/fees/Commissions are exclusive of taxes. All government taxes are applicable. 2. 10% discount to senior citizens on all the service charges 3. Service charges/Fees/Commissions may be revised with approval of Business Head in case of regulatory requirement. 4. NIL Premature Closure Charges /Foreclosure/ Prepayment Charges for Fixed rate loan facility up to ₹50 Lakh availed by Micro & Small Enterprises. 5. NIL Processing Fees for loan facility up to ₹5 Lakh availed by Micro & Small Enterprises subject to URC submission prior to disbursal 6. NIL Processing Fees for loan facility up to ₹5 Lakh availed by Micro & Small Enterprises subject to URC submission prior to disbursal l 7. Interest rate of 18% p.a. will be levied on the amount utilized above the Operating Limit of overdraft facility. (Applicable for DOD facility only). 8. Penal Charges will be realised on cash basis 9. Interest will be charged on unpaid EMI for the number of days EMI is late. This interest is calculated @ loan’s contracted rate and will be added to next EMI. 10. The Borrower will be required to submit such documents that HDFC Bank may deem fit & proper to ascertain the source of funds at the time of prepayment of the loan 11. Processing fee, administrative fee, stamp duty, cersai fee and all other charges are non refundable |
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| In the event of default, the details of authorised associate to approach for recovery of dues will be intimated to you through a payment reminder communication and any change in details would be intimated to you thereon. List of authorised associates empanelled for handling collections are updated on the banks website for reference. | |
With both fixed and floating rate options, HDFC Bank provides flexible repayment plans tailored to suit individual needs. These rates are determined based on the loan amount, tenure, and applicant's profile, ensuring a balanced approach to affordable housing finance. This rate of interest is applicable to Home Loans, Balance Transfer Loans, House Renovation and Home Extensions Loans.
- Interest Rates
| Special Home Loan Rates for Salaried & Self-Employed (Professionals & Non-Professionals) | |
| Loan Slab | Interest Rates (% p.a.) |
| For All Loans* | Policy Repo Rate + 2.40% to 7.70% = 7.90% to 13.20% |
*The above Home Loan interest rates/ EMI are applicable for loans under the Adjustable Rate Home Loan Scheme (Floating Interest Rate) of (HDFC Bank and are subject to change at the time of disbursement. The Home Loan interest rates above are linked to HDFC Bank's Repo Rate and are variable throughout the tenor of the loan. All loans are at the sole discretion of HDFC Bank. For further details regarding the loan slabs and interest rates above Click Here
*HDFC BANK does not source any Home Loan business from any Lending Service Providers (LSPs).
| Rates Offered to Customer (Past Quarter) | ||||||
|---|---|---|---|---|---|---|
| Segment | IRR | APR | ||||
| Min | Max | Avg. | Min | Max | Avg. | |
| HOUSING | 7.4 | 12.75 | 7.72 | 7.4 | 12.75 | 7.72 |
| NON - HOUSING* | 7.4 | 13 | 8.69 | 7.4 | 13 | 8.69 |
| *NON - HOUSING = LAP(EQUITY), NON-RESIDENTIAL PREMISES LOAN & INSURANCE PREMIUM FUNDING | ||||||
More About Home Loan Interest Rates
Choosing HDFC Bank for your home loan comes with several compelling advantages. HDFC Bank, recognizing the significance of owning a home, provides Home Loans designed to simplify the process of building your dream living space. With attractive home loan interest rates and easy repayment facilities, HDFC Bank ensures that your journey to homeownership is not only achievable but also financially favorable. Beyond competitive home loans rates, HDFC Bank offers loan packages that make financing straightforward, aligning with your financial goals. When you choose HDFC Bank for your home loan, you are opting for a trusted institution that understands the importance of making homeownership a seamless and rewarding experience.
An HDFC Bank Home Loan customer can choose between two types of interest rate options while availing a home loan. These are as follows:
The interest rates on home loans are influenced by a variety of factors in addition to the base rate. Here are some key considerations:
The calculation of interest rate payments can be approached through various methods, each impacting how much you pay over the life of a loan. Here are different methods for calculating interest rate payments:
Your queries answered here
You can use an EMI calculator to know your EMI amount for a particular interest rate. To use the EMI calculator, you typically need to provide the following information:
Loan Amount: The total amount you wish to borrow.
Loan Tenure: The duration (in years) you plan to repay the loan.
Interest Rate: The annual interest rate charged by the bank on the loan.
Once you enter these details, the EMI calculator will compute the EMI amount you need to pay each month to repay the loan within the specified tenure.
There are two common methods used for calculating interest rate payments on loans:
Reducing Balance Method (RBM): In this method, the interest is calculated as per the outstanding principal amount of the loan after every repayment (usually monthly).
Flat Rate Method: In this method, the interest is calculated upfront on the entire loan amount for the complete tenure and then divided equally across all instalments.
The following are the types of Housing Loan interest rates:
1. Fixed Interest Rate: The interest rate remains constant throughout the loan tenure, regardless of market fluctuations.
2. Floating Interest Rate: The interest rate is linked to a benchmark rate, so these rates may change periodically based on changes in the benchmark rate, affecting your EMI amount.
3. Hybrid Interest Rate: This is a combination of fixed and floating interest rates. Initially, the interest rate is fixed for a specific period, and then it becomes floating, linked to a benchmark rate for the remaining tenure.
Home finance interest rate is an amount charged on the principal by a Home Loan provider to a borrower to use the principal amount loaned by the lender. Your Housing Loan interest rate determines your monthly payable EMI against your home loan.
HDFC Bank is currently offering Home Loan interest rates starting from 8.75*% p.a. Customers can avail these Home Loan interest rates along with benefits like a longer loan tenure of up to 30 years, end-to-end digital solutions, customised repayment options, and much more! To calculate your EMI, click here.To apply now for a home loan, click here.
An HDFC Bank Home Loan customer can choose between two types of interest rate options while availing a home loan. These are as follows:
Adjustable Rate Home Loan (ARHL): An Adjustable Rate Home Loan is also known as a floating or variable rate loan. The interest rate in an ARHL is linked to HDFC Bank’s benchmark rate, i.e., Retail Prime Lending Rate (RPLR). Any movement in HDFC Bank’s RPLR may effectuate a change in the applicable interest rates.
TruFixed Loan: In a TruFixed Loan, the Home Loan interest rate remains fixed for a specified time e.g., for the first 2 or 3 years of the loan tenure), after which it automatically converts to an Adjustable Rate Home Loan with the then applicable interest rates. HDFC Bank currently offers a TruFixed Loan where the interest rate is fixed for the first two years of the loan tenure.
The lowest Home Loan interest rate currently offered by HDFC Bank is 8.75*% p.a.
There are 7 main factors that can affect the interest rate on a Home Loan -
Interest rate type
Benchmark Lending Rate
Loan To Value Ratio
Financial Profile of the Borrower
Repayment Tenure
Location of the Property
Reputation of the Home Loan Provider
There are many ways to reduce your House Loan interest rates. Some of them are:
Before going to the bank with a loan application, improve your credit score for better rate offers. Make sure to regularly check and refine your credit score.
Select a shorter loan duration. It reduces the total cash outflow, including the interest component.
Consider variable interest rates. These rates adjust with market changes and might sometimes offer a better deal than fixed rates.
Engage personally with your bank. A good conversation with your bank manager or any bank official from the bank can sometimes lead to lower rates, especially if you have been a loyal client.
Make a larger initial payment. A bigger down payment can reduce your loan's principal, leading to a lower cash outflow.
Your Home Loan EMI, or monthly repayment, is determined by three main factors: the total loan amount you borrow, the interest rate, and how long you choose to repay the loan (tenure). In short:
Loan Amount: The more you borrow, the higher your EMI.
Interest Rate: A higher interest rate means a higher EMI.
Tenure: Spreading your loan over more years can reduce your monthly payment, but you'll likely pay more in total interest over time.
Many banks offer online tools, called EMI calculators, to help you easily determine your monthly repayment. Simply input your loan details to get an estimated EMI.
The interest rates on Home Loans are influenced by a variety of factors in addition to the base rate. Here are some key considerations:
Credit score: Your credit score plays a crucial role in determining the rate of interest on a Home Loan. A higher credit score often results in a more favourable rate, as it reflects your creditworthiness.
Loan amount: The amount you borrow can impact the interest rate. Generally, lower loan-to-value ratios may attract more competitive rates.
Type of interest rate: Whether you choose a fixed or floating interest rate can influence your Home Loan rate. Fixed rates provide stability, while floating rates may vary based on market conditions.
Income and employment stability: Lenders often consider your income and employment history. Stable income and employment can positively influence the interest rate offered.
Market conditions: Home Loan interest rates are also influenced by broader macro-economic factors and market conditions. Changes in the economic landscape can impact rates.
The calculation of interest rate payments can be approached through various methods, each impacting how much you pay over the life of a loan. Here are different methods for calculating interest rate payments:
Simple interest method:
This method calculates interest based solely on the principal amount and interest rate. It's a straightforward calculation and is often used for short-term loans.
Compound interest method:
Compound interest considers not only the principal amount and the interest rate but also the interest accumulated over previous periods. It leads to the growth of interest on interest, making it a common method for long-term loans.
Fixed interest rate:
With a fixed interest rate, the rate remains constant throughout the loan term. Monthly payments are predictable, providing stability for budgeting. It is a common method for traditional home loans.
Floating or adjustable interest rate:
Unlike fixed rates, floating or adjustable rates can change periodically based on market conditions. While this may lead to payment fluctuations, it can be advantageous when market interest rates decrease.
Annual Percentage Rate (APR):
The APR represents the total cost of borrowing, including interest and additional fees. It provides a comprehensive view of the loan's true cost and is useful for comparing loan offers from different lenders.
Choosing between a fixed and floating Home Loan interest rate depends on your financial preferences and market conditions. Let's break down both options:
A fixed rate of interest on a Home Loan provides stability and predictability with a constant rate throughout the loan term, making it suitable for those who prefer a stable payment amount. On the other hand, a floating interest rate offers flexibility, fluctuating based on market conditions and is potentially advantageous in a declining Home Loan rates environment.
The choice between the two depends on your individual circumstances, and for personalised advice, consulting with a financial advisor or your lender directly is recommended.
With attractive Home Loan interest rates and easy repayment facilities, HDFC Bank ensures that your journey to homeownership is not only achievable but also financially favourable. Beyond competitive Home Loan rates, HDFC Bank offers loan packages that make financing straightforward, aligning with your financial goals. When you choose HDFC Bank for your Home Loan, you opt for a trusted institution that understands the importance of making homeownership a seamless and rewarding experience.
When you include a co-applicant, such as a family member or a spouse, the lender considers both applicants' combined income and creditworthiness. This joint evaluation may result in higher eligibility and a more favourable risk profile for the lender.
Absolutely. Your credit score is crucial in determining your Home Loan interest rate. Lenders use your credit score to assess your creditworthiness and the risk associated with lending to you. A higher credit score often translates to a lower perceived risk for the lender, which may result in a more favourable interest rate on your Home Loan. Conversely, a lower credit score may lead to a higher interest rate or, in some cases, difficulty securing a loan.
Pre-EMI interest refers to the interest payable on the disbursed loan amount during the construction or under-construction period of a property before the borrower starts paying the Equated Monthly Instalments (EMIs). During this phase, the borrower may have the option to pay only the interest component, known as Pre-EMI interest, until the construction is completed, and the full loan amount is disbursed. It allows for a gradual repayment, typically based on the amount utilised, and the actual EMI payments commence once the construction is finished.
The maximum amount you can borrow for a Home Loan depends on various factors, including your income, creditworthiness, and the lending institution's policies. Generally, lenders consider your repayment capacity, which is assessed based on your income, existing financial commitments, credit history, and regulatory guidelines. The loan-to-value (LTV) ratio, which represents the percentage of the property's value that can be financed, also plays a crucial role. Lenders typically offer up to 80-90% of the property's value as a Home Loan.
Get the home of your dreams—apply now for easy financing!