ICICI Bank’s Home Loan is a complete solution for purchasing a dream home. Whether one wants to buy a house or build a new house, ICICI Bank provides a variety of home loan products that can satisfy those needs. These loans are offered to all types of borrowers- both salaried and non-salaried – at affordable interest rates. Simple payment methods and fast processing make these home loans even more attractive.
ICICI Bank Home Loans provides several types of home loan products.
ICICI Bank provides housing loans to suitable borrowers at an attractive interest rate that starts from as low as 6.75% per year. The loan term can be up to 30 years, and the repayment options are simple. The penalty for early repayment of floating-rate loans is completely waived. Moreover, borrowers can avail of tax benefits.
ICICI Bank is also part of the PMAY (Pradhan Mantri Awas Yojana) program, which provides qualified buyers additional benefits while availing a home loan.
ICICI Home Loan Interest Rates & Other Details – 2021 |
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Interest Rate | 6.75% onwards |
Loan Tenure | Up to 30 years |
Loan Amount | Based on the credit profile of the applicant |
Processing Fees | 0.50% of loan amount + GST |
ICICI Home Loan Interest Rates & Other Details – 2021 |
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Loan Amount | Salaried | Self Employed |
Up to INR 35 lakhs | 6.90% – 7.60% | 7.05% – 7.85% |
INR 35 lakhs to INR 75 lakhs | 7.00% – 7.75% | 7.10% -7.95% |
Above INR 7 lakhs | 7.00% – 7.95% | 7.10% – 8.05% |
ICICI Home Loan Interest Rates & Other Details – 2021 |
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ICICI Home Loan Schemes | RLLR inked Interest Rate For Salaried | RLLR linked Interest Rate for Self Employed |
ICICI Home Loan | 6.75% – 8.80% | 8.70% – 8.90% |
30 Year Home Loan | 9.75% – 14.55% | 9.75% – 14.55% |
Home Improvement Loan | 8.25% – 9.50% | 8.30% – 9.25% |
Home Extension Loan | 8.25% – 9.50% | 8.30% – 9.25% |
Rural Housing Loan | 8.35% – 9.35% | 8.40% – 9.65% |
Step Up Home Loan | 8.55% – 9.50% | 8.60% – 9.55% |
Top-Up Loan | 8.25% onwards | 8.25% onwards |
ICICI Bank Home Loans come with many tangible benefits for a prospective borrower.
On top of these benefits, ICICI Bank Home Loans offer some extra value-adds, such as:
Lastly, ICICI Bank Home Loans are linked to the central scheme of Pradhan Mantri Awas Yojana or PMAY, which provides eligible clients a Credit Linked Scheme or CLSS with additional benefits.
Eligible individuals include:
The CLSS can be availed by customers looking to purchase a new property or a flat, building a house, expanding an existing house or residential property, or home improvement of an existing property.
The benefits of the PMAY scheme include:
ICICI Bank Home Loans are offered in several different product categories, and depending upon the type of borrower, the interest rate can start from as low as 6.90%. For women borrowers, this rate goes down further to 6.75%.
Slab | Floating Interest Rates |
Up to Rs. 35 lakhs | RR + 2.75% (6.75%) – RR + 3.15% (7.15%) |
Rs. 35 lakhs – Rs. 75 lakhs | RR + 3.00% (7.00%) – RR + 3.30% (7.30%) |
Above Rs. 75 lakhs | RR + 3.10% (7.10%) – RR + 3.40% (7.40%) |
Slab | Floating Interest Rates |
Up to Rs. 35 lakhs | RR + 2.90% (6.90%) – RR + 3.30% (7.30%) |
Rs. 35 lakhs – Rs. 75 lakhs | RR + 3.15% (7.15%) – RR + 3.45% (7.45%) |
Above Rs. 75 lakhs | RR + 3.25% (7.25%) – RR + 3.55% (7.55%) |
* These interest rates vary depending on various parameters such as the CIBIL score, borrower profile, loan products, segments, etc.
Segment | Floating Interest Rates |
Salaried (Any Loan Amount) | RR+2.75% (6.75%) – RR+3.40% (7.40%) |
Non-Salaried (Any Loan Amount) | RR+2.90% (6.90%) – RR+3.55% (7.55%) |
Apart from the standard home loan, ICICI Bank also offers two additional options. Express Home Loan provides borrowers with an online portal from where they can easily apply for the loan and get a provisional sanction letter quickly. The entire eligibility checking application is also a digital, online-only proposition.
ICICI Bank Extra Home Loan is a unique product that can increase a borrower’s loan amount by up to 20% and also gives them an option to extend the loan repayment tenure up to 67 years of age, thus providing a two-fold advantage of increased affordability with a longer loan repayment duration. The mortgage Guarantee also backs the updated loan/repayment period.
ICICI Bank Saral Housing Loan is an affordable home loan offered exclusively to women in rural areas to acquire, construct, repair work, renovate, or upgrade a house. This loan has an LTV of 90%. The loan amount varies between Rs. 5Lac to 15Lac, and can be availed for a duration of 3 to 20 years at a base interest rate of 9.70%.
The ICICI Bank Pragati Housing Loans are catered towards low-income individuals and other eligible persons. These offer three kinds of products: a Home Loan, a Home Improvement Loan, and a Non-Residential Promise Loan or NRP.
The loan amount varies from Rs. 5Lac to as high as Rs. 50 Lakh. The tenure can be up to 20 years. An easy balance transfer facility is also offered as part of this product. Maximum LTV differs on the type of individual borrowing – for salaried individuals, it is as per RBI’s guidelines, whereas for self-employed professionals and NRI’s, the LTV’s are 65% and 60%, respectively.
The minimum monthly income requirement for the salaried applicant is INR 10,000, alongside a minimum work experience of a year. For self-employed people, the mandatory requirement is to have a business vintage of 3-5 years.
ICICI Bank also offers a loan to purchase land for the self-construction of a residential plot. There are two criteria to avail of this loan past the standard set of eligibility factors. First, the construction of the property needs to be completed within two years from the date of the first disbursement of the loan. Secondly, the plot must be within the municipal limits of the hub locations or outside municipal limits if the Development Authority directly allocates it.
ICICI Bank Home Loan Interest Rates have several dependent factors.
The loan amount that an individual wants to borrow is one of the principal factors deciding the interest rate. For a higher amount of loans taken, higher rates of interest are incurred.
There are two basic options for any home loan regarding interest types: borrowers can opt for a fixed ROI or a variable ROI (ROI = Rate Of Interest). The interest rates can further be floating or even mixed. Choosing a specific type of interest decides the end rate for a customer to pay on their loan.
A borrower can only avail of a home loan that is a percentage of the property’s determined value. This percentage is called a Loan-to-value ratio. This factor often determines how much money a person can borrow as a home loan for a specific property and, in turn, affects the rate of interest a borrower incurs on that loan. For ICICI Bank Home Loans, an LTV of 80% is commonly offered.
For a financial institution to lend an individual money, one of the first factors that come up while determining their eligibility is the ease of repaying ability. The monthly installments that a borrower must pay should also be coherent with their income. The nature of an applicant’s job can also play a role in lowering the loan’s interest rates. For example, Government Employees, people working in PSUs, non-salaried stable income professionals like Doctors and Chartered Accountants often have better possibilities to get even attractive ROI’s on their loans. The stability of income often inversely affects the risks of repayment of a loan. Hence, non-salaried individuals often incur slightly higher rates of interest for the same amount of loan.
An applicant’s credit score has a significant effect on the resultant home loan interest rates that they can avail from the bank. A credit score generally represents the nature of the financial habits of an individual. Hence, a lower score, more often than not, poses more risks in terms of the loan repayment – reasons that a financial institution may opt to increase the rate of interest while approving the home loan. On the other hand, someone with a moderate to good CIBIL score has an excellent chance of getting more borrowing amount and availing a low rate of interest.
Applicants should consider these factors carefully before applying for a home loan with HDFC to increase their chances of loan approval.
ICICI Bank Home Loans depend on many factors besides the net salary, e.g., CIBIL score, existing debts or loans, type of income, and even value of the property.
Yes, ICICI Bank offers existing home loan customers an option to avail of a top-up loan of up to 100% of the original loan amount sanctioned.
No, as per RBI guidelines, lending institutions cannot grant more than 90% of the property value as a home loan to the applicant.
Generally, salaried employees are offered lower rates of interest when it comes to ICICI Bank Home Loans. Furthermore, the rates are further lowered if the applicant is a female or a female co-applicant.
ICICI Bank Home Loans come with a processing charge of 0.50%-2.00% of the loan amount or INR 1,500 (INR 2,000 for Mumbai, New Delhi, and Bangalore).
Yes. Additionally, one of the significant advantages of ICICI Bank Home Loans is that there are no prepayment penalties.
While the first ten years of the loan tenure comes with a fixed interest rate, the customers can choose between fixed or floating interest rates after that period is over. The floating interest rates will be determined based on specific benchmark rates and other factors as applicable.
Yes. Under the Indian Income Tax Act, 1961, all home loan customers are eligible to get tax benefits on the home loan principal amount and also on its interest components.
If the rates are changed as per RBI guidelines or due to benchmark rates changing, ICICI Bank Home Loan EMI’s will also be affected. Borrowers are contacted in situations like these and are given the option of either keeping the exact EMI amount and changing the tenure or keeping the same tenure for their loan and changing their EMI amount.
Yes. ICICI Bank provides lower rates of interest for home loans for women applicants. For women in rural areas, ICICI Bank offers the Saral Home Loan that comes with lower interest rates, higher LTVs, and other perks.