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ICICI Bank Home Loan Interest Rates

Home Loan Bank Information

Bank Name
Interest
Tenure
Processing Fees
Kotak Mahindra Bank
6.55%
1 - 20
YEARS
Rs 20000
+ GST
HDFC
6.7%
1 - 30
YEARS
Rs 3000
+ GST
Bajaj Housing Finance
6.8%
1 - 20
YEARS
0.3 %
+ GST
LIC Housing Finance
6.9%
0 - 30
YEARS
Rs 10000
+ GST
See More Offers

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.

  • There is an ICICI Bank 30 year Home Loan
  • The ICICI Bank Instant Home Loan
  • The ICICI Bank Step Up Home Loans
  • The ICICI Bank NRI Home Loan.

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 Bank Home Loan Interest Rate Table

ICICI Home Loan Interest Rates & Other Details – 2021

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

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

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 Loan Interest Rates Features

ICICI Bank Home Loans come with many tangible benefits for a prospective borrower.

  • ICICI Bank facilitates the pre-approval of home loans.
  • ICICI Bank offers Home Loan insurance that makes loan repayment easier for the borrower’s family in case of an individual’s demise.
  • Tax benefits of up to Rs.1.5lac can be availed on these loans.
  • A wide variety of loan products are on offer; this makes ICICI Home Loans customizable to user requirements.
  • Moreover, ICICI Bank offers its home loan products to both salaried and non-salaried individuals.
  • Offers loans at attractive interest rates starting at 6.75% p.a.

On top of these benefits, ICICI Bank Home Loans offer some extra value-adds, such as:

  • For projects that ICICI Bank approves, approval and disbursement of the loan are faster and can be done with less documentation.
  • ICICI Bank offers a pre-approved amount of Home Loan that can be availed quickly and with minimal documentation for select customers.
  • ICICI Bank Home Loans offer two unique insurance products that make the repayment process easier in case of the unfortunate event of a borrower passing away. These two products are exclusive and offer a similar type of protection, though some features are different:
  • Home Insurance and Secure Mind is a single premium long-term plan that adds no medical checkup for up to INR 3 crore premiums. This plan can be availed for multiple applicants under the same loan scheme and comes with tax benefits.
  • Loan Protect offers the flexibility of continuing the life coverage of the policy even after the loan is closed while providing tax benefits like Home Insurance and Secure Mind. The maximum tenure of this life coverage is 20 years. Like the previously discussed plan, Loan Protect also offers no medical exams or checkups for up to INr 5 crore premiums.

PMAY Scheme under ICICI Bank

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:

  • Economically Weaker Section (EWS)
  • Low Income Group (LIG)
  • Middle Income Group – I (MIG – I)
  • Middle Income Group-II (MIG – II)

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:

  • An interest subsidy between 3% – 6.5% upfront on the outstanding principal amount of the home loan.
  • A maximum subsidy of Rs. 2.67 lac on loan. This depends on the category that a borrower falls under.
  • For loans that have a term of up to 20 years, a subsidy can be availed on the rate of interest. This immediately reduces the EMI payment amount.
  • A discount of 9% is applied on the Net Present Value (NPV) of the interest subsidy.

ICICI Bank Home Loan Rates-Regular & Special

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%.

ICICI Bank Home Loan Interest Rates for a Salaried Borrower:

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%)

ICICI Bank Home Loan Interest Rates for a Non-Salaried Borrower:

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.

Interest Rate for Home Loan Balance Transfer with repayment from ICICI Bank Account:

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%)

ICICI Bank Express Home Loan and Extra Home Loan

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

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%.

ICICI Bank Pragati Housing Loans

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 Land Loan

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.

Factors on which ICICI Bank Home Loan Interest Rates depend

ICICI Bank Home Loan Interest Rates have several dependent factors.

The amount of money borrowed:

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.

Type of Interest Rates:

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.

Loan to Value, or LTV Ratio:

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.

Income of the Applicant:

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.

Applicant’s CIBIL Score:

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.

FAQs

How much home loan can a borrower get on their salary?

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.

Can existing ICICI Home Loan customers get a Home Loan Top-Up?

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.

Can a borrower get 100% of the property value as a home loan?

No, as per RBI guidelines, lending institutions cannot grant more than 90% of the property value as a home loan to the applicant.

How can the rates of interest be reduced for ICICI Bank Home Loan products?

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.

How much is the ICICI bank housing loan processing fee?

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).

Can I prepay an ICICI Bank Home Loan?

Yes. Additionally, one of the significant advantages of ICICI Bank Home Loans is that there are no prepayment penalties.

Can a borrower choose the type of interest on their ICICI Bank Home Loan?

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.

Are there any tax benefits on my home loan with ICICI Bank?

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 of interest are changed, how will the home loan for a borrower be affected?

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.

Does ICICI Bank provide concessional home loan rates for women?

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.

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