HDFC Ltd raises home loan interest rates; EMIs to rise for existing borrowers

Table of Content

• salary hike is not sufficient to cover the impact of home loan EMI rise post RBI repo rate hikes
• HDFC Bank Instant Personal Loan: सिर्फ 10 Seconds मे पाये पर्सनल लोन, ऐसे करे अप्लाई
• Canara Bank hikes loan interest rates: EMIs set to go up further
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• Festive bonanza! HDFC cuts home loan interest rate, launches special Diwali offer; details here
• HDFC LOAN INTEREST RATES
• HDFC hikes home loans interest rates by 25 basis points

The lending interest rate that is linked to the repo rate is referred to as the Repo Rate Linked Lending Rate. The hike in the FD rate comes close on the heels of State Bank of India's decision to increase the interest rate of fixed deposits. The minimum interest rate payable by borrowers on loans up to Rs 30 lakh would be 7.70 per cent. The minimum interest rate on loans above Rs 30 to Rs 75 lakhs would be 7.95 per cent, while loans above Rs 75 lakh will have an 8.05 per cent interest rate. Additionally, women borrowers will be given a 0.05 per cent discount on these loans.

In order to meet the demands of low-income groups for housing financing, the housing finance organisation also provides affordable housing loans. Additionally, free property and accidental death insurance coverage are included with GIC house loans. The rate hike means EMI on a Rs 1-crore housing loan with a 20 year repayment tenure going up from Rs 80,865 a month to Rs 82,404 a month.

salary hike is not sufficient to cover the impact of home loan EMI rise post RBI repo rate hikes

Borrowers' EMI payments will go up even further as a result of this most recent MCLR increase. The HDFC Bank has also changed the interest rate on recurring deposits with maturities between 6 to 120 months. The bank is currently giving an interest rate on the aforementioned tenor slab that falls between 4.50 and 7% for the general public and 5% to 7.75% for elderly persons. The change will benefit all existing HDFC retail home loan customers, it added. One can increase one’s chances of getting a higher loan amount by adding a co-applicant. If the co-applicant is female, HDFC Home loans will offer one better rate of interest rates on one’s home loan.

The rates of interest are applicable to Home Loans, including Home Improvement, Home Extension, Plot and Plot plus Construction loan. HDFC Ltd. reserves the right to withdraw the offer on interest rates at any point in time, without any further intimation or notice, and no claims shall be entertained by HDFC Ltd. in this regard. The new lending rate comes into effect from October 1, 2022, HDFC said in a statement. Godrej Properties, which is part of business conglomerate Godrej Group, is one of the leading real estate companies in the country.

HDFC Bank Instant Personal Loan: सिर्फ 10 Seconds मे पाये पर्सनल लोन, ऐसे करे अप्लाई

Following the most recent 50 bps increase in the repo rate to 5.9 percent, many lenders have lowered the rates on their home loans by 15 to 30 basis points since mid-October. According to the latest rates, HDFC home loan interest rates will now begin at 7.55 per cent. This means that the minimum rate for a borrower with a credit score of over 800 under the Special Housing Loan Scheme is now at 7.55 per cent. The applicant’s credit score plays a significant role in the home loan interest rate that he can get with the bank.

Any change in the HDFC Home Loan interest rates will be informed to the borrowers in writing. These revisions are due to changes in Base Rate or change in the lender policies. Under the latter condition, the interest rates can be revised by SBI.

Canara Bank hikes loan interest rates: EMIs set to go up further

The new rates, an increase of 30 basis points, will be effective from May 9, Monday, HFDC has said. The move by the lender comes close in heels with the Reserve Bank of India‘s decision to increase its interest rates by 40 basis points or 0.40 per cent in the wake of rising inflation in India. The move comes after public lender State Bank of India raised the marginal cost of funds-based lending rates by 10 basis points across tenures.

These factors are also proving to help spur the real estate demand that was temporarily hit last year, as a result of the pandemic,” he added. Industry experts are of the view that that the reduction in home loan interest rates would be greatly beneficial for a sector that has been trying to spring out of a prolonged slowdown. In the last couple of years, property prices have more or less remained the same in major pockets across the country, while income levels have gone up. Record low-interest rates, subsidies under the PMAY and tax benefits have also helped.” said Renu Sud Karnad, managing director, HDFC Ltd.

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The home loan interest rate applies to loans for purchasing a new house, home renovations, home expansions and balance transfers. These rates are flexible during the loan’s term and are determined by HDFC's benchmark Rate ("RPLR"). Kotak Mahindra Bank has revised its marginal cost of lending rate across loan tenors. Due to this latest MCLR hike, borrowers’ EMI outgo will increase further. Moreover, once their reset date arrives, borrowers will have to pay higher interest rates on their loans.

The move is set to make borrowing expensive, leading to an increase in loan tenure and higher equated monthly instalments . At the same time, the rate hike is expected to hike interest rates on deposits like fixed deposit . The State Bank of India offers different home loan interest rates based on the credit score of the applicant. The home loan interest rates start from 8.4 per cent and go up to 9.05 per cent. Canara Bank increased its loan marginal cost of funds-based lending rate . The lender stated in a regulatory filing that the new MCLR for various tenors will be effective on December 7, 2022.

Festive bonanza! HDFC cuts home loan interest rate, launches special Diwali offer; details here

With the latest increase, HDFC home loan interest rates will now begin at 7.55 per cent. This is the fourth time that the lender has hiked its home loan interest rates in a little more than a month. Iii) In case of loans above Rs 75 lakh, borrowers who are women will be required to pay an interest rate of 7.40 per cent, up from the earlier 7.10 per cent — in an increase of 30 basis points.

Note that the senior citizen rates are only for Resident Indians and do not apply to NRIs. Applicants need to make sure that they meet the eligibility criteria set by HDFC Bank for securing a home loan product. One can try to improve their credit score by making timely payment of existing EMIs for any type of loan.

And Kotak Mahindra Bank, which are currently offering some of the lowest rates in the market. While SBI’s lowest home loan rate is currently at 6.7% per annum, Kotak is charging 6.65% annual interest on its home loans. Home loans at private lender ICICI Bank are currently priced at 6.8%. HDFC offers an adjustable-rate loan also known as a floating rate loan as well as a trufixed loan in which the interest rate on the home loan remains fixed for a specific tenure after which it converts into an adjustable-rate loan. The country’s largest housing finance company HDFC has cut interest rate on its home loans to 6.75% from 6.8%.

Home loan interest rate is an amount charged on the principal by a home loan provider to a borrower for the use of the principal amount. Your housing loan interest rate determines your monthly payable EMI against your home loan. My home loan was taken from HDFC Limited but the rate of interest was nominal. The interest rate was 10.8% when I took the loan and it will be good if I get an offer around 8%. Pre closure is there, but i am not sure about the charges and i am paying EMI of Rs.20280 with the tenure of 15 years. I have taken home loan directly through HDFC LTD .The rate of interest and the processing fee was very high .This loan got sanctioned on time but the service was not upto the mark.

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The home loan rates also depend upon the nature and amount of income of the applicants. People with stable incomes, like government employees and those working in PSUs, self-employed professionals like doctors and CAs, have better chances of offering lower interest rates on loans. This is because they can offer a stable guarantee of loan repayment because of their consistent income. Self-employed and business people get slightly higher rates of interest. This is due to the higher risk factor involved in case of loan repayment for these candidates.