When the topic comes to banks, there are a lot of nationalized and private entities all over the country. As all the Tier I and II cities are gradually getting developed, more people are seeking home loans to buy a house or to get it repaired. The banks provide a number of home loan plans and help the customers to become homeowners.
State Bank of India is a reputed organization that provides home loans to seekers with excellent features. On the other hand, HDFC is a popular bank that offers customers various lucrative deals when it comes to the home loan.
HDFC Home Loan vs. SBI Home Loan
If you are currently in a dilemma regarding which bank to approach for getting a home loan, you need to worry no more. A detailed comparison between SBI home loan and HDFC home loan has been provided to help individuals form an informed choice.
Loan Amount
One of the primary parameters on which the SBI and HDFC home loan can be considered is the loan amount. A person willing to take a home loan can get up to INR 3 crores as the capital amount. In the case of HDFC Bank, the loan amount is dramatically elevated up to INR 10 crores.
Both banks consider providing the capital amount depending upon the price of the house the borrower wants to buy. In the case of repairing the house, the bank negotiates the probable cost before giving any money to the borrower.
Rate of interest
The rate of interest is variable for the SBI home loan and HDFC home loan. The SBI home loan interest rates offered in a range of 8.60% to 9.45%. On the other hand, HDFC home loans have more specific ranges of interest rates depending on the type of home loan. It offers 9.40% to 10.15% for fixed-rate home loans and 8.70% to 9.50% for variable rate home loans. Women can get lump-sum capital amounts from 8.60% onwards.
Prepayment charges
There are no prepayment charges for the SBI home loans. However, the HDFC Bank levies 2% prepayment charges for the non-individual borrowers. However, this does not apply to individual borrowers.
Age limit for the borrowers
Both HDFC and SBI home loans are given by the bank to the borrowers who belong within the range of the age limit prescribed by the banks. The lower age limit for the borrowers in the case of both banks is 18 years. The upper age limit is, however, variable with 70 and 65 years for SBI and HDFC, respectively.
The application procedure for both HDFC and SBI home loans is similar and they can go for either the online or the offline mode. Moreover, the loan tenure can be of 30 years for both the banks.
If you are searching for a home loan plan at a lower interest rate, it will be better to approach SBI. Similarly, the HDFC home loan interest rate can be the best pick for the people who are desiring to buy an expensive home or get one repaired.
By comparing the above parameters, it is quite clear that there are no major differences between HDFC and SBI home loans. You must check the services of both banks in your area. Try to talk with the executives of both the banks near your place. Remember that the capital amount will depend upon the status of the property you want to buy as well as your occupation and financial details. Do not forget to clarify the monthly repayment amount as well as the conveniences that the bank is ready to offer.
