Top 10 Best Bank for Home Loan In India 2023

We have compiled a list of the best banks for a home loan in India 2023 based on the home loan value it offers to the borrower. These banks offer a variety of home loan programs with numerous advantages and features. Some of the advantages of such home loans are higher eligibility, lower EMIs, EMI exemptions, mixed interest rates, overdraft capability, and balance transfer capability. The banks also offer other attractive features with their loan products to meet the housing finance needs of a wide customer base. Continue reading to know the best bank for a home loan in India in terms of who would offer the best home loans in 2023.

Best Bank for Home Loan In 2023

SBI Home Loan

The government-run State Bank of India (SBI) is India’s largest mortgage lender With over 65 years of industry experience, SBI has supported over 30 lakh households in their home purchases so far. Founded in 1955, SBI now has over 16000 + branches in India and internationally. With a book size of Rs 52 lakh cr, it is the largest participant and is considered one of the best banks for home loans in India.

Types of SBI Home Loans

• SBI Home Loan
• SBI Home Loan Balance Transfer
• NRI Home Loan
• Flexipay Home Loan
• Privilege Home Loan
• Shaurya Home Loan
• Pre-approved Home Loan.
• Realty Home Loan
• Top-up Home Loan
• SBI Bridge Home Loan
• YONO Insta Home Top-up Loan
• Home Loan to Non-Salaried- Differential Offerings
• SBI Tribal Plus

Benefits of Taking a Home Loan from SBI

• Strict property evaluation
• Charges are clear and transparent
• Interest calculation on the daily-reducing balance
• Flexible repayment options
• The convenient and hassle-free application process
• 05 percent interest rate reductions for female borrowers
• Dedicated customer support
• Tax benefits on home loans

HDFC Home Loan

Housing Development Finance Corporation Limited (HDFC) is a Mumbai-based Indian financial services firm. It is a leading provider of housing financing in India. It was created in 1977 with the help of India’s business community as the country’s first specialized mortgage firm and the principal company in the HDFC group of enterprises. Since its inception, HDFC has assisted over 80 lakh individuals in purchasing houses and is known to be one of the best banks for housing loans.

Types of HDFC Home Loans

• Union Home Loan
• Union Awas
• Union Home-Smart Save
• Pradhan Mantri Awas Yojna (PMAY)
• Union Ashiyana Personal Loan Scheme
• Union Ashiyana Overdraft Scheme

Benefits of Taking a Home Loan from HDFC

• Transparent loan processing charges and fees
• Multiple options to choose from for loan repayment

ICICI Bank Home Loan

ICICI Bank, the country’s second-largest private lender by market capitalization, was founded in 1994 as a wholly-owned subsidiary of ICICI Limited. ICICI Bank now has 6,612 branches across India and its affordable and amazing features cement its place firmly in the top 10 banks in India for home loans.

Types of ICICI Bank Home Loans

• ICICI Housing Loan
• Instant Home Loan
• Express Home Loans
• Extra Home Loan
• Pre-Approved (Instant) Balance Transfer
• Balance Transfer and Top-up
• Pratham Home Loans
• Land Loan
• NRI Home Loan
• Insta Home Loan Overdraft
• Insta Top-up Loan

Benefits of Taking a Home Loan from ICICI Bank

• Can co-borrow with a non-working female partner and benefit from lower interest rates
• Quick and seamless loan processing
• There is no additional charge for door-to-door service.

Axis Bank Home Loan

Axis Bank, a significant private sector bank founded in 1993, now has over 4,903 branches in India and worldwide. Further, Axis Bank provides its high-value loan clients with EMI Holidays. Fast Forward Home Loan borrowers receive a 6-month EMI break after 10 and 15 years However, this is only applicable if they maintain a consistent payment record throughout the loan tenure.

Types of Axis Bank Home Loans

• Axis Bank Housing Loan
• QuikPay Home Loan
• Shubh Aarambh Home Loan
• Fast Forward Home Loan
• Asha Home Loan
• Super Saver Home Loan
• Power Advantage Home Loan
• Axis Bank Happy Ending Home Loan
• Top-Up Home Loan

Benefits of Taking a Home Loan from Axis Bank

• Loans available for as less as Rs.3 lakhs
• Fixed and floating-rate mortgages are available.
• Quick and easy loan application process
• Doorstep service for loan processing and documentation
• Dedicated customer support
• Balance transfer facility

Kotak Mahindra Home Loan

Uday Kotak-led banks have over 100 branches in India and are fast-growing private lenders. Kotak Mahindra is now giving the market’s lowest interest rate on home loans. As of 2023, it is India’s fourth-largest private-sector bank in terms of assets and market capitalization. The bank has 1,780 branches and 2,963 ATMs and is popular for its low-interest rates, making it fall under the bracket of best banks for a home loan in India.

Types of Kotak Mahindra Home Loans

• Kotak Housing Loan
• Home Loan Balance Transfer
• Home Improvement Loan
• NRI Home Loan
• NRI Home Improvement Loan

Benefits of Taking a Home Loan from Kotak Mahindra

• Quick approval for your loan by Kotak Digi home services
• Sustained benefits due to low rates

Bank of Baroda Home Loan

After a merger with Dena Bank and Vijaya Bank in April 2019, the Vadodara-based Bank of Baroda became India’s third-largest bank after SBI and provides the best home loans. Founded in 1908 by the Maharaja of Baroda, the bank, along with 13 other major commercial banks in India, was nationalized by the government on July 19, 1969, and now has over 9,688 branches in India and internationally.

Types of Bank of Baroda Home Loans

• Baroda Housing Loan
• Baroda Home Loan Advantage
• Baroda Home Loan Takeover Scheme
• Home Improvement Loan
• Baroda Pre-Approved Home Loan
• Baroda Top-up Loan
• Pradhan Mantri Awas Yojna

Benefits of Taking a Home Loan from Bank of Baroda

• No hidden fees or charges
• Multiple loan repayment options are available

PNB Home Loan

Punjab National Bank (PNB), India’s second-largest public sector bank, is also providing low home loan interest rates making it one of the best banks for a home loan in India. The state-owned bank, headquartered in New Delhi, was formed in 1894 and has over 80 million clients and 12,603 branches in 35 states.

Types of PNB Home Loans

• Housing Loan for Public
• PNB Max Saver
• PNB Pride Housing Loan for Government Employees
• PNB Gen-Next Housing Finance Scheme for Public

Benefits of Taking a Home Loan from PNB

• If you take out a loan to build a house, you can request that the loan be increased if the cost of the building rises./
• Quick and hassle-free loan approval and disbursal process

Union Bank Home Loan

Union Bank of India, located in Mumbai, made headlines in 2020 when the government combined it with Andhra Bank and Corporation Bank. This public lender now operates a network of over 9,727 domestic branches and over 10,800+ ATMs. Being one of the top 10 banks for home loans in India, it provides a number of home loan products designed to meet varying end-use

Types of Union Bank Home Loans

• Union Home Loan
• Union Awas
• Union Home-Smart Save
• Pradhan Mantri Awas Yojna (PMAY)
• Union Ashiyana Personal Loan Scheme
• Union Ashiyana Overdraft Scheme

Benefits of Taking a Home Loan from Union Bank

• There are both floating and fixed-rate home loans available.
• Starting home loan interest rate is as low as 6.8 percent

IDFC First Bank Home Loan

Introducing IDFC First Bank’s Home Loan, a financial solution that brings you closer to your dream home. With competitive interest rates starting from 8.85%, flexible repayment options, and a hassle-free application process, IDFC First Bank aims to make homeownership a reality for individuals and families. This comprehensive loan offering is tailored to suit various needs, whether you’re a first-time buyer or looking to upgrade your existing home.

Backed by a team of experienced professionals, IDFC First Bank is committed to providing personalized assistance and transparent communication throughout the loan journey. Trust in IDFC First Bank to be your reliable partner in turning your dreams into cherished memories in the comfort of your own home. Experience the joy of homeownership with IDFC First Bank’s Home Loan today.

Types of IDFC First Bank Home Loan

IDFC First Bank provides flexible and customized home loan solutions that cater to your unique requirements, ensuring a smooth and hassle-free home ownership experience.

Loan for Home Purchase: Fulfill your dream of owning a new home with IDFC First Bank’s Home Purchase loan. Get financial assistance to buy a ready-to-move-in property or an under-construction house.

Loan for Land Purchase: If you envision building your dream home from scratch, IDFC First Bank’s Land Purchase loan can help you acquire the plot of land you desire, turning your aspirations into reality.

Home Construction Loan: Build your dream home exactly how you envision it with IDFC First Bank’s Home Construction loan. Secure the funds needed to construct your house from the ground up, tailored to your specifications.

Home Improvement Loan: Give your existing home a new look and enhance its value with IDFC First Bank’s Home Improvement loan. Renovate, refurbish, or add new features to create a comfortable and modern living space.

Home Extension Loan: Expand your living space and accommodate the changing needs of your family with IDFC First Bank’s Home Extension loan. Get financial support to add extra rooms or extend your current home structure.

Home Loan Balance Transfer: Simplify your loan management and lower your interest rates by transferring your existing home loan to IDFC First Bank. Enjoy the convenience of better terms and flexibility in repayment options.

Benefits of Taking a Home Loan from IDFC First Bank

Taking a home loan from IDFC First Bank comes with several benefits:

• Competitive Interest Rates: IDFC First Bank offers attractive interest rates on home loans, making it more affordable to own your dream home.
• Flexible Repayment Options: Enjoy the flexibility to choose from various repayment options that suit your financial situation, making it easier to manage your loan.
• Quick and Easy Loan Approval: IDFC First Bank ensures a hassle-free and swift loan approval process, allowing you to get closer to owning your dream home sooner.
• Convenient Application Process: With a user-friendly online application process, applying for a home loan with IDFC First Bank is convenient and time-saving.
• Loan Amount Customisation: IDFC First Bank provides home loan solutions catering to your specific requirements, ensuring you get the right funding for your dream home.
• Expert Guidance: Receive expert assistance and guidance throughout the loan application and approval process, ensuring a seamless experience.
• Transparent and Fair Practices: IDFC First Bank follows transparent and fair lending practices, providing peace of mind and confidence in your home loan journey.

Federal Bank Home Loan

Federal Bank offers a home loan for those looking to purchase a home or considering renovating or extending an existing property. The loan can help borrowers finance up to 90% of the property value or construction cost, whichever is lower. The loan amount is up to ₹15 Crores with a repayment tenure of up to 30 years. The interest rates for the loan are competitive, with a minimum rate of 8.90% p.a. with no processing or pre-closure charges. The loan is available to both salaried and self-employed individuals. The bank also offers an online application process and doorstep service for the convenience of customers.

Types of Federal Bank Home Loans

• The Federal Bank provides the following type of Home loans to its customer base in India.
• Home Purchase Loans: These loans are used to purchase a new or existing home.
• Home Improvement Loans: These loans are used to repair and improve an existing home.
• Home Equity Loans: These loans are used to borrow money against the equity in your home.
• Refinancing Loans: These loans are used to refinance an existing mortgage.
• Reverse Mortgage Loans: These loans are used to provide seniors with access to the equity in their homes.
• Construction Loans: These loans are used to finance the construction of a new home.
• Federal Bank Home Loan Processing Fees

Benefits of Taking a Federal Bank Home Loan

• Easy loan application process
• Competitive interest rates
• Hassle-free loan approval

Documents Required for a Home Loan

To establish their KYC, the applicants are required to produce the following documents:

• Loan Application Form
• Identity Proof
• Residence
• Account Statement from the Bank for the Last Six Months
• Declaration of personal Assets and Liabilities
• Detailed Property Documents
• Salary certificate issued by the employer
• Form 16/IT returns
• Assessment Orders and IT returns from the last two years.
• Proof of Business Address
• Challans to authenticate Advance Income Tax Payments

Eligibility Criteria For Home Loan

• An individual must fulfill the following eligibility criteria to apply for Home Loan from the Bank.
• The minimum age an applicant must attain the age of 18. The maximum age to apply for a loan is 70 Years.
• The minimum monthly income of the applicant must be Rs 25,000.
• The CIBIL score of the applicant must be above 750.
• The employment status of the applicant must be salaried or self-employed.
• One can avail of an LTV ratio of up to 90% from the lending institutions.
• An applicant can raise funds from the bank’s obtainment, construction, and renovation of existing or new properties.