home loan

Impact of HDFC Home Loan Rate Change on EMIs

Almost all lenders of housing loan have increased their home loan rates recently post the increase in the base point by RBI. The hike of 25 basis point of repo rate has a direct impact on the lending rates. HDFC Ltd. was offering 8.45% before this hike but now it is offering 8.70% per annum minimum rate for a home loan.

It is quite obvious that the increase in HDFC home loan rates will have a direct impact on the monthly installments. Also, those who had taken a loan before the rate hike will be unaffected by this but those who will now take the loan will get it for a minimum rate of 8.70% per annum. However, this rate is for women applicants only. Other applicants have to pay .50% extra. In this article, we have given the interest rate for both women and other applicants of both salaried and self-employed professionals and non-professionals.

HDFC Home Loan interest rate

The starting rate available for all salaried and self-employed women is 8.70% per annum which goes up to 9.30% per annum. For self-employed non-professionals, the rate of interest starts from 8.75% and goes up to 9.35% per annum.

For others belonging to salaried and self-employed category of profession, the interest rate ranges from 8.75% and goes up to 9.35% per annum. Those who belong to self-employed profession will get HDFC home loan interest rate of 8.80% to 9.40% per annum.

What are home loan documents required to apply for HDFC home loan?

A person can negotiate or even get the home loan approval if he has all the documents ready as per the requirement of the lender. The documentation process for the loan is simple and the list is below:

  1. Valid Passport
  2. Voter ID Card
  3. Aadhaar Card
  4. Valid Driving Licence
  5. Last 3 months’ Salary Slips
  6. Last 6 months’ Bank Statements, showing salary credits
  7. Latest Form-16 and IT returns
  8. Employment Contract / Appointment Letter in case current employment is less than 1 year old
  9. Last 6 months’ Bank Statements showing repayment of any ongoing loans
  10. Passport size photograph of all the applicants / co-applicants to be affixed on the Application Form and signed across
  11. Cheque for processing fee favouring ‘HDFC Ltd.’
  12. Copy of the Allotment Letter / Buyer Agreement
  13. Receipt/(s) of payment/(s) made to the developer

Compare EMIs with HDFC Home Loan Calculator

Recently, HDFC Ltd. has increased the home loan rates. To see how much difference is there between pre and post rate hike, you can use a HDFC home loan calculator. You only have to mention the same values of loan amount and tenure but change the interest rate.

Once you mention these details in the calculator, you get EMI, the total interest outgo, and the total amount (principal+interest). For better understanding, let us take an example with the loan amount ₹20 lakhs with the tenure of 15 years and old and new interest rate.

Old interest rate of 8.45% p.a.

EMI: 19,636

Total interest outgo: 15,34,519

Total amount: 35,34,519

New interest rate of 8.70% p.a.

EMI: 19,930

Total interest outgo: 15,87,393

Total amount: 35,87,393

Leave a Reply

Your email address will not be published. Required fields are marked *