Axis Bank Home Loan Interest Rates

Buy your dream house with affordable Axis Home Loan Interest Rates 2021! With floating rates starting from 6.90% p.a. and fixed rate of interest @ 12% p.a., salaried and self-employed applicants get the option to choose the one that best meets their requirements. Also, choose between different home loan schemes available at different Axis Home Loan Interest Rates 2021.

Axis Home Loan Interest Rates for Salaried and Self Employed

Axis Bank Home Loan Interest Rate 2021 varies between salaried and self-employed individuals. The rates are usually higher for self-employed individuals given the fluctuation in income. However, with salaried individuals, since the pay per month is fixed, they are eligible for lower rates of interest rate. 

Other factors like the CIBIL score play an essential role in the final interest rate offered to any applicant. 

Here are the comparative rates for salaried and self-employed individuals currently at Axis Bank:

Type of Interest Salaried Self-Employed 
Floating 6.90%- 8.40%7.00%-8.40%
Fixed 12%12%

Axis Home Loan Rates for Multiple Housing Schemes

Axis bank offers a host of different loan products. Each one is targeted towards a particular customer segment and helps fulfil their specific requirements. These loans vary in their features and in the interest rates as mentioned below: 

Floating Interest Rates 

Home Loan Product Salaried Self Employed
Axis Home Loan6.90% - 8.40% p.a7.95% - 8.55%
Axis QuikPay Home Loan7.95% - 8.45% p.a9.15%-9.35% p.a
Axis Power Advantage Home Loan8% p.a - 8.35% p.a9% p.a- 9.20% p.a
Axis Shubh Aarambh Home Loan7.75% - 8.25% p.a8.95% p.a
Axis Fast Forward Loan7.75%-8.25% p.a8.95%-9.15% p.a
Axis Asha Home Loan10.05%-11% p.a10.30%-11.50% p.a
Axis Super Saver Home Loan8.15%- 8.30% p.a9.20%-9.35%
Axis Top-Up Home LoanSubject to bank’s discretion8.90% p.a onwards

The floating interest rates of Axis Bank are subject to change based on the following rate changes: 

  • Repo Rate
  • The Marginal Cost of Lending Rate
  • The Base Rate
  • The Mortgage Reference Rate

Currently, the loan interest rates are related to the repo rates. However, the base rate and the mortgage reference rate offered by Axis Bank are subject to change based on a number of factors like the cost of operations, the cost of funds, provisioning requirements and the prevailing interest rates. 

Fixed Interest Rates 

Home Loan Product Salaried and Self Employed
Axis Home Loan12%
Axis QuikPay Home LoanNot Applicable
Axis Power Advantage Home Loan8.40% p.a
Axis Shubh Aarambh Home Loan12% p.a
Axis Fast Forward Loan12% p.a
Axis Asha Home Loan12% - 12.50%  p.a
Axis Super Saver Home LoanNot Applicable
Axis Top-Up Home Loan12%

What is the Axis Bank Home Loan Interest Rate type that you should choose? This is a common question that most customers ask. You can choose the floating or fixed interest rates if you can analyze how the market changes. Both of them have their advantages and disadvantages as mentioned below: 

  • The fixed interest rate on your home loan is always higher than a floating interest rate.
  • With floating interest rates, the rate may drop or increase. While there is the risk of paying higher interest rates, you also miss out on the benefits of a lower Axis Bank Home loan Interest Rate if you opt for a fixed rate.
  • If the fixed interest rate is lower when applying for a loan, it is advised to choose it as you can enjoy the advantage of lower EMI for the rest of the loan tenure.
  • With floating home loan interest rates, prepayment penalties are not applicable. So, if you can prepay your Axis Bank Home Loan after getting access to additional funds, you may end up paying a higher penalty in comparison to the interest rate.

However, customers can change from fixed to floating interest rates or vice versa anytime during the tenure. However, some charges are applicable to make this change as mentioned below: 

  • To change from fixed to floating interest rate: 2% of the current outstanding loan amount.
  • To change from floating to fixed interest rate: 1% of the current outstanding loan amount, subject to a minimum amount of Rs.10000
  • To change from a higher fixed interest rate to a lower fixed interest rate: 0.5% of the current outstanding loan amount, subject to a minimum amount of Rs.10000
  • To change from a higher floating interest rate to a lower floating interest rate: 0.5% of the current outstanding loan amount, subject to a minimum amount of Rs.10000

Axis Interest rate vs other banks 

Axis Bank offers one of the most competitive interest rates in the market today. You can also use the Axis Bank Home Loan Interest Rate Calculator to find the best offers for you. 

To understand the different options available to you in the market today, here is a comparison of Axis Bank Home Loan interest rates with other banks. Currently, Axis Bank Home Loan Interest Rates start at 6.90%. 

Here is a comparison of the interest rate with other top lenders: 

Name of the Bank Interest Rate Processing Fees 
Kotak Mahindra Bank6.65%Up to 0.5% of the loan amount

Punjab and Sind Bank 


 

6.65%As applicable
State Bank of India6.75%Up to 0.4% of the loan amount, subject to a minimum of Rs.10000 and a maximum of Rs.30000
ICICI Bank 6.75%Up to 2% of the loan amount, subject to a minimum of Rs1500
HDFC Bank 6.75%Rs.3000 upfront
Punjab National Bank6.75%0.35% of the loan quantum, subject to a minimum of Rs.2500 and a maximum of Rs.15000
Yes Bank 8.95%Up to 2% of the loan amount, subject to a minimum of Rs.5000
Canara Bank6.90%0.50% of the loan quantum, subject to a maximum of Rs.10000 and a minimum of Rs.1500
Union Bank of India6.80%0.50% of the loan quantum, subject to a maximum of Rs.15000
Bank of Baroda6.75%0.25% - 0.50% of the loan quantum, subject to a minimum of Rs.8500 and a maximum of Rs.25000

The interest rate offered to customers by various banks changes according to the eligibility criteria. There are some options to avail a lower interest rate: 

  • Make sure your CIBIL score is high.
  • Show different income sources like pending salary hikes, bonuses or rent from your properties.
  • Add a co-applicant to the home loan. This will consolidate the income of both applicants to help you get a lower interest rate.
  • Add a younger co-applicant. Age is an essential factor with home loans as it allows you to enjoy a much longer tenure on loan.

Additional Info: Know about Axis Bank Net Banking an hassel-free banking experience.

Axis Home Loan Rate Trends in last 5 Year

In the previous 5 years, Axis Bank Home Loan Interest Rates have changed according to the repo rates. These changes are applicable to the floating rates of interest and are as follows: 

Announcement Date Repo Rate
June 4th 2021 (unchanged)4%
February 6th 20205.15%
October 10th 20195.15%
August 7th 20195.4%
June 6th 20195.75%
April 4th 20196%
February 7th 20196.25%
August 1st 20186.5%
June 6th 20186.25%
August 2nd 20176%
October 4th 20166.25%
April 5th 20166.5%
September 29th 20156.75%
June 2nd 20157.25%
March 4th 20157.5%
January 15th 20157.75%
January 28th 20148%

The repo rate in India has seen a downward trend over the last five years. As a result, you can enjoy the lowest possible interest rates on home loans currently. In order to match the demands of the economy, the RBI has slashed the Repo Rates multiple times. 

With the repo rates reducing, banks are able to get advances and loans at a cheaper rate. As a result, the liquidity increases automatically. This increased liquidity benefits the customers directly as they get loans faster and at lower interest rates. 

On the other hand, when there is a rise in the repo rate, it becomes more expensive for customers to borrow home loans from any bank. In this way, the repo rate helps maintain liquidity in a country’s financial system. 

A reduction in repo rate is also beneficial to banks as both businesses and retail customers tend to choose higher loans. As a result, overall consumption increases, further increasing the liquidity. 

The most significant advantage of the decrease in repo rates over the last five years is that customers can expect lower EMIs and faster repayments towards their loans. 

Axis Home Loan Balance Transfer Interest Rates

Axis Bank gives customers the option to transfer any existing balance from another bank to Axis Bank. This is also known as a home loan takeover, allowing you to choose a lower interest rate and reduce EMI whenever possible. 

Currently, the home loan interest rates offered at Axis bank start at 6.90%. You can enjoy these low-interest rates when you transfer your balance to Axis Bank. However, the interest rate offered depends on various factors like the employment status of the individual, the CIBIL score, the income etc. You can check with Axis Bank Customer Care for specific details about the balance transfer. 

A processing fee of 1% is applicable on these home loan balance transfers. You may also have to pay some foreclosure charges or processing charges to the bank that you are currently holding your loan account with. When transferring the balance to a new bank, here are a few things that you should think about: 

  • Don’t allow teaser rates to affect your decision: Sometimes, banks offer seasonal discounts and offer that may be applicable for the initial loan period and then change according to the market lending rates. When these rates increase, they outweigh the advantage of lower interest rates in the first few years of the loan tenure.
  • Understand all the costs involved: When you have applied for a home loan, there are many costs and charges that are applicable besides the interest rate. Just because a bank is offering you lower interest rates, it does not mean that you are getting the best deal. Take into account different costs like the technical charges, valuation fees, legal charges, stamp duty and processing fees associated with the transfer. Although there are several benefits to transferring a home loan, there are chances that the additional costs outweigh them.
  • Read all the terms and conditions: Be aware of various clauses with respect to the loan to value ratio, costs and fees and the prepayment penalty applicable on loan. Only when you are completely satisfied with these terms should you opt for a balance transfer.
  • Service matters: Besides getting the most competitive prices for your loans, you should also have a good experience throughout your loan tenure. Make sure that the customer service is effective and quick with any bank that you choose to transfer your outstanding home loan too.

In short, you must consider the total amount that you spend to make the transfer. Axis bank offers the best interest rates and customer services, making it one of the primary choices for customers to transfer their outstanding balance to. There are many advantages to balance transfer, including: 

  • Lower rates of interest
  • Having all your loans in a single place for more manageable repayment
  • Reduced burden of EMI per month
  • Better overall experience with a particular bank or NBFC.

Axis bank also offers a Home Loan Balance Transfer Calculator feature that lets you calculate all the expenses and the EMI payable after you choose to transfer any outstanding balance.

Note: Also, know about the Axis Bank Mini Statement Number service.

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Axis Bank Home Loan Interest Rates FAQs

✅What is the current Axis home loan rate?

Axis Bank Home Loan Interest Rate 2021 starts at 6.90% and goes up to 12.50%. Fixed interest rates are higher, starting at 8.90%. There are various factors like income, employment status and other parameters that are taken into consideration when offering a loan. The floating interest rates are also subject to change based on the repo rate. 

✅Does Axis Bank offer any interest rate subsidies?

Yes. Axis bank offers schemes like the Pradhan Mantri Awas Yojna that allow you to enjoy lower interest rates and subsidies. There are subsidies provided to women applicants as well.

✅What is the EMI for a 20 lakh home loan?

The EMI payable for a home loan of Rs.20 Lakhs with an interest rate of 6.90% for a period of 20 years is Rs. 15,386. However, based on the final interest rate and the repayment tenure that you opt for, this amount is subject to changes. To get the exact figure, you can use the Axis Bank Home Loan Calculator and set the parameters as required. 

✅What is the interest of 30 lakh in Axis?

The interest rate depends on various parameters like age, income and employment status. Currently, the interest rate starts at 6.90% and goes up to 12.50% at Axis bank. The interest rate that you get depends upon the eligibility criteria that you fulfil.

✅What are the processing fees for Axis home loans?

The processing fees for Axis Bank Home Loans is 1% of the final loan quantum. This is subject to a minimum amount of Rs.10000 + GST. During the application, a fee of Rs.5000 is collected upfront. This fee is not refundable in case of rejection of the application or withdrawal from the applicant. The remainder of the processing fee is collected when the home loan is disbursed.

✅How is Axis moratorium interest calculated?

Home loan applicants can enjoy a moratorium or holiday period for their home loan. This is a period of tenure when you do not have to pay any EMI. The interest rate that is calculated for this moratorium period is based on the current interest rate applicable on loans. For instance, if the interest rate per year for the loan is 12%, then the interest rate for the loan per month is 1%. So, for the first month, the interest is calculated using the formula Principal X Monthly interest rate/ 100. Get in touch with Axis Bank relationship managers to get exact details on the interest rate calculation for the moratorium period. You can also use a moratorium calculator that is available online.