An individual employed with the Central Government, State Government, Government Departments, Banks, PSU’s as well as Defence institutions is eligible for accommodation facility according to their grade. Till the time of retirement, there is no need to worry about owning a home, but as soon as you retire, you need to vacate the government accommodation and move elsewhere. At such an age, it is not ideal to live in rental accommodation. This is where the facility of Home Loan for Pensioners and senior citizens comes to your rescue.
Understanding this requirement, many financial institutions, i.e., banks and NBFCs, are now offering home loans for senior citizens and pensioners. This facility allows you to purchase your own home and live your retired life in a peaceful and comfortable setting.
In addition to purchasing a residential property, home loan for pensioners are offered for purposes such as:
Although several financial institutions have started offering Home Loans to senior citizens and pensioners, the home loan eligibility criteria followed is very strict. This is done to ensure that only deserving applicants receive the loan, as well as the risk factor, is taken care of.
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The specific eligibility criteria followed by respective financial institution varies slightly, but the general rules followed are:
With several options at your disposal for Home Loan, it is natural to get confused. For your convenience, here are the top 10 Home Loans for pensioners and senior citizens available in India:
State Bank of India offers the Home Loan of up to Rs. 14 lakh for pensioners and senior citizens. In case of family pensioners, the maximum amount available is Rs. 5 Lakh. The maximum repayment tenor available is 15 years or till the applicant attains the age of 75 years.
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The premier PSU, LIC offers Home Loans for senior citizens and pensioners. Though there is no maximum limit on the amount available as a Home Loan, the repayment tenor is limited to 15 years or till the applicant attains the age of 70 years.
Punjab National Bank accepts Home Loan applications from pensioners and senior citizens for an amount of up to Rs. 10 lakh. The maximum repayment tenor available is 5 years for applicants under the age of 75 years while for applicants above the age of 75 years, the maximum repayment tenor is 2 years.
United Bank of India, a leading public sector bank, offers Home Loans of up to Rs. 2 Lakh for pensioners and senior citizens. The maximum repayment period available is 15 years or by the time applicant attains the age of 70 years.
To facilitate senior citizens and pensioners to Apply for a Home Loan, Bank of India offers the Home Loan of up to Rs. 5 Lakh with maximum repayment tenor being 5 years or 60 EMIs.
Dena Bank Home Loan for Pensioners and Senior Citizens is available for amounts of up to Rs. 3 Lakh with maximum repayment tenor being before the applicant attains the age of 73 years.
South Indian Bank offers one of the highest amounts as Home Loans for senior citizens and pensioners of up to Rs. 25 Lakh. The maximum repayment tenor being 15 years or till the pensioner is 75 years old.
Bank of Baroda also offers the facility of Home Loan for senior citizens and pensioners. The maximum amount available is Rs. 8 Lakh and the repayments can be made till the applicant attains the age of 78 years.
Bajaj Finserv offers loan to pensioners and senior citizens against their property. This amount can be used to purchase a new property or renovate an existing one. The maximum amount available can go up to Rs.1 crore, and the repayments can be made till the age of 70 years.
Also Check: Bajaj Finserv CIBIL Score
Federal Bank offers financing facility to senior citizens in the fo”m of “Aashra” Loan” which is offered against existing property. This can be used for construction purpose or other renovation-related requirements.
With so many options at your disposal, you can effotlessly apply for a Home Loan for pensioners and senior citizen and realise your dream of being a homeowner.
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