Millennials are among the most lucrative customer segment for banks and financial institutions. They are tech-savvy, money-wise, and are among the growth drivers of the Indian economy. More and more people of this demographic are entering the market seeking loans of many types, with most now in a comfortable position to consider long term investment and debt commitments like mortgages and Home Loans.
Millennials are active in investing and spend. It is, therefore, easy to see why banks are bringing out a number of offers for millennials. Here is a look at the Top Home Loans in India for millennial customers.
HDFC is among the leading Non-Banking Financial Companies (NBFCs) to offer attractive Home Loan offers for people as young as 21 years of age. They offer interest rates as low as 8% and provide really good service. The greatest part is the extended tenure of 30 years on Telescopic Repayment Option under the Adjustable Rate Home Loan. Their maximum loan duration for other age groups is, however, limited to 20 years maximum. This allows the customers to either get a larger loan amount for their budgeted EMI or stretch out loans for longer duration and pay a lesser amount as EMI and have more to spend every month.
Citibank is among one of the best international banks in India, offering attractive Home Loan options for young people. They are offering interest rates of around 8.20%. The duration of Home Loan can stretch for as long as 25 years and that too, for a staggering amount of Rs. 10 Crore. If your home is under construction while you take out your loan, Citibank allows you only to pay off interest component until construction is over. This is especially helpful to middle-class people who are mostly worried about builders causing delays in possession at the scheduled timeframe.
SBI, the largest bank in India, has some really good options for young home buyers. SBI Flexipay Home loan enables higher loan amount eligibility though it is exclusively for salaried borrowers. As with Citibank, SBI also offers the option to only pay interest during the moratorium (pre-EMI) period. The borrower can pay moderated EMIs after some time. The EMIs will gradually go up during the subsequent years. Thus, the largest PSU bank of India, SBI brings a lot of hope for young earners with a lot of potential ahead of them. The Flexipay Home Loan is thus designed to bring a large section of millennial homebuyers towards the State Bank of India.
How would you like if the bank told that they would waive off the last year of your Home Loan EMIs? Axis Bank offers this remarkable deal. They start home loan disbursals with as low as 8.85% of interest and offer a minimum 30 lakh amount. Axis Bank Fast Forward Home Loan is a product with quick and easy loan disbursals and involves minimum documentation. If you pay for your Home Loan of 10 years without default, the bank will waive off your last 12 months’ EMIs. This Home Loan offer also comes with a host of benefits such as quick and transparent processing, doorstep service, etc.
HSBC is another choice in the Home Loan market that not many people look at, but their product is remarkable. They start with 8.55% interest rate for salaried borrowers and 8.65% interest rate for self-employed individuals. The cool factor about HSBC is that they can give you loan amounts as low as Rs. 3 lakh and have an upper limit of Rs. 10 crore. For self-employed people, the HSBC repayment period is 20 years, and for salaried people, the loan can be run for 25 years, depending upon the age of the borrower at entry. The bank also offers fixed interest rate Home Loans, and the relationship manager can tell the customer about the same.
Deutsche Bank India is another international bank that offers some really good Home Loan options to young generation in India. They can offer Home Loans to 23 years or older customers and provide the option to run the loans till as long as the borrower retires. Deutsche Bank does impose the requirement that borrower be earning at least Rs 5 lakh per annum, but their maximum loan amount is as much as 15 crore rupees. This is an extremely unique offer!
For self-employed individuals the bank allows age limit of 65 as maximum loan duration. The bank also provides a referral bonus for borrowers.
ICICI is the giant private bank in India, and they offer a number of loan options including Home Loans to their customers. They have set up more than 500 mortgage affinity banking branches all over the country. ICICI also offers a ‘trackmyloan’ feature that allows the applicant to track the exact status of their loan application online. Their Home Loan Interest Rate ranges from 8.25 to 9.35% depending upon the customer. The immediate advantage of the loan offered by the bank is that they only charge a 0.5% processing fee. ICICI Home Loan also opens the door for many of its exclusive banking services for customers.
Small Finance Banks are doing some groundbreaking work in the Home Loans sector. ESAF Small Finance Bank offers fixed interest rate Home Loan. At 9.90% fixed rate and loan between Rs 10 to 50 Lakhs, they provide loans for a maximum 25 year period. If you are afraid of the floating interest rate concept and want to complete peace of mind about your payments, this bank offers a great deal.
Equitas Bank is another small finance bank which offers great deals on Home Loans. They offer hybrid Home Loan with interest rate fixed for first 3 years and floating thereafter. Their biggest advantage is that while other lenders may offer loans up to 80% of property value, Equitas goes up to 90% of property value. Their interest rates start at 9.50% fixed for first 3 years and float thereafter. Their maximum loan amount offer is up to Rs 3 crore.
As a millennial, there has never been a better time to buy a home. Compare & choose the best deal.
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