Bank of Baroda (BoB), India's leading public sector bank, cut its home loan rates by 25 basis points, from 6.75 percent to 6.50 percent, effective October 7, 2021. The Bank has extended this deal to make home buying more reasonable for individuals as a part of the festive season, and the special rate will be available until December 31, 2021. The new rates will be available for customers applying for fresh loans, loan transfers, or looking to refinance their existing loans making the offer more inclusive. Nil processing fee on home loan was already on offer and has been extended till 31/12/21, BoB has said in a statement.
Benefits of BoB Home loans
Potential homebuyers looking for a new house loan with a low-interest rate of 6.5 percent can apply with Bank of Baroda to take advantage of special features and perks. Both resident and non-resident Indians are eligible for the Bank of Baroda's home loan plan, and they may use it to purchase a plot, acquire an apartment, build their own home, or even modify their current dwelling.
Customers applying for a home loan with BoB can take advantage of various benefits such as low-interest rates, low processing fees, higher loan amount, free credit card, free accidental insurance, longer tenures, and easy top-up loans. The home loan amount that can be issued differs depending on the individual's residence and employment or income status. For example, the maximum home loan amount in semi-urban and rural regions is Rs. 1 crore, whereas the maximum home loan amount in metros ranges from Rs. 5 crores to Rs. 10 crores, according to the lender.
The interest rate is adjusted monthly and is tied to the bank's Baroda Repo Linked Lending Rate (BRLLR). The term of our home loans fluctuates depending on the loan amount and income of the borrower, with a maximum term of 30 years. On BoB home loans, there is also a moratorium duration, which can last up to 36 months only after the loan has been approved. Even collateral for home loans is also approved by the bank.
On the announcement of a reduction in home loans, Mr H T Solanki, GM- Mortgages & Other retail assets, Bank of Baroda said, "Bank always tries to offer the most competitive rates of interest on home loan and other retail loan products while making the process seamless and hassle free through our digital platforms and our dedicated teams. Our customers will get benefited from this offering in this festive season. With this reduced rate of interest, Bank of Baroda home loans are now offering the most competitive rates across categories for a limited period till 31/12/2021 ."
Eligibility required to apply for a home loan with Bank of Baroda
The home loans are available to all Indians, including residents and non-residents, between the ages of 21 and 70. The home loan is available to eligible borrowers for the following purposes:
- Acquisition of a new or used home.
- For the construction of a new home
- Acquisition of a plot of land for the purpose of constructing a new home.
- Paying back a loan from some other Housing Finance Company or bank.
- With the floating rate option, the repayment period can be extended up to 30 years.
- Reimbursement of the price of the particular land if purchased within 24 months.
- At the time of home loan application borrowers can specify a co-applicant that can be husband and wife, father and son, mother and son, and so on.
- Based on the location where property is scheduled to be constructed/purchased, the maximum loan to any particular applicant will be Rs. 10 crores per unit. Under the housing loan scheme, the bank will offer a loan up to 90% of the cost of the property for new houses/flats.
How to apply for a home loan with Bank of Baroda?
Customers with the required or valid documents can apply for a home loan online at Bank of Baroda. The bank offers a range of home loan schemes based on the needs of a borrower. BoB provides Baroda Home Loan, Baroda Home Loan Advantage, Baroda Home Loan Takeover Scheme, Home Improvement Loan, Baroda Pre-Approved Home Loan, Baroda Top Up Loan (Resident/NRIs/PIOs), Pradhan Mantri Awas Yojana, Baroda Home Suvidha Personal Loan, Interest Subsidy Scheme for Housing the Urban Poor (ISHUP), and Credit Risk Guarantee Fund Scheme for Low Income Housing.
Customers can visit https://www.bankofbaroda.in/personal-banking/loans/home-loan and click on "Apply Online" where they need to select "Home Loans" under the loans section. Now they are required to sign up for the home loan by entering their full name, email ID, mobile number, in order to proceed further.