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IB Home Loan

 

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Home Loan – Eligibility, Terms and Conditions
Loan Parameter Details
Target Group ·         Salaried Class

 

·         Businessmen

·         Professional & Self-employed

·         Pensioners

Entry Age          18 years
Purpose of Loan
  • Purchase a new house/flat
  • Construct a new house/flat (Applicant already owns a plot/land)
  • Purchase of house site and construction of house thereon
  • Purchase of flat under construction
  • Purchase of semi-finished flat/house from the builder and completion of interiors
  • Purchase of a house/flat being resold
  • Additional construction in existing house
  • Repair/renovate an existing house/flat
  • Takeover of Home Loans
  • Reimbursement of cost incurred for Purchase/Construction of house/flat
Employment Service/Business Experience Salaried:

 

  • Regular employees of Central Government / State Government / Public Sector Undertakings /Government or Government aided Educational Institutions with salary statement from the existing employer for at least previous 3 months.
  • Regular employees of MNCs/Reputed Companies (Externally rated as BBB or above) with salary statement from the existing employer for at least previous 3-months subject to the condition that they have total experience of minimum 2 years.

Non-Salaried:

  •  In case of Businessmen, Professional and Self-employed minimum experience of 3 years

Pensioner:

  •  Having adequate income to service the loan
Quantum of Loan Loan will be considered only based on NTHP criteria

 

  • If Gross Annual Income of the applicants is upto Rs.15 lakhs, take home income should not be less than 40% of the Gross Annual Income
  • If Gross Annual Income of the applicants is above Rs.15 lakhs, NTHP should be minimum Rs.50000 per month
Margin (i)                  Loan upto Rs.30 lakhs: 10%

 

(ii)                Loan above Rs.30 lakhs to Rs.75 lakhs: 20%

(iii)               Loan above Rs.75 lakhs: 25%

                    Loan for Repairs & Renovation: 30%

Repayment Period (inclusive of Holiday Period) General Home Loan: Maximum 30 years

 

Takeover or Balance transfer: Repayment period can be extended beyond the period sanctioned by the original lender subject to a maximum of 30 years including the period already run in the existing institution

Home Loan under Commercial Real Estate for Salaried: Maximum 30 years

Home Loan under Commercial Real Estate for Non-salaried: Maximum 25 years

Repairs & Renovation: 10 years

Holiday Period
  • Outright purchase of house/flat – NIL
  • For construction of house on the plot already owned by the applicant – Maximum 18 months
  • Purchase of Plot and construction of house thereof / flat under construction by promoters / developers – Maximum 24 months
  • Flat under construction – in case of bigger projects – Maximum 36 months
  • Takeover accounts – NIL

The above holiday period will be considered subject to servicing / pre-EMI interest and repayment period (inclusive of holiday period) should not exceed 360 months.

Repayment Type   Applicant can avail one of the following repayment options subject to T&C

 

  • Equated Monthly Installment (EMI)
  • Progressive Monthly Instalment (PMI)
  • Negotiated Repayment
Interest Rate Click here
Processing Fee Click here
Security Mortgage of Property purchased/constructed out of loan proceeds
Insurance The property financed under the Home Loan should be insured at Borrower’s cost and the policy has to be kept renewed every year without any time gap.

 

At the option of the borrower(s), loan may be covered under Group Mortgage Redemption Assurance Scheme (GMRA)

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Frequently Asked Questions (FAQs)

Find answers to commonly asked questions about Indian Bank Home Loans.
1. What is a Home Loan?

A Home Loan is a secured loan provided by Indian Bank to help customers purchase, construct, renovate, or extend a residential property.

2. Who is eligible to apply for an Indian Bank Home Loan?

Salaried individuals, self-employed professionals, business owners, NRIs (where applicable), and other eligible applicants who satisfy the bank's lending criteria can apply.

3. What types of properties can be financed?

Home Loans are available for purchasing new or resale houses, construction of houses, home renovation, extension, and other eligible residential properties.

4. What is the current Home Loan interest rate?

Home Loan interest rates are subject to change based on RBI guidelines, applicant profile, credit score, and prevailing bank policies. Please refer to the Interest Rates section for the latest applicable rates.

5. What documents are required?

Applicants generally need identity proof, address proof, income proof, bank statements, property documents, passport-size photographs, and any additional documents requested by the bank.

6. How much Home Loan can I get?

The eligible loan amount depends on your income, repayment capacity, property value, credit history, and the bank's lending norms.

7. How can I calculate my Home Loan EMI?

You can use the Indian Bank Home Loan EMI Calculator available on our website to estimate your monthly EMI based on the loan amount, interest rate, and repayment tenure.

8. What is the maximum repayment tenure?

The repayment tenure depends on the applicable Home Loan scheme and the borrower's eligibility, as per the bank's prevailing guidelines.

9. Can I prepay or foreclose my Home Loan?

Yes. Home Loan prepayment and foreclosure are permitted subject to the applicable terms and conditions of the bank.

10. Are there any processing charges?

Processing charges, if applicable, are levied as per the bank's prevailing schedule of charges.

11. Can I apply for a Home Loan online?

Yes. You can apply online through the Indian Bank website or visit your nearest Indian Bank branch for assistance.

12. Are there any tax benefits?

Eligible borrowers may claim tax benefits on principal repayment and interest paid under the applicable provisions of the Income Tax Act.

13. How long does Home Loan approval take?

Loan approval depends on timely submission of documents, eligibility verification, legal scrutiny, technical evaluation, and property assessment.

14. Can I transfer my existing Home Loan from another bank?

Yes. Subject to eligibility and the bank's prevailing guidelines, customers may transfer their existing Home Loan to Indian Bank.

15. Whom should I contact for further assistance?

You may visit your nearest Indian Bank branch or contact our customer support for assistance regarding Home Loans.

(Last modified on:Jul 23, 2026 at 07:06:18 am)