Indian Overseas Bank Home Loan Highlights |
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Interest Rates | 8.85% p.a. onwards |
Loan Amount (LTV Ratio) | Up to 90% of cost of house/flat |
Tenure | Up to 30 years |
Processing Fee | 100% waiver (valid from 18th May 2023 to 31st July 2023) |
Note: Rates as of 5th June 2023

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Table of Contents
Indian Overseas Bank (IOB) Home Loan Interest Rates
Housing Loan
Loan Amount | Interest Rate (p.a.) |
Up to Rs 24.99 lakh | 9.55% |
Rs 25 lakh and above | Starts @ 8.85% (final pricing based on internal scoring model of the bank) |
Subhagruha Top-up Loans
Loan Amount | Interest Rate (p.a.) |
Up to Rs 30 lakh | 11.65% |
Rs 30 lakh-Rs 1 crore | 11.60% |
Above Rs 1 crore | 12.10% |
Subhagruha CC Loans
Loan Amount | Interest Rate (p.a.) |
Up to Rs 30 lakh | 9.70% |
Above Rs 30 lakh to Rs 75 lakh | 9.75% |
Above Rs 75 lakh | 9.90% |
Home Improvement
Loan Amount | Interest Rate (p.a.) |
Up to Rs 2 lakh | 9.65% |
Above Rs 2 lakh | 9.80% |
IOB Home Advantage
Loan Amount | Interest Rate (p.a.) |
Up to Rs 30 lakh | 10.95% |
Above Rs 30 lakh to Rs 75 lakh | 11.00% |
Above Rs 75 lakh | 11.15% |

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Compare Interest Rates on Home Loans for Top Banks & HFCs
Name of Lender | Up to Rs. 30 Lakh | Above Rs. 30 Lakh to Rs. 75 Lakh | Above Rs. 75 Lakh |
SBI | 8.50% - 10.15% | 8.50% - 10.05% | 8.50% - 10.05% |
HDFC | 8.50% - 10.35% | 8.50% - 10.60% | 8.50% - 10.70% |
LIC Housing Finance | 8.45% – 10.35% | 8.45% – 10.55% | 8.45% – 10.75% |
ICICI Bank | 9.00%-9.80% | 9.00%-9.95% | 9.00%-10.05% |
Kotak Mahindra Bank | 8.85% onwards | 8.85% onwards | 8.85% onwards |
PNB Housing Finance | 8.75% - 14.50% | 8.75% - 13.00% | 8.75%-11.35% |
Punjab National Bank | 8.65%-9.60% | 8.60%-9.50% | 8.60%-9.50% |
Bank of Baroda | 8.60% - 10.65% | 8.60% - 10.65% | 8.60% - 10.90% |
Union Bank of India | 8.50% – 10.75% | 8.50% – 10.95% | 8.50% – 10.95% |
IDFC First Bank | 8.85% onwards | 8.85% onwards | 8.85% onwards |
L&T Housing Finance | 8.60% onwards | 8.60% onwards | 8.60% onwards |
Bajaj Housing Finance | 8.50% onwards | 8.50% onwards | 8.50% onwards |
Tata Capital | 8.60% onwards | 8.60% onwards | 8.60% onwards |
Federal Bank | 10.15%-10.20% | 10.20%-10.25% | 10.25%-10.30% |

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Indian Overseas Bank Home Loan Fees and Charges
Processing Fees | 100% waiver (valid from 18th May 2023 to 31st July 2023) |
Prepayment/Closure Charges | For loans availed in individual name/takeover loans/pre-closure of loans- NIL
Others- 2% of prepaid amount |
Types of Indian Overseas Bank Home Loan
Housing Loan Subha Gruha
Purpose: To purchase/renovate/construct a flat/house
Loan Amount (LTV Ratio):
- 75%-90% of cost of flat/house
- Up to 30% of loan amount for plot purchase
- 10%-25% of the estimated cost of new as well as old house/flat
Tenures: Up to 30 years
Home Improvement Scheme
Purpose: For repair/renovation/modification/upgradation including painting, tiling, routine repair, fixing marbles, rewiring, making additions (cupboards, woodwork), etc. to existing house/flat
Loan Amount: Rs 25,000-Rs 15 lakh
Tenure: Up to 12 years
NRI Home Loan
Purpose: For purchase, construction or renovation of home
Loan Amount (LTV Ratio):
- For constructing/purchasing a house- Up to 80% of cost of house
- For home renovation- Up to Rs 15 lakh
- Up to Rs 20 lakh- Up to 90%
- Up to Rs 75 lakh- Up to 80%
- Above Rs 75 lakh- Up to 75%
Tenure: For purchase/construction of house- Up to 15 years

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Indian Overseas Bank Home Loan Eligibility Criteria
For Housing Loan
- Group of individuals
- Co-operative Society members
- Maximum Age- 55 years (60 years of age may also be considered if their legal heirs join them, the loan should be paid back before 70 years of age)
- For Salaried Applicant- Permanent job with 2-3 years of experience would qualify for a home loan
- For Self-Employed Applicant- At least 3 years of activity in related field would qualify for a home loan
For Home Improvement Scheme
- For Salaried- Salaried applicants in permanent service with take home pay of up to 50% of gross salary
- For Self-employed- At least 3 years in the line of activity
NRI Home Loan
- NRI with a valid Indian passport would
- A person of Indian origin having passport of other countries other than Pakistan, Bangladesh, China, Iran, Afghanistan, Sri Lanka, Nepal and Bhutan
- Minimum Monthly Salary- Rs 10,000

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Additional Read Home Loan Eligibility Criteria
Documents Required for Indian Overseas Bank Home Loan
- Duly filled application form
- Income Proof for Salaried Applicants- Salary certificate
- Income Proof for Self-Employed Applicants- Sale agreement for house/flat
- Membership proof for cooperative societies
- Experience certificate for self-employed applicants
- Construction estimate/valuation report for acquisition or legal opinion on the property from the Bank approved by a lawyer or engineer
Note: There are a few banks and HFCs that cater to the home financing requirements of applicants who get their salaries paid in cash or do not have adequate proof of income. Some of these lenders are IDFC First Bank, HDFC, Piramal Housing Finance, PNB Housing Finance and LIC Housing Finance.
Indian Overseas Bank Home Loan EMI Calculator
IOB Home Loan EMI Calculator helps the home loan applicants to find out their Home Loan EMI and interest cost based on their loan amount, tenure and interest rate. This would help them to choose their optimum loan amount and loan tenure based on their repayment capacity.
Monthly EMI ₹ 15,622
Total Amount Payble ₹ 5,62,395(Principal + interest)
Principal Amount ₹ 5,00,000
Total Interest Payble ₹ 62,395

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Additional Read Document Required for home loan
FAQs
1. Can I choose between fixed and floating rates?
Ans. Indian Overseas Bank offers home loans at floating rates only.
2. Can I prepay my home loan availed from Indian Overseas Bank?
Ans. Yes, you can prepay your home loan availed from Indian Overseas Bank. The bank does not levy any prepayment charges on home loans at floating rates.
3. What is the holiday period for Indian Overseas Bank Home Loan?
Ans. In case of home loan availed for under-construction property, a maximum holiday period of 18 months is allowed from the date of first loan disbursement or the completion of construction. For home loans availed for purchasing housing property and undertaking home improvement, the maximum holiday period is 3 months.
4. What is the minimum credit score required to avail Indian Overseas Home Loan?
Ans. Indian Overseas Bank has not specified a cut-off credit score for home loan applicants. However, applicants with credit scores of 750 and above usually have higher chances of availing home loans at lower interest rates.
5. What factors determine the loan amount eligibility for Indian Overseas Bank Home Loans?
Ans. The Indian Overseas Bank considers loan amount eligibility for their home loan applicants based on their income, repayment capacity and the actual estimate of work to be undertaken.