LIC Housing Finance Ltd. is one of the largest housing finance companies in India. LIC Home Loan is available under various categories to facilitate the purchase of a plot or construction,purchase, repairs, and extension of a house. Other than this, LIC Housing Finance also provides Loan against Property and Loans to Professionals. Home loan interest rate for this financial institution starts from 8.35%.
|LIC Housing Finance Home Loan Interest Rate 2019|
|Loan Amount||Interest Rate|
|Up to Rs. 25 Lakh||8.35% onwards|
|Rs. 25 Lakh – 1 Crore||8.35% onwards|
|Rs. 1 Cr – 3 Crore||8.35% onwards|
|Above Rs. 3 Crore||8.35% onwards|
LIC HFL Home Loan Features and Benefits
- Get assistance from skilled professionals
- Convenient door-step service
- Competitive interest rates
- No hidden costs
- Simplified, secure and transparent process
- Longer tenure for greater ease
- Pan-India presence and overseas offices
LIC Housing Finance Interest Rate
LIC Housing Finance Ltd offers home loans at floating rate of interest starting from 8.35%
Margin of Finance
|For loan of up to Rs. 20 lakh||85%|
|For loan above Rs. 20 lakh to Rs. 75 lakh||80%|
|For loan above Rs. 75 lakh||75%|
LIC Home Loan Fee & Other Charges
The following charges are payable on home loans offered by LIC Housing Finance:
|Nature of fees or charge||Amount|
|Processing fee for Housing Loans payable one-time at the time of loan application||For loan up to Rs. 50 lakh: maximum of Rs.10,000 + applicable tax|
|For loan above Rs. 50 lakh and up to Rs. 3 crore: maximum of Rs.15, 000 + applicable tax|
|CERSAI Statutory Charges applicable at the time of loan disbursement||For loan amounts up to Rs. 5 lakh: Rs. 250 + applicable tax|
|For loan above Rs. 5 lakh: Rs.500 + applicable tax|
|Rewriting charges for Conversion fee when the loan is covered to a fixed rate or vice-versa||For loan up to Rs. 75 lakh: maximum of Rs. 1000 + applicable tax|
|For loan above Rs. 75 lakh and up to Rs. 3 crore: maximum of Rs. 2,500 + applicable tax|
|Cheque bouncing charges on dishonour of cheques submitted for loan repayment||350|
|ECS dishonor charges||Rs. 200|
|Document retrieval charges payable on the closure of the loan||Rs. 2500 + applicable tax|
|Miscellaneous fee of providing a list of documents||Rs.500+ applicable tax on each request|
|Miscellaneous fee for photocopy of title documents||Rs.1,000+ applicable rate tax on each request|
|Late fee for late payment of EMIs||Up to 2.00% on default installment|
|Recovery charges payable for defaulting the repayment of loan instalment||All types of charges, costs, expenses and incidental charges which LIC Housing Finance Corporation has incurred for the recovery of the defaulted loan.|
● Up to and including default of 12 months: 1.50% per month on the amount of the defaulted instalment
● Default of instalments beyond 12 months: 2% per month on the amount of the defaulted instalment
LIC Housing Finance Home Loan Types
There are mainly three types of lic home loan schemes which are as below:
LIC Housing Finance for Resident Indians
This home loan facility is available to all resident Indians who are salaried or self-employed and are earning a stable income. Here are some features of this type of home loan.
- Maximum amount offered to an applicant is evaluated basis his/her income, which is subject to a maximum of 75% to 85% of the property value.
- An applicant can increase his/her home loan eligibility by applying along with a co-applicant, who can either be parents or spouse.
- Interest rates applicable on the loan is calculated on the monthly reducing balance according to the prevailing rate approved at the time of loan application.
- LIC Housing Finance Ltd does not require a guarantor for this loan.
- The maximum loan repayment tenure offered to salaried professionals is 30 years, and for self-employed professionals, it is 20 years.
- Borrowers can switch over to LIC Housing Finance Ltd Home Loan from other home loan lenders. However, a certain amount of fee has to be paid for such a move.
LIC Housing Finance Ltd Home Loan for Non-Resident Indians
LIC NRI home loan is available for both salaried and self-employed Non-Resident Indians having a stable income source. Some of the features are:
- The maximum amount offered to an applicant is evaluated basis his/her income, which is subject to a maximum of 75% to 85% of the property value.
- An applicant may increase his/her income eligibility by applying for the home loan along with a co-applicant, who can either be parents or spouse.
- The maximum loan repayment tenure offered to qualified professionals is 20 years, and for others, it is 15 years.
- Interest rates applicable on the loan is calculated on the monthly reducing balance,according to the prevailing rate approved at the time of loan application.
- LIC Housing Finance Ltd does not require a guarantor for non-resident Indians.
LIC Home Loan for Pensioners
This type of home loan is available to all resident Indians who receive a pension. People who are over 50 years old can avail this loan on the condition that they have a retirement pension scheme. Repayment of the loan has to be made through the borrower’s pension and retirement benefits in the form of EMIs, by the time the borrower reaches 75 years of age. The maximum amount offered to an applicant is evaluated basis his/her pension income, which is subject to a maximum of 75% to 85% of the property value.
For this loan category, LIC Housing Finance Ltd requires a guarantor who can assure the repayment of the loan.
LIC Housing Finance Eligibility Criteria
|Borrower Type||Salaried/Self-employed Professionals|
|Age||21- 60 years|
|Work Experience||Minimum 2 years|
|Loan Amount||Minimum: Rs. 1 lakh|
Maximum: Rs. 5 crore
|Tenure||Up to 30 years|
|Processing Fee||Up to 0.50% of the loan amount|
Factors Affecting LIC Home Loan Eligibility
Mentioned below are certain factors that impact an applicant’s ability to avail home loan from LIC Housing Finance Ltd.
- Applicant’s source of income—self-employment or salary
- Applicants’ age at the time of the loan application and his/her retirement age
- Applicant’s family income
- Applicant’s employment stability and continuity
- Applicant’s assets and liabilities (if any)
- Number of dependents on the applicant’s income
Customers can also use LIC home loan eligibility calculator to check their eligibility for the loan by entering the relevant details.
LIC Home Loan EMI Calculator
The LIC home loan EMI calculator can be found at www.paisabazaar.com. It facilitates easy calculation of monthly instalment to be paid towards the repayment of the availed loan amount within the selected tenure. Knowing the EMI in advance helps to plan the finances better. Some of the points that affect the EMI are interest rate, loan tenure, principal amount or the amount to be borrowed and credit score.
LIC HFL Home Loans for Documents Required
- Signed application form
- Photo ID Proof of applicant: Driving License, Passport, PAN Card, Aadhar Card or Employee Identity Card, Voter’s ID Card, etc.
- Income proof: Salary slips of past 3 months (salaried applicants)
- Proof of pension
- Income Tax Returns or Form 16 as proof of income
- Proof of business (for self-employed)
- CA certified/audited balance sheet & profit and loss account of past 3 years (for self-employed)
- Agreement to sell or intent to sell
- Original property documents
- Photograph of applicant
LIC Housing Finance Ltd Home Loan Apply on Paisabazaar.com
Customers can apply online for the LIC Housing Finance Ltd home loan through Paisabazaar.com by simply following the below-mentioned steps.
- Follow the linkhttps://www.paisabazaar.com/home-loan/
- Fill the form by providing details like the loan amount, city of the property, tenure, etc.
- On filling all the required details, click on the ‘Proceed’ button
Soon, a Paisabazaar representative will contact you on the provided contact number to process your application further.