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Hi Shanthi,

I am interested in going for a 15-year loan on floating rate. I was checking with SBI/LIC since I have some contacts there and that would help in getting the loan sanctioned. Do you know anyone in BoB? If so, can you pm me their details?

Thanks,
Kartik

 

Karthik,

I do not know anybody. i am in the process of getting a loan and that is how i have been looking at these banks. I had been to bob and this offer until the 31st looked tempting, though when i sit and work out every nationalised bank

go with sbi than lic. sbi has this anniversary offer..(check the last date) come april i think all these teaser loans will vanish. already the rates have increased.

one more query..
when sbi is willing to give at 8.25/8.5 for the first 3 years fixed why are you thinking of floating. it does not make much sense to me as you do not have prepayment penalty even if it is fixed.while lic is 8.9 fixed i think.

floating is at 9.25/30/5year and 9.5/>30l/>5years.

I am using my regular banker union bank.

 

Karthik,
yes i did contact the person refferd by ISHA HOMES.

Hello all,
i would like to know what will be the likely change in interest rates after 31st march. both fixed and variable.

incase of floating rates, will it affect the fixed rate for the 1st 3years? (1st 3 years are fixed)

now with this new change which is likely to be implemented, will it affect the fixed rates for 1st 3 years or floating rates applicable after 3 years.

please throw some light.

TIA

 

Aparna,

RBI has increased base lending rates. and so the change reflects on the prime lending rate on which the roi is based by the banks.

but from april the rbi does not want a pblr. it was a base lending rate plus borrower-specific charges including product-specific operating cost, credit-risk premium and tenure premium said., so bringing in more transparency.

take the example of sbi. it is giving 8.5 or 8 for the first three years. on the fourth year, suppose the floating rate on that day is 10.75, then your rate of interest will be fixed at 10.75.

there is special consideration upto 20lacs i think.

if you take the loan on the 1st of april 10 from sbi (incidentally there is talk of the special teaser loan offer extending to july) then the next 3 years will be 8% or 8.25% which you fix the roi at.

 

Thanx a lot.
so if i have understood right, there will be no change in interest for 1st 3 years.
am i right?

my actual botheration will be from the 4th year only na.?

when can we know about the extension of teaser interest.. just in case it is going to be extended..

 

Aparna,

you are right in your understanding.

I will come in with the details. or your contact person at sbi will inform.

What i will suggest. suppose you are taking 25lacs loan. i would say pay off some part (when dh gets a bonus/some correction amount/something else) and reduce it to the <20 slab. that way the floating interest rate will still be within the manageable limit. and moreover, your emi payment starts only in 2012 after the completion certificate from the builder. until then you pay the interest for the amount disbursed.

you would have the payment details right
10% on registration and so. suppose the bank disburses 4 lacs in may, then you have to pay interest for those 4 lacs.

any more doubts do ask..and i hope i am not confusing you. are you in chennai or in kochi??

 

Thana a lot ka for the information.
you have cleared my doubt
do let me know when you get details on this extension.

we are planning to go for a loan of exactly 20 lakhs.
is that still applicable for us. is it 20 and lesser or just less than 20, plz clarify. At any point will this 8% for 1st year and 8.5%for 2nd and 3rd year (SBI) change??

im in kochi.
reached here on thursday.
hope your back ache is better now.

 

aparna,

there is a relax for the loans under 20l that i remember reading in the budget 2010. do check it out. doing better.

 

Thanx a lot.
shal check up.
Get well soon.