I have taken a housing loan from a public sector bank.. Although ICICI was ready to provide me more than what I wanted, I took the loan with PSU bank. Government banks does not have pre-closure charges. The more you pay, the more will be reduced from your principal part. Getting a house loan from PSU bank is hard.. But its easy to get from private banks.. But I would advise to think of the peace of mind.
LIC,i thought fixed was 8.91. and floating at 8.5. the man i met did not tell me it was just for 2 years and you revert to floating. rates are bound to rise oviya, there is not stopping that. let us pray it does not go up much.
aparna, whatever be the increase it is only after 3 years, dearie, i suggest get yours approved as fast as possible. i think sbi will carry on with the teaser loan till july..keeping my fingers crossed for you.
Except that the process takes more time, in terms of getting relevant supporting documents , I feel public sector banks are more reliable and you wont face the risk of increased interest rate very often. I hv one in ICICI but felt very bad due to increasing interest rates. I suggest dont go for private banks esp. ICICI.
Dear Shanthi, We took loan from HDFC Bank and I guess the interest rate is 9% now.And I guess we have opted for a floating interest rate.Can we make it as a fixed rate now to this 9%?Or will bank has itz own fixed rate?And is it possible to change from floating rate to fixed rate? I heard that the housing loan interests are going to be raised from May.Is it true?
hey bhuvi, When my loan came to the 20l mark last october, i negotiated with the bank and got the 8.75 floating (i was at 10.75) i paid around 7k for the shift, and in the end earned around 3 months of emi i think. I think the fixed rate is 9.50 for the <30 loans bracket (all nationalised banks) and 10.25 > 50. none of the banks say that when they advertise.and there i yes there is all possiblities of doing it. but i would suggest, go in for changing your emi a little..say like i had 22k and i made it 25 reducing the number of years..3k went towards the principal. i also have this with hdfc.and the branch i have it are real helpful. i will be going over next week will enquire in detail and share the info. right now i am in negotiations with my banker for another property loan this time nationalised, and he suggested to leave it floating. and also some banks are going to go for first 3 years fixed and then floating.
you are welcome ooviya. finally where is your property. you get a free hand with the builder, or you have to pay extra for all your selection.. saw your involvement all the best. so true. the transparency is better in psu's. at the same time, you can definitely TALK to these nationalised banks, if you know what to ask, how to ask..or else should be free to be taken for a ride.
Here is an information from budget 2010 : scheme of 1% interest subvention on housing loan upto Rs.10 lakh where the cost of the house does not exceed Rs.20 lakh - anounced in the last budget - extended upto march 31, 2011. Shanvy Mam, is this what u told abt the scheme for (below 20 l )loan?. pls confirm.