In this article, we will take a closer look at the interest rate charged by the Axis Bank during the financial year 2020. We will also acquaint you with some of the features and drawbacks of applying for Axis Bank Home Loans.
Home loans offered by Axis Bank starts at Rs. 3,00,000 which could extend further depending upon the income horizon of the applicant. You can easily make effective use of this lump sum amount to fund in buying your dream home. Axis Bank Home loans come with a bunch of benefits and features which we will further discuss below.
- Application Process: The process for applying for a home loan from Axis Bank is simple and transparent.
- The first step involves meeting with the loan executive, following which you could submit your application form along with the necessary documents asked for.
- You will have to wait for at least five working days for receiving the sanction information that affirms your application.
- After that, you can submit your property documents and wait for a while to get your documents verified and reviewed by the Axis Bank Technical and Legal team.
- After receiving confirmation from all the above-stated officials your home loan is approved and disbursed.
- All this procedure takes a maximum of 15 days; therefore, you can easily avail a home loan within 15 days of submitting an application provided you are eligible.
- Note that you will have to pay a sum of 1% of the total principal amount borrowed as well as the GST charges as the Axis Bank Home Loan Processing Fee.
- Interest Charged: Axis Bank avails attractive interest rates for home loan borrowers which could be classified into both fixed and floating interest rates. This not only enables borrowers to get an affordable home loan but also caters to pay off the EMIs quickly and on time. Check out Axis Bank Loan Interest Calculator online for further assessment of the interest rates on the principal borrowed. Here are some details related to the interest rates on home loans charged by Axis Bank.
- Axis Bank Repo Rate has set its benchmark at 4.00%.
- An additional rate is added to the repo rate to finally achieve the lending rate.This additional rate is termed as “spread”.
- Axis Bank Mortgage Loan Interest Rate is set to 13.90% for the 2020 financial year.
- Interest rates are reset at every three months for existing borrowers.
- Thus, the floating interest rates for salaried employees are 7.75% to 8.40% p.a., whereas the fixed interest rate is 12% p.a.
- For self-employed individuals, the floating housing loan interest in Axis Bank is set to be 7.95% to 8.55%.
- Repayment and Prepayment terms: The repayment procedure is simple and transparent.
- You have to pay EMIs (equated monthly instalments) over a span to clear the sum borrowed.
- The tenure for repayment could be extended depending upon your income horizon. Thus, you could pay a smaller amount of EMIs over a longer tenure.
- The prepayment procedure can be carried out at any time without having to pay any additional charges for paying off your home loan before the tenure expires. (Note: this is only applicable to home loans borrowed at floating interest rates).
Axis Bank Home Loan Customer Care
- For further details on the additional benefits of getting a doorstep service on transferring of balance, quick and transparent disbursal of the principal amount, you could contact the Axis Bank Home Loan Customer Care
- Tax Benefits: Having applied to avail a home loan, individuals are subjected to enjoy the following tax benefits under various sections of the Income Tax Act of 1961.
- EMIs paid to repay the principal sum borrowed are subjected for a tax deduction up to Rs 1.5 lakhs under Section 80C.
- Furthermore, Section 24(b) grants deduction of up to Rs. 2 lakhs p.a. on interest portions charged on home loan EMIs.
- First time home buyers can get a further deduction of up to Rs.50,000 p.a. under Section 80EE.
- Home loans taken for renovation and re-development of properties that are either owned or rented out are subjected to get a tax deduction of Rs. 30,000.
Q1. What are the eligibility criteria for Axis Bank home loan application?
Ans. Following are the requirement for being eligible to apply for a home loan:
- Applicant must be either a salaried individual in government or reputed companies.
- Self-employed individuals like professionals could also apply provided they have a stable income pattern.
- Applicant must be at least 21 years of age while filling a loan application and should not be more than 60 years at the time of loan maturity. You can easily derive these calculations by using a housing loan calculator Axis Bank.
Q2. What are the documents required for filling a home loan application?
Ans. Following are the document to keep in handy for applying for a home loan at Axis Bank:
- Application Form
- Pan Card
- Identity proofs such as Passport, Aadhar Card, Voter ID, Driving License, Government Employee ID, etc.
- Address proofs like Gas Bill, Property Tax receipt, Electricity Bill, Telephone Bill, etc.
- Date of Birth proofs like birth certificate, Aadhar Card bearing DOB, SSC Mark sheet, etc.
- Income Proof with bank statements.
Q3. How to calculate Home Loan EMIs?
Ans. Nowadays with the convenience of availing all the loan application and disbursement procedures online, you can easily calculate the sum of EMIs by the help of Axis Home Loan EMI Calculator. You will have to input the principal sum borrowed, the interest rate applicable and the tenure for repayment to derive the outstanding EMIs that will be charged from your bank account.