ICICI Bank Home Loan

Features and Benefits of ICICI Bank Home Loan

A home loan’s lower interest rate is very important because it helps you save in the long run. ICICI Bank offers a starting interest rate of 9% for home loans, one of the best rates in the market. This means you pay less overall when you repay the loan.

Attractive Loan Amount

ICICI Bank is generous with the amount they lend for buying a home. They can loan you up to 80% of the property’s value, up to a maximum of 10 crores in Indian Rupees. However, the exact amount you can get depends on factors like your credit score, monthly income, property value, and how reliable you are with credit. You can use the ICICI Bank Home Loan Eligibility Calculator to estimate how much you can borrow.

Flexible Loan Repayment Tenure

You have flexibility in how long you take to repay the loan. You can choose a loan tenure of up to 25 years. This allows you to adjust your monthly payments according to your income, making it easier to avoid missing payments. You can start with smaller payments and increase them as your income grows, making repayment comfortable and adaptable.

Convenient Application

The ICICI Bank home loan application process is completely digital, making it easy and quick. You don’t have to deal with paperwork or visit the bank in person. The whole process can be completed online in just about 10 minutes.

Minimal Documentation

Regarding paperwork, ICICI Bank doesn’t ask for too many documents. You must provide basic proof of age, income, property, and bank account statements.

ICICI Bank Home Loan Overview

An ICICI Bank home loan is a type of loan where you use your house as a promise to pay back the money. You can use this money to buy, build, fix, or improve your home. But remember, you have to pay some money back every month and some extra money called interest.

If you have a good record of paying money on time and can prove you can repay the loan, it’s easier for you to get it. However, before you start asking for this loan, there are important things to think about. These include how much extra money you’ll have to pay (interest rates), how much money you need to give just to start the loan (processing fees), what papers you need to show (document requirements), and how much money you have to give every month (EMI amounts).

ICICI Bank Home Loan Eligibility Criteria

• Any salaried individual in the 21 to 60 years age group and self-employed individual in the 21 to 65 years age group are eligible to avail an ICICI bank home loan.
• New and existing customers.
• Indian citizens.

Types of ICICI Bank Home Loans

There are various options available in ICICI Bank home loans, including NRI Home Loans, Top-Up Loans, Commercial Property Purchase Loans, Home Overdrafts, Step-Up Home Loans, and Land Loans. These loans match the different needs of the applicants. They are suitable for buying a property, home renovations, or purchasing land. Each loan offers flexible repayment options, affordable interest rates, and suitable loan terms. Here is a detailed overview of each loan type:

NRI Home Loan

Top up Loan

Commercial Property Purchase Loan

Home Overdraft

Step Up Home Loans

Land Loans

ICICI Bank Home Loan Fees and Charges

Let’s take a look at the prominent fees and charges associated with ICICI Bank home loans:

Documents Required for ICICI Bank Home Loan

These are the documents you need to include with your application:

• Proof of Who You Are: Show any of these: Aadhaar card, voter card, driver’s license, passport, etc.
• Proof of Where You Live: Use documents like ration card, electricity bill, water bill, property tax receipts, or post-paid mobile bill.
• Proof of How Much You Earn: If you work for someone, show your last three months’ salary slips, Form 16, and your bank statements for the last six months. If you run your own business, share your Income Tax returns for the past 3 years, along with your balance sheet and profit and loss statement.
• Proof of Property You Own: Share documents like the sale deed, agreement to sell, allotment letter, possession letter, and title clearance report.

How does the EMI calculation work for ICICI Bank Home Loan?

To figure out how much you’ll pay monthly for an ICICI Bank home loan, you use a formula called EMI. EMI stands for Equated Monthly Instalment. It depends on how much money you’re borrowing (loan amount), the interest rate the bank charges, and how long you’ll take to pay it back (loan tenure).

i.e., EMI = [P x R x (1+R)^N]/[(1+R)^N-1]

Where,

• P is the loan amount
• R is the monthly interest rate
• N is the loan tenure in months

You can use a handy tool like the ICICI Home Loan EMI Calculator to make this easier. 

• From the Urban Money website, click on ‘Bank Calculators,
• choose ‘ICICI Bank Calculators,
• and then ‘ICICI Bank Home Loan Calculator‘.
• Put in the loan amount, loan tenure, and interest rate, and it will quickly tell you how much you’ll need to pay each month. It even shows you a breakdown of how much is for the loan and how much is for the interest.

Balance Transfer ICICI Bank Home Loan

Let’s take a look at the step-by-step process involved in the balance transfer of a ICICI Bank home loan.

• Step 1: Let your current lender know you want to move your home loan. Ask for a letter saying it’s okay to switch.
• Step 2: Apply to ICICI Bank for a new home loan to pay off the old one. Give them all the needed papers like ID, loan history, property documents, and the letter from your old lender.
• Step 3: ICICI Bank will review your papers and check if you can get the new loan. They will then pay off your old loan with the money from the new one.