Need suggestions on Home Loan

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Deal Cadet
keviv

Need dimers assistance on home loans on following points:

1. Rate: ICICI is offering home loan of above 50 lakh with a spread rate of 2.4% (in addition to RBIPRR) and the effective interest rate comes to 8.3% (5.9+2.4). There is no prepayment charges and the refresh rate is each month.  Processing charges comes to around 9000. Is this the best bargain or should I try others.

2. SBI Due Diligence: I've heard from many that SBI does the best due diligence of properties and if SBI passes the loans, the property is 100% legal. Is it still the same now or the quality has deteriorated? Does it make sense to take a loan from SBI just for this purpose?

3. Hidden Charges/Factors to consider: Any other hidden charges/factors to be considered while applying for a home loan?

4. Insurance on home loan: Please shed some light on this.

Thanks in advance.

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Deal Cadet Deal Cadet
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1. All banks converge wrt rate. Some banks are notorious to increase rates sharply e.g. LIC HFL, Axis. Besides the only difference is in existing offers like SBI time to time offers lower PF or 0.5% discount if there is a woman applicant. If you have plans to make part payments choose the one nearest to your office or home. As per RBI rules, no lender can charge for pre closing floating loans so there is nothing special in it. 2. That's spread by either lazy buyers who don't want to put efforts/money getting legal opinion from lawyers or by builders. Banks verify land titles and preliminary documents only. 3. All charges are upfront told. No hidden charges. 4. Term insurance is cheaper. But some banks like SBI don't allow it. Also consider how finance aware are your family members because you won't be there to help them! If insurance taken through bank then they help in documentation.
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Pro Shopping Friend Pro Shopping Friend
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Point2: its not true; get the papers from builder or seller and get them verified by trusted lawyer
Even people with flats in (now)demolished Noida towers were paying EMIs even though it was declared illegal; there are many many cases like this so even if property is illegal bank is safe; those days are gone when managers were very very cautious of giving loan or getting bad name/remark
prefer  BoB or SBI for transparency but being public sector processing is painful time taking
Deal Cadet Deal Cadet
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caks2006407 wrote:
Point2: its not true; get the papers from builder or seller and get them verified by trusted lawyer
Even people with flats in (now)demolished Noida towers were paying EMIs even though it was declared illegal; there are many many cases like this so even if property is illegal bank is safe; those days are gone when managers were very very cautious of giving loan or getting bad name/remark
prefer  BoB or SBI for transparency but being public sector processing is painful time taking
Thanks @ caks2006407. This is quite helpful.
Deal Cadet Deal Cadet
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1. All banks converge wrt rate. Some banks are notorious to increase rates sharply e.g. LIC HFL, Axis. Besides the only difference is in existing offers like SBI time to time offers lower PF or 0.5% discount if there is a woman applicant. If you have plans to make part payments choose the one nearest to your office or home. As per RBI rules, no lender can charge for pre closing floating loans so there is nothing special in it. 2. That's spread by either lazy buyers who don't want to put efforts/money getting legal opinion from lawyers or by builders. Banks verify land titles and preliminary documents only. 3. All charges are upfront told. No hidden charges. 4. Term insurance is cheaper. But some banks like SBI don't allow it. Also consider how finance aware are your family members because you won't be there to help them! If insurance taken through bank then they help in documentation.
Finance Mentor Finance Mentor
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Is there any Standard Chartered Bank branch where you live? 

Deal Newbie Deal Newbie
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I was going through this article and i find out i can drop my experience of my financial life i was going through alot of financial difficulties and i saw Dosloan. org online i contacted them on there secure website dosloan .org and that was the end of my financial problem check them out seen is believe in.

Blaze Blaze
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Ramta_Jogi wrote:

Is there any Standard Chartered Bank branch where you live? 

Does SC offer a competitive interest rate on home loans?
Finance Mentor Finance Mentor
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piyupani wrote:
Does SC offer a competitive interest rate on home loans?

It actually lends against a different benchmark which reduces total interest in the longer term. 

Finance Mentor Finance Mentor
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mariagarry98662 wrote:

I was going through this article and i find out i can drop my experience of my financial life i was going through alot of financial difficulties and i saw Dosloan. org online i contacted them on there secure website dosloan .org and that was the end of my financial problem check them out seen is believe in.

Yeah... You made a profile on this website just to reply to his post. 

User Since: November 26, 2022

Deal Cadet Deal Cadet
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LordGane wrote:
1. All banks converge wrt rate. Some banks are notorious to increase rates sharply e.g. LIC HFL, Axis. Besides the only difference is in existing offers like SBI time to time offers lower PF or 0.5% discount if there is a woman applicant. If you have plans to make part payments choose the one nearest to your office or home. As per RBI rules, no lender can charge for pre closing floating loans so there is nothing special in it. 2. That's spread by either lazy buyers who don't want to put efforts/money getting legal opinion from lawyers or by builders. Banks verify land titles and preliminary documents only. 3. All charges are upfront told. No hidden charges. 4. Term insurance is cheaper. But some banks like SBI don't allow it. Also consider how finance aware are your family members because you won't be there to help them! If insurance taken through bank then they help in documentation.

Thanks a lot @LordGane

You and desidime rock.

Deal Cadet Deal Cadet
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One more question:

Can the banks increase spread rate after a while?

Thanks

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