GIC Housing Finance

GIC home loan interest rates start from 8.80% per annum. However, the specific interest rate you'll get from GIC Housing Finance Limited depends on factors like your credit score, the amount you're borrowing, your type of employment, and other relevant factors.

This loan is designed for individuals looking to purchase a house or construct one on an already owned plot. Additionally, it can be used for home extension and repair purposes. Available for both salaried and self-employed individuals, the loan amount can go up to Rs 20 lakh in rural areas and up to Rs 28 lakh in urban areas.

Composite loans are designed for individuals requiring funds for purchasing a plot and subsequently building a house on it within the next few years. The loan amount for purchasing land can be up to 60% of the registered value of the property, while the loan amount for house construction depends on the estimated construction cost.

This home loan scheme is available for purchasing resale/new residential property from a builder, including under-construction or completed residential units. Individuals seeking a loan for house construction can also apply for this loan. The loan amount ranges from 75% to 90% of the property value.

• GIC Housing Finance offers a Home Loan Balance Transfer facility, enabling existing home loan borrowers to transfer their loans from other banks and HFCs to GICHFL at lower interest rates.
• The Home Loan Top-Up facility is available for construction, renovation, and personal needs.
• For takeover loans, GICHFL provides the loan amount plus construction loan as per NHB norms.
• Additionally, for renovation, the takeover loan amount plus Rs 15 lakh is offered.
• Moreover, for mortgage loans, GICHFL provides the takeover loan amount plus Rs 10 lakh.

Also Read : Best Home Loan EMI Calculator

*Please note that the charges may vary for loans above Rs. 3 crore.

**As per NHB guidelines outlined in its circular "Levy of foreclosure charges/pre-payment penalty on Floating Rate Loans," released in 2014.

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For rural areas:

• These include all places listed as towns in the 2011 census.
• People living in rural areas should earn less than Rs. 6 lakh per year.

For urban areas:

• These are any other places not listed as towns in the 2011 census.
• Women borrowers in urban areas don't have income limits, but for men, it shouldn't exceed Rs. 3 lakh per year.

Also Read : Best Home Loan Eligibility

• A completed and signed application form with photographs.
• Title documents of the property.
• Proof of identity, address, and age.
• Salary slips from the last 3 months.
• Bank statements from the past 6 months.
• Form-16 and Income Tax Returns (ITR) details for the last two years.

• A completed and signed application form with photographs.
• Proof of identity, address, and age.
• Bank statements from the past 12 months.
• For partnership firms: The latest partnership deed.
• For companies: The latest Memorandum and Articles of Association, along with a CA certificate on profit-sharing ratio, list of directors, and shareholding partnership.
• For Limited Liability Partnership (LLP): The LLP Agreement.
• Title document of the property along with business address proof.
• Income Tax Returns (ITR) and financial statements, including balance sheet, profit & loss account, and schedules. These documents must be certified by a Chartered Accountant (CA).

Also Read : Best Home Loan Documents Required

The primary security for the loan would be the property proposed to be financed by GIC HFL. However, depending on the risk assessment, additional collateral security such as LIC policies, NSCs, FDs, other immovable property, or a personal guarantee may be required.

While GIC Housing Finance Limited hasn't specified a cut-off credit score for home loan applicants, having a credit score of 750 and above can significantly increase your chances of getting a home loan. Moreover, having a higher credit score often leads to lower interest rates on the loan.

While most lenders allow borrowers to extend their home loan term, ensuring it doesn't surpass the maximum term offered or the maximum age at loan maturity, GIC Housing Finance has not disclosed whether borrowers can extend the tenure of their existing home loans.

Also read: Best Home Loan Balance Transfer

Lenders prefer approving home loans for applicants with lower Loan-to-Value (LTV) ratios because it reduces credit risk. Choosing a lower LTV ratio can increase your eligibility for a home loan. Additionally, some lenders offer lower interest rates to applicants with lower LTV ratios. Lower LTV ratios result in smaller loan amounts, which, when combined with lower interest rates, can significantly decrease your overall interest cost.

Here are some advantages of getting housing loans from GICHFL:

• Free insurance against accidental death.
• Free insurance of property against fire and allied risks.
• No charges for making part repayments of the loan before the end of the tenure. You can make as many part repayments as you want during the loan tenure.