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Aavas Financiers Home Loan Interest Rates 2021

Aavas Financiers Housing Loan Interest Rate

Last Updated 17th Jul 2020

Current Aavas Financiers Home loan interest rates for Apr 2021 starts at 8.00% p.a. for a maximum tenure of 30 years. Processing fee on its housing loans is Upto 1.00%.

Loan AmountHome Loan Floating Rate
Upto ₹ 30 Lakh8.00%
₹ 30 Lakh - ₹ 75 Lakh8.00%
₹ 75 Lakh - ₹ 2 Cr8.00%
Above ₹ 2 Cr8.00%
Apply for Home Loan @ 6.65%* Get upto ₹ 1,000* Cashback

Aavas Financiers Home Loan Interest Rates

Aavas Financiers offers various products on home loan. Aavas Financiers home loan can be used for the purchase of a flat, home construction loan, extension or improvement loan.

Features

  • Aavas Financiers Home Loan Interest Rate starts from 8.00%.
  • Aavas Financiers charges a processing fees of Upto 1.00%.
  • Loan Tenure of Home Loan ranges from 1 years to 30 years.
  • Lowest EMI per lakh on home Loan from Aavas Financiers is ₹ 734 per lakh offered at the lowest interest rate of 8.00% at the longest loan tenure of 30 years.
  • Aavas Financiers allows prepayment of home loans with Nil charges on floating rate loans.

Aavas Financiers Home Loan Rate

Current Aavas Financiers home loan interest rates are in the range of 8.00% to 8.00%, with special discounted rates for specific categories of borrowers such as women borrowers for whom the bank offers the lowest interest rate of 8.00%. The table below gives the interest rates on various housing finance schemes of Aavas Financiers.

Aavas Financiers Home Loan Scheme Interest Rates
Home Loan Floating8.00%

Aavas Financiers Home Loan Charges

Aavas Financiers Home Loan Processing Fee

The bank charges a minimum processing of ₹ 3,000. The processing fees is typically non-refundable and has to be paid at the time of loan application. In addition to Aavas Financiers housing loan processing fees, the bank also charges certain technical and legal charges which are explained to the customer during the loan process and are payable once the loan application proceeds further.

Aavas Financiers Home Loan Documents

Documents for Salaried employees

  • Filled up loan application form
  • 2 Passport Size Photo
  • ITR of last 2 years
  • Identity Proof - Passport/ Driving Licence/ Voter ID/ PAN
  • Residential Address Proof - Leave and License/ Registered Rent Agreement/ Utility Bill (upto 3 months old), Passport
  • Income Documents – 6 months payslip, 2 years Form 16, 6 months bank statement showing salary credit and any EMI debit
  • Property Documents - Past title chain: Conveyance deed, Sales deed, Allotment letter, Possession letter, Latest property tax receipt, Copy of approved plan for construction/ extension

Documents for Self-Employed

  • Filled up loan application form
  • 2 Passport Size Photo
  • Identity Proof - Passport/ Driving License/ Voter ID/ PAN
  • Residential Address Proof - Leave and License/ Registered Rent Agreement/ Utility Bill (upto 3 months old), Passport
  • Business proof such as VAT/ service tax registration, incorporation details in case of companies, business address proof, profit and loss account and balance sheets certified by CA, copy of partnership deed and proof of business existence and business profile
  • Property Documents - Past title chain: Conveyance deed, Sales deed, Allotment letter, Possession letter, Latest property tax receipt, Copy of approved plan for construction/ extension

Aavas Financiers Pradhan Mantri Awas Yojana

The government of India has launched many affordable housing loan schemes to facilitate availing home loan at concessional rates to lower and middle-income groups. Some of the popular schemes are:

a) PMAY or Home Loan Subsidy Scheme: Launched in 2015 to provide houses to the homeless. You can apply for PMAY at Aavas Financiers if you fulfil the eligibility criteria. Know more about PMAY Scheme

b) Pradhan Mantri Gramin Awas Yojana:  It focuses on homeless families and offers pucca houses with basic amenities.

c) DDA Housing Scheme: It aims to provide houses to low, middle, and high-income groups.

d) Tamil Nadu Housing Board Scheme: It started in 1961 to provide houses to varied income groups.

e) Mhada Lottery Scheme: It's a lottery scheme launched every year for buyers of varied income groups.

f) Rajiv Awas Yojana: Launched in 2009 with the aim of bringing illegal construction under the formal system and encouraging slum-free India.

Each of these schemes has its conditions with respect to eligibility, the amount of loan that can be borrowed, and the rate of interest.

Illustration on Aavas Financiers Home Loan Interest Rate
Maximum Annual Percentage Rate (APR) 8.03% to 8.03%
Representative example of the total cost of the loan, including all applicable fees
Here is an illustration of the total cost of the loan:
  • Total amount borrowed: ₹ 1,00,000
  • Time period: 1 Years to 30 Years
  • Aavas Financiers Home Loan Interest Rate: 8.00% to 8.00%
  • Processing Fee payable to: Upto ₹ 1,000
  • Fee payable to MyLoanCare: NIL
  • Total Monthly Cost – From ₹ 734 for 30 Years ₹ 1,00,000 loan at 8.00% (lowest rate, longest time period) to ₹ 8,699 for 1 Years ₹ 1,00,000 loan at 8.00% (highest rate, shortest time period). This is inclusive of principal repayment.
  • Annual Percentage Rate (APR) of charge including all applicable fees: 8.03% to 8.03%
  • Total cost payable over loan tenure: ₹ 5,386 for 1 Years loan to ₹ 1,65,154 for 30 Years loan

FAQs

What is Aavas Financiers Home Loan interest rate?

Aavas Financiers Home Loan interest rate ranges between 8.00% to 8.00%.Aavas Financiers cuts Home Loan rates by 8% from 8%.

Why should I opt for balance transfer to Aavas Financiers?

Aavas Financiers offers competitive Home Loan rates with the best EMI of ₹ 734 per lakh availed at a low-interest rate of 8.00% for a maximum tenure of 30 years. If you are paying an EMI more than ₹ 734 per lakh, you should consider the option for a loan transfer to Aavas Financiers from your existing bank. EMIs can be calculated through Aavas Financiers Home Loan EMI calculators.

Do I get tax benefits on a Home Loan from Aavas Financiers?

As per the Indian Income Tax Act of 1961, residents of India are eligible for tax benefits on the principal amount and interest components of a house finance under section 24 and section 80C of Income Tax Act.

What is the effect of part prepayments on Aavas Financiers housing finance EMI ?

Part prepayments help you in reducing the outstanding amount of loan, which in turn will reduce the interest amount due. After making part payments, paying the same Home Loan EMI will increase your involvement towards the principal amount, which will help you in repaying the loan faster.

How to increase my eligibility on Aavas Financiers housing loan?

If your spouse or family member is earning well, you can make your spouse or family member the co-applicant for your loan. The combination of both of your income will help you in increasing your eligibility to get a loan.

  • Floating rate on Aavas Financiers housing loan is linked to its PLR Rate, which is currently at 20.15%. When Bank offers a Home Loan at %, it applies a discount of 20.15% to its PLR Rate to arrive at this Home Loan rate.
  • When RBI increases rates, the bank may increase its PLR rate and the applicable interest rate for all existing and new Home Loans would increase. When RBI cuts interest rates and the bank reduces the PLR rate, the benefit of lower rates will have to be passed to both old borrowers and new house loan accounts.

What is the current Aavas Financiers Home Loan rate?

The current Aavas Financiers Home Loan rate starts from 8.00% with a processing fee of Upto 1.00%


*Terms and conditions apply. Credit at sole discretion of lender subject to credit appraisal, eligibility check, rates, charges and terms. Information displayed is indicative and from collected from public sources. Read More
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