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HOUSING LOANS

  • 1.Purposes :
    Housing Loan may be granted for the purpose of
    1. Construction of new houses for residential purpose.
    2. Extension or renovation of the house or flat or apartment already acquired.
  • 2. Eligibility of Loans::

    The intending parties must possess the minimum extent of land fixed by the Bank from time to time. The land so possessed should be in the name of the borrower and should have clear title. The permanent employees of the Govt. /Semi Govt. Public limited Companies / Bank Employees may also be eligible for the loan provided they have at least 7 to 10 years of service to reach superannuation.

  • 3. Maximum Limit:

    The maximum limit of Housing Loan is restricted to 48 times of the monthly pay in the case of salaried persons and 4 times of Annual Gross Income in the case of others, subject to a maximum limit of Rs.30.00 lakhs for construction of residential purpose. In case renovation the maximum limit is Rs.2.00 lakhs.

  • 4. Margin:

    Loans will be granted upto 75% of the valuation of property including the cost of investments to be made in the land.

  • 5. Period

    Repayment of Loan will be by way of equal monthly installment (inclusive of interest) and extended over a maximum of 15 years. The moratorium period of the loan will maximum upto 12 months from the date of disbursement of 1st installment. The repayment of the loan will commence after the next month of completion of construction of house / purchase of house or 12 months of the disbursement of installment of the loan whichever is earlier.

  • 6. Security:

    The housing loan shall be secured by Mortgage of un-encumbered immovable property belonging to the applicant situated within the jurisdiction of the Society. In case of direct finance, it should be situated within the territorial jurisdiction of the Branch from where the loan is availed.

  • 7. Rate of Interest:

    The Rate of Interest shall be as decided by the Bank from time to time.