HDFC Reach Home Loan

HDFC Reach Home Loan: At HDFC, we know that how hard work you have done and face the number of difficulties and challenges to reach your goal so far in your life. Now it is the time that you can build your own home, which is according to your taste and needs. There is nothing like your home that’s why HDFC provide an option to you so that you can gather expectations, achieve your dreams and make memories in your own space.

At HDFC, there is a sensitive approach as we understand that the sweat and blood that have this dream. The HDFC’s product is a promise to be with you in every step while you make that cozy little corner which will soon be your home.

 

Key Features of HDFC Reach Home Loan:

HDFC Reach Home Loan specially designed for:

• Purchasing a new home.
• Constructing your home on a freehold/leasehold plot or on a plot allotted by a Development Authority.
• Transfer to HDFC, your remaining home loan availed from another bank or financial institution.
• Increasing your house in many ways like tiling and flooring, interior and exterior plaster and painting etc.
• Extend or add space to your home.
• You can also avail Non Residential Premises Loans, Top-Up Loans and Loan Against Property.
• In HDFC Reach Home Loan there are no hidden charges.
• HDFC provides you doorstep assistance on your Home Loan.
• HDFC also provides you with an expert legal and technical counselling that help you to make the right home buying decision.
• HDFC offers customized home loan products that help you to buy a new or second-hand house.

 

Loan Requirements For HDFC Reach Home Loan:

You will have to apply for bridging loan separately or jointly if in your property you have a co-owner, he has to be co-applicants for the home loan even though all co-applicants are not required to be co-owners. Basically, Co-applicant is a close family member.

• For Reach Home Loan the maximum home loan repayment period up to 20 years.
• For loans against property, maximum repayment period can be up to 15 years.
• For non-residential premises, the maximum repayment period should be for 10 years of the loan.
• The loan tenure depends on the customer’s profile, the age of customer at maturity of the loan, age of property at loan maturity.
• Salaried individuals can avail Reach Home Loan with a minimum income of Rs. 10,000 p.m.
• Self-employed individuals can avail Reach Home Loan with a minimum income of Rs. 2 lacs p.a.
• HDFC Reach Home loan available at the age of 24 – 60 years.

Maximum Loan Amount:

Loan For	Maximum Funding
HDFC Reach Home Loans	80% of the cost of the property
HDFC Plot Loans	80% of the cost of the property
HDFC Non-Residential Premises Loans	60% of the cost of the property

 Types of Home Loans:

• Adjustable Rate Home Loan:

 Home loan is linked to HDFC’s Retail Prime Lending Rate (RPLR) under the adjustable rate. If any changes occur in our RPLR, the interest rate of your loan will be revised every three months, depending on the date of your first delivery or without changing the EMI. If interest rates increase, the interest component in the EMI will increase and the main component will be decreased in the enlargement of the term of the loan, and vice versa when interest rates fall.

• TruFixed Home Loan – 2 / 3 Year Fixed Rate Variant:

 A TruFixed Home Loan provides you with a fixed rate period and an adjustable period you can take advantage of a fixed rate for a maximum period of 2 / 3 years, after which the loan will automatically convert to an adjustable rate, adding up to a total term of 20 years.

Read More: 12 Types of Hdfc Home Loan That Will Actually Make Your Life Better

 Interest Rate For HDFC Reach Home Loan:

1)      For Reach Home Loans and Plot Loans:

          a. For Salaried 

Loan Slab	Interest Rates (% p.a)
Any loan amount	10.55 or 11.55

           b. For Self-Employed Professionals & Non Professionals

Loan Slab	Interest Rates (% p.a)
Any loan amount	10.55 or 11.55

2)      For Non Residential Premises Loans:

          a. For Salaried

Loan Slab	Interest Rates (% p.a)
Any loan amount	13.5

           b. For Self-Employed Professionals & Non Professionals

Loan Slab	Interest Rates (% p.a)
Any loan amount	13.5

3)      For Loan Against Property:

          a. For Salaried

Loan Slab	Interest Rates (% p.a)
Up to Rs. 50 Lacs	13.00 or 14.00

          b. For Self-Employed Professionals & Non Professionals

Loan Slab	Interest Rates (% p.a)
Up to Rs. 50 Lacs	13.00 or 14.00

Read More: Here’s How Home Loan Interest Rate Can Lower with Lower PPF Rates

Documents Required for HDFC Reach Home Loan:

There are following various documents that you would need to submit to all applicants / co-applicants along with the completed and signed Application Form for loan approval, all documents should be self-attested:

Purpose	Documents for Salaried	Documents for Self-employed
Proof of both identity and residence (any 1)	Passport Voter ID Card Aadhar Card Driving License PAN Card	Passport Voter ID Card Aadhar Card Driving License PAN Card
Proof of income	3-month salary slip last 6 months bank statement salary credit or latest form-16 and IT returns	Income tax returns along with computation of income for the last 3 assessment years Last 3 years’ balance sheet and profit & loss a/c statements, with annexures/schedules Last 6 months’ current a/c statements of the business entity and savings account statements of the individual.
Other documents	Copy of the Allotment Letter / Buyer Agreement and Receipt of payment made to the developer. You would submit Employment Contract / Appointment Letter in case current employment is less than 1 year old. The other documents you would need to submit is Last 6 months Bank Statements which showing repayment of any ongoing loans. You will have to paste all the applicants / co-applicants passport size photograph affixed to the application form and signed across. A cheque for processing fee approving ‘HDFC Ltd.’ Own contribution proof	Latest Form 26 AS List of Directors and Shareholders with their individual shareholding certified by a CA / CS in case of the business entity being a company Memorandum and Articles of Association of the Company Partnership Deed in case of the business entity is a partnership firm, Details of ongoing loans of the individual and the business entity including the outstanding amount, installments, security, purpose, balance loan term Passport size photograph of all the applicants / co-applicants to be affixed on the Application Form and signed across A cheque for processing fee favouring ‘HDFC Ltd.’ Own contribution proof

Processing Fee and Charges on HDFC Reach Home Loan:

The following is an indicator list of fees / other charges/outgoing which is payable on the basis of profit:

     A. For Reach Home loans and Reach Plot Loans

For Salaried, Self-Employed Professionals & Non-Professionals Up to 1.50% of the loan amount, plus applicable taxes.

      B. For Reach Non-Residential Premises Loans

For Salaried, Self-Employed Professionals & Non-Professionals 2% of the loan amount, plus applicable taxes.

      C. For Reach Loan against property Loans

For Salaried, Self-Employed Professionals & Non-Professionals 1% or 2% of the loan amount, plus applicable taxes.

      D. Prepayment charges:

Adjustable Rate Loans (ARHL)	The Adjustable Rate Loans (ARHL) is applied for all loans that are sanctioned to individual borrowers. There will be no prepayment charges apply if the individual prepays the whole amount along with the interest on its account for part or full prepayments. The loans that are sanctioned to individual & borrowers with company, firm, etc will have to pay co-applicant prepayment charges. These charges will be calculated at a rate of 2% and additional taxes & statutory levies will be implied as applicable at that time & on the amount that is prepaid. Customer needs to submit documents to HDFC so as to know the source of funds at pre-payment of the loan.
Fixed Rate Loans (FRHL)	The Fixed Rate Loans (FRHL) has no prepayment charges for partial or full payments made from own sources except borrowing from a Bank/HFC/NBFC or financial institution. The customer again needs to submit documents that HDFC may need to ascertain the source of funds. There will be a prepayment charge of 2% and additional taxes & statutory levies will be implied as applicable from time to time on the outstanding amount that is prepaid by refinancing from any other Bank / HFC / NBFC or financial institution. Note: It will include all the amounts prepaid during the given financial year & shall be applicable to all partial or full prepayments also.
Fixed and Variable Rate Loans (Combination rate)	1. During the Fixed Rate period: There will be a prepayment charge of 2%, plus taxes & statutory levies & charges for all the loans sanctioned. The prepayment charge shall be applied from time to time on the outstanding amounts. It includes the prepayment that is made through refinancing from any Bank/HFC/NBFC or financial institution. It will include all the amounts that are prepaid during the given financial year. It will also include all partial or full prepayments. Along with this at the time of pre-payment of the loan the customer needs to submit documents that indicate the source of funds being carried away. 2. During the Variable Rate period: There will be no prepayment charges on account of part or full prepayments for loans that are sanctioned to the individual, borrowers. The loans sanctioned to individual/borrowers that are with company or firm, or as a co-applicant, there will be prepayment charges that will be calculated at 2% and the additional taxes & statutory levies as applicable at the time & the amount being prepaid. The charges above mentioned are on the date of execution of loan agreement. They are subject to change as per the HDFC Bank policies and may also vary from time to time. We request all our customers to refer www.hdfc.com for latest charges that will be applicable on prepayments.

      E. Conversion Fees:

We offer our existing customer an option to decrease the applicable rate of interest on home loans by switching the spreads or switching between plans through our conversion facility. You can avail of this facility by paying a nominal fee and choose for either reducing your monthly installment (EMI) or loan tenure. Terms and conditions apply. The following options for conversion are available to an existing customer of HDFC.

The fee payable for the conversion shall be 0.5% or Rs. 7500/- plus applicable taxes of the principal remaining amount whichever is lower.

      F. Cheque Dishonour Charges:

Cheque Dishonour charges shall be Rs. 200/-

      G. Fees On Account Of External Opinion:

In case of external opinion is required from the attorney / technical evaluation, the fees in such case may payable as per the case, the fees are directly related to the nature of the assistance provided directly to the respective Advocate / Technical Valuer is payable.

      H. Property Insurance:

If the customer wants that the policy alive at all the time during the loan period, the customer shall directly pay the premium amount immediately to the insurance provider.

      I. Charges On Account Of Delayed Payments:

If there is any delay in repayment, interest or EMI shall render the customer liable to pay additional interest up to 24% p.a.

      J. Incidental Charges:

Incidental charges & expenses are imposed to cover the costs, charges, outgoings and other monies that may have been expended in connection with the recovery of dues from a defaulting customer.

      K. List Of Documents:

 Up to Rs.500

      L. Photo Copy Of Documents:

Up to Rs.500

      M. PDC Swap:

Up to Rs.200

      N. Disbursement Cheque Cancellation Charge Post Disbursement:

Up to Rs.200

      O. Re-Appraisal Of Loan After 6 Months From Sanction:

Up to Rs.2,000 plus applicable taxes

      P. Increase / Decrease In Loan Term:

Up to Rs.500 plus applicable taxes