Good news for home buyers! ICICI Bank cuts interest on housing loan by up to 0.3%

New Delhi: After State Bank of India (SBI) and LIC Housing Finance, ICICI Bank on Monday decided to cut home loan rate by up to 0.3 percent for loans up to Rs 30 lakh to promote affordable housing.

Under the new government scheme, loans under Rs 30 lakh qualify for affordable housing.

With this reduction, salaried borrowers can avail home loans at among the lowest rates in the industry, the country's largest private sector lender said. Salaried women borrowers will get home loans at 8.35 percent and others at 8.40 percent, it said.

India's largest lender SBI had last week announced a steep interest rate reduction of up to 25 basis points for affordable housing loans, offering 8.35 percent to new women borrowers.

LIC Housing Finance has also  launched a new product, `Griha Siddhi, which will offer loans for construction, purchase of house or flat and repairs or renovation to the existing properties.

Under the new product, borrowers will be offered interest rate of 8.40 percent up to Rs 25 lakh and for loans up to Rs 1 crore, the interest rate will be 8.50 percent per annum.

For women borrowers, the mortgage lender is offering a special interest rate of 8.35 percent for loans up to Rs 25 lakh.

With Agency Inputs