Regarding life milestones, owning a home is considered a considerable achievement.
Several banks provide Home Loans for Government Employees to assist them in purchasing a home. Low-interest rates and perks help you save money on taxes or provide:
- Tax benefits
- Giving sufficient liquidity and allowing your money to grow
- Making a home loan one of the cheapest financing solutions available
Banks tailor home loan offers and reductions for government personnel to recognize their vital services as state or federal employees. Government personnel can take advantage of special house loan programs by lenders, such as the ICICI home loan EMI calculator and others.
How to calculate interest?
Home loans are long-term loans, so determining your overall interest liability is critical. The following method can be used to calculate the same:
- Calculator for EMI: You can use a home loan EMI calculator to figure out how much interest you’ll pay on your loan. You must fill in the fields on the calculator with the following information
- Loan Amount Loan Repayment Period Loan Interest Rate
- After registering your information, click the ‘Calculate’ button to see a complete breakdown of your loan, including the amount owed in interest.
The formula for EMI calculation: You may also determine your EMI liabilities for your house loan using the following formula:
EMI = [P x r x (1+r)^n]/[(1+r)^n-1]
P is the principal, r is the interest rate, and n is the number of instalments or the loan term in months.
The ICICI EMIs are more reasonable for you since they have a lower interest rate and a repayment phase of up to 30 years. The user-friendly ICICI Home Loan EMI calculator can help you calculate your EMI.
You can also use your ICICI Bank Savings Account’s auto-debit capability to pay your home loan EMIs.
List of a few banks that offer the best home loan interest rate for government employees?
- SBI Home Loan
SBI will finance up to 90% of the property’s cost at 7.1% p.a. for up to 30 years. Defence personnel, government employees, non-salaried individuals, candidates purchasing “green” homes, and those living in hilly/tribal areas are eligible for special home loan packages. Other advantages of SBI house loans include 0.05 per cent interest rate reductions for women borrowers, overdraft facility, debt transfer facility, step-up loans, etc.
- Axis Bank Home Loan
Axis Bank offers house loans with interest rates starting at 8% p.a. for duration up to 30 years, and loans sum up to Rs. 5 Crore. The bank also provides house loans for low-cost houses and other unique home loan offerings such as EMI reduction, EMI waivers, home loan overdraft, and mixed interest rates (fixed for two years and then floating interest rates).
- ICICI Home Loan
ICICI home loan bank interest rates are very low. Home loans from ICICI Bank start at 7.10% per year. It is of 30 years duration, and loan amounts up to Rs. 10 Crore.
- Home Loan from Kotak Mahindra
Kotak Mahindra Bank home loans start at 8.00% per year for 30 years duration, and loans sum up to Rs. 10 Crore.
- PNB Home Loan
Punjab National Bank offers house loans with interest rates starting at 7.10% per year for a 30 years span. It is for loan amounts up to 90% of the property’s value.
- Home Loan from Bank of Baroda
Bank of Baroda Home loans starts at 7.10% per annum. It is for a 30 years term, and loan amounts up to Rs. 20 Crore.
- Union Bank Home Loan
Union Bank of India finances up to 90% of property costs at 7.9% per annum for up to 30 years.
- First Home Loan from IDFC
Home loans from IDFC First Bank start at 8.10% per annum for a 30 years loan term, and loan amounts up to Rs. 5 Crore. For self-employed customers, the bank offers a variety of home loan schemes and surrogate programs to increase their eligibility. Customers without regular income records might also get a home loan from the bank.
- Home Loans from Federal Bank
Federal Bank offers home loans up to Rs 15 Crore at cheap interest rates starting at 7.65% p.a. for 30 years.
- Home Loan from Indian Bank
Home loans from Indian Bank start at 7.50% per annum. It is for a 30 years term and a loan sum of up to 90% of the property’s value.
ICICI Bank offers house loans starting at 7.10% per annum for up to 30 years. It also provides salary account holders pre-approved fast house loan sanction and home loan balance transfer at lower interest rates to current home loan borrowers with other lenders. The ICICI bank home loan interest rates are low.
They are available to salaried applicants earning a minimum of Rs. 20,000 per month and self-employed applicants with a minimum of 5 years in business. ICICI Bank also offers ICICI Bank Extra Home Loans, a unique house loan plan backed by a Mortgage Guarantee that allows borrowers to increase their loan amount eligibility by extending their home loan duration until they reach 67. To know more about salaried loans, kindly visit Apnapaisa and get in touch with our experts.