Buying a home is one of the most important financial decisions you and your family will ever make. For most home buyers, obtaining a home loan is the only way to realize their dream of homeownership. If you plan to take a home loan in India, it is important to understand everything about it, as it is a commitment that will last for years until you can repay the entire loan amount. Salient features of some of the more attractive home Loan Schemes are described below.
Individual (including NRI and PIO) having minimum 21 years of age and maximum 75 years of age (all class of borrower) inclusive of repayment period. However, maximum age at the time of availing Home Loan should not be more than 65 years
Purpose
Purchase and construction of independent house/ready built flat for residential purpose.
Extension/Repair/Renovation of existing house/flat not more than 50 years old.
Takeover of home loans availed from other banks/FIs.
Loan is also available for furnishing of house property
Purchase of old house up to 40 years old and old flat up to 35 years.
Quantum of Loan
The area-specific maximum limits for construction/purchase are as under:
Location/Centre
For Construction/ Purchase/ Takeover/Extension
For Repair/ Renovation
Metro/Urban/Semi-urban/Rural
No upper limit
Rs.50 lac
Loan Entitlement
Least of the Loan amount computed under 1 and 2 below :
Cost of Stamp duty, registration and other documentation charges will not be included in the cost of housing property, so that LTV (Loan to value) ratio does not get diluted. However, cost of Stamp duty, registration and other documentation charges may be included as part of project cost, where cost of house/dwelling unit does not exceed Rs. 10.00 lacs for the purpose of calculating LTV ratio.
Premium of Insurance of the mortgaged assets and/or the Life of the borrower for a period of loan tenure may be considered as part of project cost.
In case of Repair/Renovation/Extension of flat/house, the amount of loan shall not exceed as stipulated above of the estimated cost, subject to maximum loan amount for Repair/Renovation under the Scheme.
The total deductions existing plus the EMI of the proposed loan would be linked to Gross Monthly Income (GMI) and must not exceed the GMI of the borrower(s) as under :
On the basis of purpose/Cost:
1.1. 90%(loan up to Rs 30 lacs),
1.2. 80%(loan above Rs 30 lacs to Rs 75 lacs) or
1.3. 75% (loan above Rs 75 lacs) of the project cost of construction or purchase price of house/flat as per agreement for sale.
On the basis of monthly income vis-a-vis EMI :
For Indian Residents:
1.1 GMI up to Rs.50,000/- - 60% of GMI
1.2 GMI above Rs.50,000/- and up to Rs.1,00,000/- - 70% of GMI (subject to minimum monthly take home pay of Rs.20,000/-)
1.3 GMI above Rs.1,00,000/- -75% of GMI (subject to minimum monthly take home pay of Rs.30,000/-)
For NRI & PIO:
Income Slab
Total deductions permissible including proposed EMI
GMI up to Rs.1,50,000/-
50% of GMI
GMI above Rs. 1,50,000/-
60% of GMI
Processing Fee
0.5% of the loan amount, minimum Rs.1500/- & maximum Rs. 15000/-.
(Waived till 30.06.2024)
Repayment
The maximum period of repayment is 30 years/360 EMI but should not be beyond 75 years of age of borrower in case of all class of borrower.
Security
EMTD of property financed.
Repayment Charge
NIL
Tax Benefits
Tax relief on principal and interest components of this loan would be available as per provisions prevailing under Income Tax Act
Rate of Interest
Additional Concession of 0.10% for takeover loans and 0.05% for women borrowers (property owned by woman)
CIBIL Score
Rate of Interest
≥ 825
(UCO Super Platina Customers)
UFR - SD = 8.35%
≥ 800 and < 824
(UCO Platina Customers)
UFR + 0.05% - SD = 8.40%
≥ 750 and ≤ 799
(UCO Premia Customers)
UFR + 0.15% - SD = 8.50%
≥ 700 and ≤ 749
(UCO Optima Customers)
UFR + 0.40% - SD = 8.75%
(Concession of 0.10% is allowed to salaried customers if maintaining salary account with our Bank)
0,-1 or <300
(New to Credit)
UFR + 0.80% - SD = 9.15%
(Concession of 0.15% is allowed to salaried customers if maintaining salary account with our Bank)
≥ 650 and ≤ 699
UFR + 1.10% - SD = 9.45%
> 600 and <649
(Individuals maintaining Salary Account with us)
UFR + 0.70% = 10.00%
Additional Concession of 0.10% for takeover loans and 0.05% for women borrowers (property owned by woman)
A facility for Home Loan applicants by providing In-principle sanction of the loan based on home loan eligibility/entitlement as per Income Criteria under UCO Home Loan scheme where the applicant has not yet identified/finalized the property.
Eligibility:
Individual (including NRI and PIO) having minimum 21 years of age and maximum 75 years of age (all class of borrower) inclusive of repayment period.
Quantum of Loan:
The area-specific maximum limits for construction/purchase are as under :
Location/Centre
For Construction/ Purchase/ Takeover/Extension
For Repair/ Renovation
Metro/Urban/Semi-urban/Rural
No upper limit
Rs.50 lac
Loan Entitlement:
Least of the home loans amount computed under A and B below :
Cost of Stamp duty, registration and other documentation charges will not be included in the cost of housing property, so that LTV (Loan to value) ratio does not get diluted. However, cost of Stamp duty, registration and other documentation charges may be included as part of project cost, where cost of house/dwelling unit does not exceed Rs. 10.00 lacs for the purpose of calculating LTV ratio.
Premium of Insurance of the mortgaged assets and/or the Life of the borrower for a period of loan tenure may be considered as part of project cost.
In case of Repair/Renovation/Extension of flat/house, the amount of home loan in India shall not exceed as stipulated above of the estimated cost, subject to the maximum loan amount for Repair/Renovation under the Scheme.
On the basis of purpose/Cost:
90%(loan upto Rs 30 lacs),
80%(loan above Rs 30 lacs to Rs 75 lacs) or
75% (loan above Rs 75 lacs) of the project cost of construction or purchase price of house/flat as per agreement for sale.
On the basis of monthly income vis-a-vis EMI :
The total deductions existing plus the EMI of the proposed home loans would be linked to Gross Monthly Income (GMI) and must not exceed the GMI of the borrower(s) as under :
For Indian Residents:
GMI up to Rs.50,000/- - 60% of GMI
GMI above Rs.50,000/- and up to Rs.1,00,000/- - 70% of GMI (subject to minimum monthly take home pay of Rs.20,000/-)
GMI above Rs.1,00,000/- -75% of GMI (subject to minimum monthly take home pay of Rs.30,000/-)
For NRI & PIO:
Income Slab
Total deductions permissible including proposed EMI
GMI up to Rs.1,50,000/-
50% of GMI
GMI above Rs. 1,50,000/-
60% of GMI
Validity of Pre-Approval sanction letter:
4 Months from the date of pre-approved sanction letter. Further, request for extension of the time/validity shall not be considered.
Processing Fee and other Charges:
0.25% of pre-approved home loans amount) minimum Rs. 1,000/-, Maximum Rs. 10,000/- to be collected at the time of providing pre-approval offer letter.
This processing fee is non-refundable and will be adjusted based on the prevailing terms & conditions as on date of actual sanction.
Validity of Pre-Approval sanction letter:
4 Months from the date of pre-approved sanction letter. Further, request for extension of the time/validity shall not be considered.
Processing Fee and other Charges:
0.25% of pre-approved home loans amount) minimum Rs. 1,000/-, Maximum Rs. 10,000/- to be collected at the time of providing pre-approval offer letter.
This processing fee is non-refundable and will be adjusted based on the prevailing terms & conditions as on date of actual sanction.
No fresh loan sanctioned to the borrower having CIBIL Score less than 650
Fixed Rate: Additional Fixed Rate Premium (FRP) of 1.00% over and above the applicable card rate at the time of sanction/switchover when customer opts for fixed rate option. Fixed Rate Premium will be revised by Bank from time to time based on fluctuation in Repo Rate.
