HSBC Bank Home Loan Interest Rate
HSBC home loan Interest rate begins from 8.50% p.a. for salaried customers and 8.75% p.a. for self-employed individuals. If you have an existing home loan with another lender, you can opt for a HSBC home loan balance transfer facility to get a low interest rate of 8.50% p.a. HSBC housing loan Interest rates could vary depending on the borrower’s credit score, age, earnings, employment status, repayment history and respective capacities.
HSBC India Home Loan Key Highlights
Following are the key details of the HSBC Finance home loan:
| Loan amount | Rs. 3 Lakhs - Rs. 60 Crores |
| Interest rate | 8.50% p.a. for salaried customers, 8.75% p.a. For self-employed customers & 8.50% p.a. for balance transfer loans |
| Processing fee | 1% of the sanctioned loan amount or Rs. 10,000, whichever is higher |
| Eligible profiles | Salaried and self-employed Indian residents as well as NRIs |
| Property types | Ready properties, select under-construction properties approved by HSBC |
| Repayment tenure | Up to 25 years for salaried customers and up to 20 years for self-employed customers |
| Prepayment | Nil for floating interest rate home loans & Rs. 5,000 + 5% of principal outstanding/ prepaid amount + applicable taxes for fixed interest rate home loans |
| Minimum net income | Rs. 5,00,000 p.a. for salaried & Rs. 7,50,000 p.a. for self-employed |
| Age | 21 to 58 years for salaried, 21 to 60 for public limited/ government employees & 21 to 65 for self-employed |
HSBC Home Loan Interest Rates for all Schemes in India
HSBC home loan interest rates fluctuate marginally due to different types of home loans offered by the lender in India. HSBC Bank India offers standard home loans, smart home loans, loan against property, smart loan against property, NRI home loans, NRI home loans against property and sustainable mortgages.
- HSBC Home Loan: HSBC housing loan interest rate for Home Loan begins from 8.50% for salaried professionals and 8.75% for self-employed individuals. The maximum loan amount that can be disbursed under HSBC home loans is Rs 40 crore, while the maximum tenure is capped at 25 years.
- HSBC Smart Home Loan: The maximum tenure and loan amount remains the same for Smart Home Loan. HSBC home loan interest rate for smart homes begins from 9% p.a. for salaried class customers and 9.10% for self-employed borrowers. The HSBC home loan rates escalate to 9.40% and 9.50% for salaried and self-employed, respectively, without commitment fee.
- HSBC Loan Against Property: The maximum loan tenure for HSBC loan against property is restricted to 15 years and the maximum loan amount at Rs 40 crore. HSBC housing loan interest rate for loan against property starts from 9.75%.
- HSBC Smart Loan Against Property: HSBC Bank home loan interest rate for smart loan against property is a little higher as compared to standard loan against property. The HSBC housing loan interest rate for smart home loans against property is 9.85% for salaried & self-employed customers with commitment fee and from 10.10% without commitment fee.
- HSBC NRI Home Loan: HSBC home loan interest rate for NRI home loans commences from 8.60%. Customers will be entitled to the benefit of HSBC Premier globally by availing a home loan of more than Rs 1.15 crore. The maximum loan amount and loan tenure for HSBC NRI home loan is Rs 40 crore and 25 years.
- HSBC NRI Loan Against Property: HSBC housing loan interest rate for NRI loan against property originates from 9.75%. The maximum loan amount under HSBC NRI loan against property remains similar but the maximum loan tenure reduces to 15 years.
- HSBC Sustainable Mortgages: HSBC Bank home loan interest rate for sustainable mortgages begins from 8.5% onwards. HSBC offers preferential home loan interest rates for customers who opt for a certified sustainable residential property. Additional benefits include zero processing fees. The maximum loan amount under sustainable mortgages is also capped at Rs 40 crore.
Factors affecting HSBC Bank Home Loan Interest Rates
- HSBC Bank home loan interest rates can differ due to many factors as each customer/borrower has a different profile. The indicative home loan interest rate of HSBC Bank could be different for a Rs 1 crore home loan from a HSBC home loan of Rs 50 lakh.
- The major component of best home loan interest rate is derived from Marginal Cost of Funds-based Lending Rate (MCLR). Banks and housing financiers also have Repo Linked Lending Rate (RLLR) based home loans.
- Age of the borrower and credit score are by far the paramount deciding factors that dictate the applicable home loan interest rate for a respective loan amount and for a set number of years.
- The repayment history of the borrower (if any) plays a crucial role in ascertaining the home loan interest rate as banks are less willing to extend a fresh line of credit through a home loan if the borrower has a history of default/s.
- Over and above this, multiple factors fall into place including the nature of property, the earnings capacity, stability of employment, ongoing liabilities and the credit utilisation ratio.
- In order to get the best home loan interest rate, the borrowers should always try to apply for a home loan while maintaining a credit score in the prime range, ideally over 750.
- Low-to-no debt obligations, zero record of defaults, an optimal mix of credit, stable employment and low age can help in securing a lower rate of interest on home loans.
Compare HSBC Home Loan Interest Rate with Top Banks
| Home Loan Interest Rate 2024 | |
| Bank/Housing Financier | Rate of Interest |
| HSBC Bank Home Loan | 8.50% |
| HDFC Bank Home Loan | 8.75% |
| Kotak Bank Home Loan | 8.75% |
| PNB Housing Finance | 8.50% |
| Federal Bank Home Loan | 8.80% |
| L&T Housing Finance | 8.65% |
| IDFC Home Loan | 8.85% |
| Bajaj Home Loan | 8.50% - 15.00% |
| Home First Home Loan | 8.00% - 17.50% |
| DMI Home Loan | 11% - 15.50% |
| ICICI Home Loan | 8.75% |
| SBI Home Loan | 8.50% - 10.05% |
Tips to Get Home Loan at Lowest Interest Rate from HSBC Bank
- Customers can avail a home loan at lowest interest rate from HSBC Bank by maintaining a high credit score. A credit score in good shape exhibits the behaviour of a borrower towards credit and obliging the debt repayment obligations in the past.
- A joint home loan application is a tested tactic that can help you obtain a home loan at lower interest rates as the liability spreads over two individuals. Furthermore, lenders tend to consider the combined income levels and repayment capacities in order to extend a higher loan amount at lowest possible interest rates.
- You can ensure a debt-free profile before obtaining a home loan, if attainable. No debt commitments can help you secure a home loan at favourable interest rates, that effectively lowers your net interest outgo.
- Declaring women as a primary borrower can also help in getting a lower interest rate on a home loan as most scheduled commercial banks, as well as foreign banking entities have low-interest rate offers on home loans exclusively for women borrowers.
- Opting for a shorter repayment tenure can further increase your chances of obtaining a home loan at a much lower rate of interest as compared to a tenure exceeding two decades.
- A higher down payment for the real estate asset can instill more confidence of a lender towards your profile as such actions displays your commitment to repaying the loan at the earliest possible time.
HSBC Bank Home Loan Interest Rates FAQs
HSBC Bank offers both fixed as well as floating interest rates home loans, depending on the loan type and other factors. Floating HSBC home loan interest rates start at 8.75% p.a. for salaried individuals and 8.85% p.a. for self-employed individuals, whereas the interest rate for balance transfer loans starts from 8.50% p.a.
Yes, HSBC offers different interest rates for various customer categories. Salaried individuals can get an HSBC home loan interest rate starting from 8.75% p.a., housing loan interest rate for self-employed individuals starts from 8.85% p.a. HSBC offers a floating interest rate of 8.50% p.a. for balance transfer loans.
No, HSBC does not offer home loan interest rate subsidies or government schemes. However, it offers home loans with interest rates starting From just 8.50%.
The age of the borrower should be more than 21 years to become eligible for a home loan from HSBC Bank. The maximum age of the borrowers should be 58 years for salaried customers, 60 years for public employees and 65 years for self-employed professionals.
To apply for an HSBC home loan at the current interest rate, you can visit a nearby HSBC branch, apply online on HSBC's website, contact your relationship manager, call HSBC's Phone Banking numbers, or fill out a callback form on HSBC's website.
A higher credit score will lead to a lower interest rate on HSBC home loans, as a good credit score and repayment record indicate a lower risk to the lender; conversely, a lower credit score could lead to a higher interest rate on HSBC home loan due to higher associated risk.
There are zero prepayment or foreclosure charges for floating interest rate HSBC home loans. However, for fixed-interest rate home loans, you will be required to pay a penalty of Rs. 5,000 + 5% of the principal outstanding/ prepaid amount + applicable taxes.
To be eligible for an HSBC home loan, the minimum net income of the salaried applicant should be Rs. 5,00,000 p.a and Rs. 7,50,000 p.a for self-employed applicant.