Housing Loan: Corporation Bank

Housing Loan: Corporation Bank

Eligibility

Resident individual either singly or jointly /NRI/PIO , between 18 to 65 years, with independent and regular source of income.
In addition to spouse, maximum of one close relative [ Father, Mother, Spouse, Daughter, Son, Sister, Brother] may join as co-applicant to supplement repayment capacity.
Where the property to be mortgaged is jointly owned by close relatives, all the joint owners shall join as co applicants, irrespective of their age and numbers.

Project to cost

Purchase price only. Registration Charges, Stamp Duty, Documentation Charges not to be included in the project cost.
Where the cost/price of house/dwelling unit does not exceed Rs.10 lakh, Registration Charges, Stamp Duty, Documentation Charges will be included in the project cost.

Purpose
For construction of house/flat, purchase of ready built house/flat/flat under construction.
Take over of housing loan from other banks/Institutions.
Purchase of site and construction of house subject to certain terms and conditions.
Purchase and installation of rooftop Solar PVs

Loan Amount

Margin

Loan Limit	Margin
For Loan  upto Rs.30  lakh	10%
For Loan above Rs.30 lakh & upto Rs.75 lakh	20%
For Loan above Rs.75 lakh	25%

Security

Mortgage of house/flat purchased out of bank finance. Age of the property shall not exceed 30 years. However, residual /balance life of the building shall be at least 5 years more than the repayment tenor.

Co-obligation of the Spouse of the applicant is mandatory, where third party guarantee is not available.

If the applicant is unmarried/divorcee /widow/widower, co-application of parent/s [irrespective of their age], OR Son, Daughter, Brother, Sister OR a suitable third party guarantee is required.

Rate of Interest

Rate of interest is linked to the MCLR & subject to annual reset. Fixed rate option is also available. Fixed rate is subject to reset.

For Interest Rates, please click here.

Processing Charges 

Applicable

Prepayment Charges

-NIL-

Disbursement

• Loan will be remitted along with margin money, directly to the builder/seller.
• In case of construction, loan release will be based on progress of construction.

Repayment

• Loan is repayable in maximum of 30 years including moratorium of max- 18 months.
• Repayment period shall not exceed retirement age for salaried class and 70 years of age for other than salaried class.
• EMI/Notional interest of existing and proposed loan together shall not exceed 50% to 70% of net income of the borrowers.
• Repayment period will depend upon the age of the applicant, age of property and type of property.
• Flexible/progressive/step-up instalment facility is also available for salaried class.

Other Conditions

• Property shall be in command area of the branch [ i.e within 15 kms to 50 kms based on centre/ city ]
• Second loan for enhancement also available based on merits of the case.
• For repair/renovation, separate loan scheme (Corp Ghar Shobha) is available.
• Take over of loan from other banks/institutions is subject to the Bank's policy
• Flexi-repayment option is also available for salaried class.
• Insurance of property is mandatory and premium to be borne by the borrowers.
• Life insurance of the borrower is available at the option/cost of the borrower.