ICICI, Kotak Mahindra to follow SBI, HDFC’s footsteps

By Poonam Singhal on 10 December, 2009, 10:29 am

Continuing the rate war, ICICI & Kotak Mahindra lowered their home loan interest rates. The new schemes announced by these banks are on the footsteps SBI & HDFC.

ICICI announced it will offer home loans for 8.25% fixed for the first 2 years, irrespective of the loan amount. This scheme is applicable to loans sacntioned between 1^st Dec, 2009 & 31^st January, 2010, provided the first disbursement is done before 31^st March, 2010.

SBI	8% in 1^st year for all loans 8.5% in 2^nd & 3^rd year for loans < Rs 30 lakhs 9% in 2^nd & 3^rd year for loans > Rs 30 lakhs
HDFC	8.25% for all loans till March 2012
ICICI	8.25% for 2yrs for all loans
Kotak Mahindra	8.49% for all loans for 30 months

Kotak Mahindra has announced a fixed rate of 8.49% for the first 30 months. This is applicable for loans of all amounts. Kotak has not any conditions on disbursement or dates, so far. Kotak also announced a special rate of 7.99% for salaried customers.

All these rates are applicable to new loans. After the initial tenure period (of fixed interest rate), all customers will be moved to the floating rates prevailing at that time.

With the prices soaring everywhere, this is a good news for house buyers.

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