Best Home Loan In Mumbai | 2025
A home loan in Mumbai helps you finance your dream of owning a home in the city of dreams. With attractive rates, quick approvals, and simple terms, home loan options in Mumbai make your housing journey easy and efficient.
Mumbai, often called the “City of Dreams” and the “Heart of India”, is India’s largest city and the financial capital of the country. If you want to settle down amidst the city’s thriving economic landscape, a home loan is the best option to finance the purchase of your desired property.
Looking for the best home loan in Mumbai? Banks and financial institutions are offering home loans over Rs. 1-5 crores at interest rates as low as 8.30% p.a., securing your way to homeownership. Go through all of the currently available options and find the right loan for your needs.
Features and Benefits of Home Loan in Mumbai
Owning your dream home in Mumbai is easier than ever with the attractive repayment terms offered by the city’s top lenders. Here are the important features and benefits of the best home loans in Mumbai:
- Substantial loan amount: With most banks offering high-value home loans, you can easily secure enough funding to buy any home of your choice. Many lenders offer funding of above Rs. 1 crore and up to 90% financing on the property value.
- Effortless online application: Most lenders allow online applications that allow you to apply from the comfort of your home. Nowadays, everything from document verification to loan sanctions is done online, making the process fast and efficient.
- Quick processing and disbursal: You can expect a swift approval if you provide accurate information and submit all documents. Some lenders offer instant approvals and disbursal of funds within a few days so you can move into your new home.
- Competitive interest rate: As home loans are secured loans, they come with attractive interest rates compared to other financing options. Currently, the lowest home loan in Mumbai carries an interest rate starting at 8.3% per annum.
- Top-up home loan: Several banks and financial institutions offer top-up loans to existing home loan borrowers. This can provide funds for home renovations, furnishings and even personal expenses. These loans are usually more affordable than personal loans.
- Home loan balance transfer: With a balance transfer, you can move your existing home loan balance from one lender to another. This lets you get a better deal, including lower interest rates and longer tenures. You can check out NoBroker Home Loan Balance Transfer to know more in detail.
- Flexible repayment terms: Borrowers get the flexibility to choose any tenure to balance their total interest costs and EMI affordability. Housing loans in Mumbai can have a tenure of up to 30 years or even 40 years for some lenders.
- Hassle-free foreclosure and prepayments: Most lenders allow you to clear your debts sooner by allowing prepayments and foreclosure. Moreover, with floating-rate home loans, you don’t have to pay any foreclosure or prepayment charges.
Eligibility For Home Loan In Mumbai
To be eligible for a home loan in Mumbai, applicants need to meet the following criteria:
- Age : The minimum age for the applicant must be 21 years and maximum age limit should not exceed 65 years at the time of loan maturity.
- Income : The minimum annual income should be Rs. 2-3 lakh, depending on the bank or financial institution providing the loan.
- Employment stability : The applicant should be employed for a minimum of 2-3 years, depending on the lender.
- Credit score : A credit score of 750 or above is preferred by most lenders.
- Property valuation : The property should be legally approved, and its valuation should meet the bank’s criteria.
Note that the exact eligibility requirements may differ from one lender to another.
You can also check your eligibility for home loan with NoBroker Home Loan Eligibility Calculator.
Documents Required to Get the Best Home Loan in Mumbai
You will need the following documents to apply for a home loan in Mumbai:
| DOCUMENT TYPE | DOCUMENT |
|---|---|
| KYC Documents | Aadhaar card, PAN card, passport, and voter ID card |
| Proof of Income | Salary slips, income tax returns, Form 16, and bank statements |
| Property-related Documents | Property registration papers, property tax receipts, and NOC from the builder or society |
| Proof of Employment | Offer letter, appointment letter, and employment contract |
| Others | Passport-size photographs, loan application form, and declaration of assets and liabilities |
It is important to note that the exact documents required may vary depending on the lender and the loan amount.
How to Avail a Home Loan in Mumbai?
To avail home loan in Mumbai Go to the NoBroker Home Loan official website or select the Click to Apply Home Loan option on top of the page where you will be redirected to the NoBroker Home Loan page where you can apply for a home loan by registering your name and mobile number. You can also click on the Check Eligibility option to apply for a home loan. With NoBroker Home Loan you can get the advantage of choosing the best home loan by comparing the home loan interest rate levied by different banks and NBFCs.
Step 1: Check your eligibility
Before applying, make sure you can get the loan by checking the NoBroker Home Loan Eligibility Calculator. You can also use NoBroker Home Loan EMI calculator to figure out the right loan terms for your needs.
Step 2: Fill out the application form
Once you check your eligibility the next step is to choose the lender from which you need to avail the loan from NoBroker Home loan page. NoBroker acts as an aggregator so that you choose the best home loan lender from one single page NoBroker Home Loan. i In the application form, you must submit your personal and financial details, such as residential address, contact details, employer’s name, annual income, etc.
Step 3: Submit the required documents
Along with the application, you have to submit documents verifying your identity, address, age and income details. Nowadays, many lenders allow you to complete this process online. After you finalise the property to purchase, you also have to upload property-related documents such as sales deed, NOC, etc.
Step 4: Complete the verification process
Once the lender receives your application, a representative may get in touch with you to complete the verification process. The representative will reach you at your home or workplace and guide you through the rest of the process.
Step 5: Sign the final loan agreement
After your loan application is processed, the lender will conduct an extensive legal and technical evaluation of your chosen property. Next, you will get a final loan agreement with finalised terms. You need to sign this document and make the necessary payments to avail a home loan.
Once the lender has conducted all required checks, they will disburse the funds directly to your account or to your builder or seller.
Comparing Home Loan Rates in Mumbai
Take a look at the interest rates, loan amounts, tenures and other terms of the leading banks and financial institutions in Mumbai:
| Lender | Home Loan Interest Rates In Mumbai | Processing Fees & Charges | Maximum Loan Amount | Maximum Loan Tenure |
|---|---|---|---|---|
| Aavas Financier Limited Home Loan | 8% | 2% | – | 30 Years |
| Aditya Birla Capital Home Loan | 9% – 12.50% | 1% | 10 Crores | 30 Years |
| Andhra Bank Home Loan | 8.15% – 9.20% | 0.50% or ₹15000 + GST (whichever is lower) | – | 30 Years |
| Axis Bank Home Loan | 8.75% – 14% | 1% | 10 Crores | 30 Years |
| Bank of Baroda Home Loan | 8.50% – 10.60% | 0.25%- 0.50% | 10 Crores | 30 Years |
| Bank of India Home Loan | 7.80% – 9.65% | – | 7.50 Crores | 30 Years |
| Bank of Maharashtra Home Loan | 8.40% | 0.25% or 25,000 (whichever is lower) | 1 Crore | 30 Years |
| Canara Bank Home Loan | 8.85%- 11.25% | ₹1,500 – ₹10,000 | 3 Crores | 30 Years |
| Central Bank of India Home Loan | 8.45% – 9.20% | 0.50% or ₹20,000 + GST (whichever of lower) | 75 Lakhs | 30 Years |
| DBS Home Loan | 8.25% – 9.75% | – | 5 Crores | 25 Years |
| Dena Bank Home Loan | 8.25% – 8.35% | 0.50% | 1.5 Crores | 30 Years |
| Dhanalakshmi Bank Home Loan | 7.2% | 1% or ₹10,00 + GST (whichever is higher) | 1 Crore | 30 Years |
| DHFL Home Loan | 8.75% | – | 5 Crore | 30 Years |
| Federal Bank Home Loan | 10.15% – 10.30% | – | 15 Crores | 30 Years |
| HDFC Ltd. Home Loan | 8.50% – 9.60% | 0.50% or ₹3000 (whichever is higher) | 10 Crores | 30 Years |
| IDBI Bank Home Loan | 8.75% – 11.45% | – | 10 Crore | 30 Years |
| IDFC First Bank Home Loan | 8% – 14% | 3% | 10 Crores | 30 Years |
| Indiabulls Home Loan | 8.75% | 1% | 2 Crores | 30 Years |
| Indian Overseas Bank Home Loan | 9.55% | – | – | 30 Years |
| India Shelter Finance Corporation Home Loan | 13% – 20% | 2% – 3% + GST | 50 Lakhs | 20 Years |
| Jammu and Kashmir Bank Home Loan | 8% | 0.25% + GST | 50 Lakhs | 30 Years |
| Karnataka Bank Home Loan | 9.08% – 10.38% | 0.50% – 2% | 5 Crores | 30 Years |
| Karur Vysya Bank Home Loan | 9.23% – 12.13% | ₹2500 – ₹7500 + GST | – | 25 Years |
| Kotak Mahindra Bank Home Loan | 8.85% – 9.40% | 0.50% | 10 Crores | 20 Years |
| LIC HFL Home Loan | 8.70% | 0.30% onwards | 10 Crores | 30 Years |
| PNB Housing Home Loan | 8.50% – 10.85% | – | 2 Crores | 30 Years |
| Reliance Home Finance Limited Home Loan | 9.35% – 13% | 0.50% – 1.50% | – | 20 Years |
| South Indian Bank Home Loan | 7.95% – 9.60% | 0.50% + GST | 15 Crores | 30 Years |
| State Bank of India Home Loan | 9.55% | ₹2000 – ₹10000 + GST | 5 Crores | 30 Years |
| Sundaram Home Finance Ltd Home Loan | 6.95% – 8.30% | 0.50% | 4 Crores | 25 Years |
| Tamilnad Mercantile Bank Home Loan | 9.10% – 9.60% | 0.50% | 5 Crores | 30 Years |
| Tata Capital Limited Home Loan | 8.95% | 2% | 5 Crores | 30 Years |
| Union Bank Home Loan | 8.75% | 0.50% or ₹15000 + GST (whichever is lower) | – | 30 Years |
| Yes Bank Home Loan | 9.15% – 11.25% | 1.5% – ₹10000 (whichever is higher) | 10 crores | 35 Years |
Check out this page: Home Loan Interest Rates-February’ 2025
Things to Consider Before Availing a Home Loan in Mumbai
Before you choose the best home loan in Mumbai, consider the following essential factors:
- Eligibility criteria: Each lender has their own eligibility criteria that loan applicants need to fulfil. Make sure to carefully go through the requirements set for age, income, qualifications and job stability to avoid rejections.
- Interest rate: When it comes to loan terms, the home loan interest rate is considered to be the most important factor. Compare the rates offered by different lenders by carefully going through their websites. Read the fine print to know which rate applies to you.
- Loan amount: To make sure you can purchase your chosen home, check the lender’s maximum loan amount and loan-to-value ratio. You can also know the loan amount you are eligible for by using the lender’s home loan eligibility calculator.
- Tenure: The tenure plays an important role in determining the EMI amount. If you have chosen a home loan in Mumbai, you can increase the affordability of your loan by opting for a longer tenure. On the other hand, you can choose a shorter tenure if the costs are affordable for you to lower the total interest cost.
- Additional costs: Besides the interest rate, lenders charge processing fees, administrative fees, documentation fees, stamp duty, etc. In addition to these charges, check the costs that may apply if you choose to transfer or foreclose your loan.
- Different loan options: Before applying for a home loan in Mumbai, you will want to research the options available to you. This includes doing online research to compare different loan offers and choosing the right type of loan. Financial institutions offer fixed-rate, floating-rate and hybrid home loans, each with its own unique pros and cons.
Top 5 Locations To Buy Homes In Mumbai
Here are the leading locations in Mumbai for home purchases along with some supporting information:
- Bandra : This upscale neighborhood is a favorite among young professionals and celebrities alike. It offers a mix of old-world charm and modern amenities, with trendy restaurants, boutiques, and cafes.
- Andheri : Andheri is one of the most sought-after residential areas in Mumbai. It is home to some of the city’s largest malls, entertainment centers, and corporate offices. Andheri has excellent connectivity to other parts of the city via road, rail, and metro.
- Powai : This is a picturesque suburban neighborhood located on the banks of Powai Lake. It has excellent infrastructure, including reputed educational institutions, hospitals, and shopping centers. Powai also has a thriving startup ecosystem and is home to some of the best restaurants and cafes in Mumbai.
- Chembur : Chembur is a well-connected residential neighborhood in Mumbai. It is known for its green cover and offers excellent connectivity to other parts of the city. Chembur has a mix of old and new buildings, and the real estate prices are relatively affordable compared to other upscale areas in Mumbai.
- Thane : Thane is a rapidly developing suburb of Mumbai, located just outside the city limits. It offers a peaceful living environment and a wide range of housing options. Thane is well-connected to Mumbai via the Eastern Express Highway and the Central Railway line. It has excellent social infrastructure, including reputed schools, hospitals, and shopping centers.
Tax Benefits On Home Loan Rates In Mumbai
Home loans offer a number of tax benefits to the borrower. Here are the key tax benefits of home loans in Mumbai:
- Tax deduction on interest payment : Under Section 24 of the Income Tax Act, 1961, borrowers can claim a deduction of up to Rs. 2 lahks on the interest paid on a home loan for a self-occupied property. For a property that is rented out, there is no upper limit on the amount of interest that can be claimed as a deduction.
- Tax deduction on principal repayment : Under Section 80C of the Income Tax Act, 1961, borrowers can claim a deduction of up to Rs. 1.5 lakh on the principal repayment of a home loan.
- Tax benefits on joint home loans : In case of joint home loans, each borrower is eligible for tax benefits on the interest payment and principal repayment, based on their share of the loan.
- Tax benefits on pre-construction interest : Borrowers can claim a tax deduction on the interest paid during the pre-construction period, in five equal installments, starting from the year in which construction is completed.
- Tax benefits on stamp duty and registration charges : Borrowers can claim a deduction on stamp duty and registration charges paid during the purchase of a house, subject to a maximum limit of Rs. 1.5 lakh under Section 80C.
NOTE: Tax benefits are subject to changes in tax laws and regulations. Borrowers are advised to consult a tax expert for detailed information on the tax benefits of home loans.
