OBJECTIVE
To provide home loan options for borrowers interested in purchasing a residential plot and constructing a house on that plot.
LOAN EXTENT
- The loan amount for purchasing a residential plot shall not exceed 60% of the eligible loan amount.
- For the construction portion of the loan, the sanctioning authority must verify the estimated costs, considering the project’s scope, materials, labor costs, and other expenses. Certificates from qualified engineers or architects may be required as deemed necessary.
- AGM RAM/iRAM, CHCAC, and higher authorities may authorize loan amounts for the purchase of residential plots up to 70% of the eligible loan amount.
- ZOCAC and above may approve loan amounts for purchasing residential plots up to 80% of the eligible loan amount.
Margin Requirements
- Housing Loan up to ₹30 lakhs: 20% / 15%#*
- In case of 15%: A higher interest rate than the card rate will be applied in such cases.
- Housing Loan above ₹75 lakhs: 20%
- Housing Loan above ₹30 lakhs and up to ₹75 lakhs: 25% / 20%@
- For 20%: Borrowers must have a CIC score of 680 or above, or -1 & 0. In the case of joint borrowers, each individual must meet the same CIC score criteria of 680 or above, or -1 & 0.
Moratorium
The total moratorium period will be 18 months from the date of the first disbursement for the purchase of a residential plot and the construction of a house, whichever comes first. AGM RAM/iRAM, CHCAC, and higher authorities may extend the moratorium period up to 24 months for the purchase of a residential plot and the construction of a house.
Important Points
- If the construction of the house is not completed within three years from the date of the loan disbursement for the plot, or if the plot/land is sold, a penal interest of 2% will be applied in addition to the prescribed interest rate, effective from the date of the loan disbursement.
- Scheme Code: TLHCO