HDFC Home Loan vs Canara Bank Home Loan

Feature Comparison

When comparing home loan options between HDFC and Canara Bank, it's essential to evaluate key factors to find the best fit for your financial situation. HDFC offers an attractive interest rate of 8.75% - 9.65%, which is beneficial for those looking to minimise their monthly payments. In contrast, Canara Bank provides rates of 8.50% - 11.00%, potentially leading to more significant savings over the life of the loan.

HDFC presents a flexible loan tenure of up to Max 30 Years, ideal for borrowers who prefer lower monthly obligations. Conversely, Canara Bank offers loan tenures extending to Upto 30 years or upto 75 years of age of the borrower, whichever is earlier., which may appeal to those who aim to repay their loan faster and reduce the total interest paid.

When it comes to the maximum loan amount, HDFC allows borrowing up to 6cr - 10cr, making it suitable for purchasing high-value properties or premium real estate. On the other hand, Canara Bank caps the loan amount at Upto 5cr, which is ideal for more modest home investments.

Additionally, processing fees play a crucial role in the initial costs of your home loan. HDFC charges a processing fee of Upto 0.50% of the loan amount or Rs. 3300/- whichever is higher, whereas Canara Bank sets its fee of 0.50% (Min Rs.1500/-+GST and Max. Rs.10,000/-). It's important to factor in these fees when calculating the overall cost of your loan.

Conclusion

To choose a home loan that aligns with your financial objectives, it's crucial to evaluate key factors such as interest rates, eligibility criteria, loan tenure, maximum loan amounts, and processing fees. By thoroughly comparing these aspects of the home loan products offered by HDFC and Canara Bank, you can make an informed decision that best suits your needs.