Retirement should be a time to enjoy the fruits of your hard work, not worry about finances. With IDBI Bank’s Reverse Mortgage Loan, senior citizens can unlock the value of their self-owned home to create a steady income stream. This loan helps those without enough savings to live comfortably by providing monthly payments, all while they continue to stay in their home. There’s no need to worry about repaying the loan during your lifetime—IDBI has got you covered.
IDBI Bank Reverse Mortgage Loan Highlights
Here’s a quick overview of the key features—interest rates, loan amounts, and fees—so you can decide if the home loan is the right choice for you.
| Aspects | Highlights |
|---|---|
| Interest Rates | 8.00% p.a. onwards |
| Loan Amount | Up to ₹2 Crore |
| Tenure | 20 years |
Suggested Read: Home Loan Prepayment vs. Retirement Investment
IDBI Bank Reverse Mortgage Loan Interest Rates
Check out the interest rates for home loan in 2025 to get an idea of your potential EMI and costs.
| Category | Rate of Interest |
|---|---|
| Salaried/Self Employed Professional | 8.00% – 10.60% |
| Self Employed Non-Professional | 8.35% – 12.10% |
| Home Loan Ultra Saver | 8.40% – 12.50% |
Suggested Read: The Growth of Affordable Housing in India
IDBI Bank Reverse Mortgage Loan Eligibility Criteria
Find out the basic eligibility requirements, such as age, income, and existing home loan status, before applying for a home loan.
| Criteria | Details |
|---|---|
| Age | Individual: ≥ 60 yearsJoint (Spouse): One ≥ 60 years, other ≥ 55 years |
| Citizenship | Indian Citizen |
| Property Ownership | Self-acquired/inherited, self-occupied residential property in India |
| Title | Clear title in the name of the applicant |
| Encumbrance | Property must be free from encumbrances |
| Permitted Uses |
|---|
| Renovation, upgradation, or extension of residential property |
| Home maintenance and insurance |
| Medical and family emergencies |
| Supplementing pension or other income |
| Any genuine personal need (excluding speculative/business use) |
Suggested Read: IDBI Bank Home Loan Customer Care
IDBI Bank Reverse Mortgage Loan Processing Fees
Understand the processing fees involved so you can factor them into your overall cost when opting for a home loan.
| Particulars | Card PF |
|---|---|
| All Loan Amounts | 0.50% – 1.00% of the loan amount Minimum: ₹10,000 |
Check Out: IDBI Bank Home Loan Interest Rate Calculator
IDBI Bank Reverse Mortgage Loan Other Fees and Charges
Be aware of any extra charges, such as prepayment penalties or overdue fees, that may apply to your home loan.
Foreclosure Charges (Plus taxes)
| Loan Type | Condition | Charge |
|---|---|---|
| Home Loans to individuals (Floating Rate) | – | NIL pre-payment/foreclosure charges |
| Mortgage Loans to individuals (non-business purpose) | – | NIL pre-payment/foreclosure charges |
| Mortgage Loans to individuals (business purpose) | Up to 12 months of disbursement | 3% on sanctioned loan amount |
| Beyond 12 months | 3% on outstanding loan amount | |
| Mortgage Loans to non-individuals | Up to 12 months of disbursement | 3% on sanctioned loan amount |
| Beyond 12 months | 3% on outstanding loan amount | |
| Fixed Rate Loan – Own Funds (≤ 6 months) | – | 2% on outstanding loan amount |
| Fixed Rate Loan – Own Funds (> 6 months) | – | NIL pre-payment/foreclosure charges |
| Fixed Rate Loan – Balance Transfer | – | 2% on outstanding loan amount |
Part Payment Terms and Conditions
| Loan Type | Condition | Charge |
|---|---|---|
| Home Loan | Max Number of Payments | Not more than one per month |
| Minimum Amount | ₹25,000 | |
| Mortgage Loan Variants | Max Number of Payments | 4 times per financial year |
| Max Amount (per financial year) | Up to 30% of sanctioned amount | |
| Minimum Amount | ₹25,000 | |
| Additional part/pre-payments beyond limit | Not allowed |
Penal Charges for Default/Delayed Payment
| Charge Type | Rate |
|---|---|
| Penal Interest | 2% per annum on overdue amount (plus applicable taxes) |
Property Inspection Charges (Plus taxes)
| Loan Type | Loan Amount Slab | Charge |
|---|---|---|
| Home Loan (Rural/Semi Urban/Urban) | Up to ₹35 Lakh | ₹750 |
| ₹35–₹75 Lakh | ₹1500 | |
| Above ₹75 Lakh | ₹2000 | |
| Mortgage Loans & Variants | Up to ₹50 Lakh | ₹750 to ₹1500 |
| ₹50–₹100 Lakh | ₹1250 to ₹2500 | |
| Above ₹100 Lakh | ₹2500 to ₹5000 |
Partial Property Release / Property Swapping Charges (Plus taxes)
| Charge Type | Amount |
|---|---|
| Property Swapping Charges | ₹25,000 * |
| Partial Release of Property | ₹10,000 |
Legal & Technical Charges for Home Loans (All Variants) – Plus taxes
| Property Location | Legal Charges | Technical Charges |
|---|---|---|
| Metro & Urban | ₹2500 | ₹2500 |
| Semi Urban & Rural | ₹2500 | ₹2500 |
Interest Rate Conversion Charges (Plus taxes)
| Conversion Type | Account Type | Charge |
|---|---|---|
| Floating rate → RLLR linked | Individual | ₹5000 |
| Floating rate → RLLR linked | Non-individual | 0.25% of outstanding loan amount |
| Home Loan Interest Saver → Regular Loan / Mortgage Loan | – | 0.50% of outstanding loan amount |
| Fixed Rate Loan → Floating Rate (prior to end of fixed term) | – | 0.50% of outstanding loan amount |
Other Charges
| Service | Charge |
|---|---|
| Cheque Book Issuance | ₹5 per leaf |
| Omni Pay Issuance | ₹1.10 per ₹1000; Minimum ₹53 |
| Other Charges | As per latest Schedule of Charges (SOC) of FDOD |
Suggested Read: Real Estate Investment in Bangalore
IDBI Bank Reverse Mortgage Loan Documents Required
Ensure you have all the necessary documents ready, from identity proof to income statements, to make the home loan application process smooth.
For Salaried Customers
| Document | Particulars |
|---|---|
| Application Form | Application form with photograph |
| Identity & Address Proof | Identity and residence proof |
| Bank Statement (3-month salary slips) | Latest salary-slip for the last 3 months |
| Tax Returns | Form 16 / ITR |
| Bank Statement (6-month account) | Last 6 months bank statement + processing-fee cheque |
For Self Employed Professionals
| Document | Particulars |
|---|---|
| Application Form | Application form with photograph |
| Identity & Address Proof | Identity and residence proof |
| Education Qualification | Certificates + proof of business existence |
| Tax Returns | Last 3 years income-tax returns (self & business) |
| Profit/Loss Statement | Last 3 years P&L and balance-sheet |
| Bank Statement | Last 6 months bank statements |
| Processing Fee | Processing-fee cheque |
For Self-Employed Non-Professionals
| Document | Particulars |
|---|---|
| Application Form | Application form with photograph |
| Identity & Address Proof | Identity and residence proof |
| Proof of Business | Proof of business existence |
| Business Profile | Detailed business profile |
| Tax Returns | Last 3 years income-tax returns |
| Profit/Loss Statement | Last 3 years P&L balance |
| Bank Statement | Last 6 months bank statements (self & business) |
| Processing Fee | Processing-fee cheque |
Must Read: Best Property Valuation Practices
How Does IDBI Bank Reverse Mortgage Work?
IDBI Bank’s Reverse Mortgage Loan is designed to help senior citizens unlock the value of their self-owned residential property without giving up ownership. Here’s how it works:
Repayment Terms
- The outstanding loan amount (principal + accrued interest) becomes repayable six months after any of the following events:
- Death of the last surviving borrower/spouse
- Permanent relocation of the borrower to:
- An old age home
- A care institution
- A relative’s residence
Disbursement Modes
| Mode | Details |
|---|---|
| Periodic Payments | Monthly, Quarterly, Half-Yearly, or AnnuallyMonthly cap: ₹50,000 |
| Lump Sum Payment | Up to 50% of total eligible loan amount, capped at ₹15 Lakhs |
| Combination Option | A mix of periodic payments and lump sum, as per borrower preference |
Suggested Read: Home Loans Available for Retired Persons
How to Apply for IDBI Bank Reverse Mortgage Loan?
The application process is easy—simply fill in your details, upload the required documents, and get started on your loan.
- Visit the official IDBI Bank website. Under “Loans” tab, click on “Loan Against Property and Its Variant.”
- Click on “Apply Now.” This launches the secure Retail Loan Application portal
- Choose whether you are an existing IDBI customer (Yes/No), then fill in the mandatory personal details—title, full name, age band, mobile number, and email address.
- Select your preferred contact time, state, city and nearest branch, then pick “Home Loan” from the Product Required drop-down list.
- Enter the CAPTCHA code, tick the consent box authorising the bank to contact you, and press “Submit.”
- Note the on-screen reference ID; you’ll also receive an SMS/email acknowledging your application.
- A loan officer will call or mail you shortly to collect KYC, income and property documents and guide you through e-signature or branch visit if needed.
Compare Top Banks Reverse Mortgage Loan Interest Rates
Explore home loan top-up offers from different banks to find the best deal that fits your needs.
| Bank/ NBFCs | Interest Rates |
|---|---|
| Bank of Baroda | 11.25% p.a. onwards |
| Bank of India | 10.85% p.a. onwards |
| Union Bank of India | 11.30% p.a. onwards |
| Indian Bank | 9.40% p.a. onwards |
| Indian Overseas Bank | Fixed Rate of Interest at MCLR +1.00% |
| Punjab National Bank | 12.60% p.a. onwards |
| Axis Bank | 11% p.a. onwards |
Conclusion
Credit Dharma is your trusted partner for securing the best Home Loan offers, with over ₹500 Cr+ loans handled and partnerships with 20+ leading banks. We provide exclusive access to the lowest interest rates and a seamless, digital process with fast approvals in just 1-2 weeks, backed by lifetime support from our home loan experts.
Why choose Credit Dharma? We provide:
- Lowest Interest Rates: Save more with every EMI.
- Maximum Funding: Get up to 100% funding for your dream home.
- Simple & Digital Process: No tedious paperwork or branch visits.
- Expert Guidance: Lifetime support from our team of specialists.
Compare, choose, and secure the best Home Loan offer with Credit Dharma — your home loan journey starts here!
Frequently Asked Questions
A reverse mortgage allows senior citizens to convert the equity in their self-owned home into a regular income stream, without the need to sell the property or make monthly repayments during their lifetime.
Yes, you retain ownership of your home. The reverse mortgage is a lien against the property, not a transfer of ownership.
Absolutely. You can live in your home for as long as you wish, provided you maintain the property, pay property taxes, and keep up with insurance.
Repayment is due when you sell the property, move out permanently, or pass away. Until then, no monthly repayments are required.
No, the income received through a reverse mortgage is not considered taxable income under Section 10(43) of the Income Tax Act, 1961.
Yes, your heirs can inherit the property. However, they will need to repay the loan, which can be done by selling the property or through other means.
Most reverse mortgages come with a “no negative equity” guarantee, meaning you or your heirs won’t owe more than the home’s value.
Yes, reverse mortgages in India are regulated by the National Housing Bank (NHB) under the guidelines issued for reverse mortgage products.
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