Lending major ICICI Bank reduced its home loan interest rate to 6.70 per cent, the company said on Friday. Accordingly, the revised interest rate — the lowest in 10 years by the bank — is effected from March 5. The bank in a statement said that this interest rate can be availed for home loans up to Rs 75 lakh.
Besides, for loans above Rs 75 lakh, interest rates are pegged at 6.75 per cent onwards. As per the statement, these revised rates will be available till March 31.
“We see resurgence in demand from consumers, who want to buy homes for their own consumption, in the past few months,” said Ravi Narayanan, Head – Secured Assets, ICICI Bank.
“We believe that this is an opportune time for an individual to buy his or her dream home, considering the prevailing low interest rates. We believe that with our completely digitised home loan process, including instant sanction for customers of any bank, everybody will find it immensely convenient to avail a home loan with us.”
In November 2020, ICICI Bank became the first private sector bank in the country to cross Rs 2 trillion (Rs 2 lakh crore)-mark in mortgage loan portfolio. Further, the bank informed that during its mortgage disbursements increased in Q3-2021 over Q2-2021 and reached an all-time monthly high in December 2020.
The growth in the mortgage portfolio was also aided by the Bank’s expansion of footprint across the country, including tier 2, 3 and 4 cities.