LIC Housing Finance Hikes Home Loan Rate: Your residence mortgage EMI goes to be costly within the new 12 months. After HDFC, LIC Housing Finance has additionally made residence loans costlier. The firm has elevated the house mortgage rates of interest by 0.35 per cent, after which not solely new residence patrons will get residence loans at an costly price, however the EMIs of those that have already taken residence loans will turn out to be costlier.

The minimal residence mortgage price of LIC Housing Finance has elevated from 8.30 p.c to eight.65 p.c now. LICHF stated within the assertion that it has elevated the LIC Housing Prime Loan Rate (LHPLR) by 0.35 p.c associated to the rate of interest on the mortgage. Company’s MD and CEO Y Vishwanath Gowda stated, the speed hike has been accomplished protecting in view the market situations.

Let us know the way a lot the EMI burden will improve

On a house mortgage of Rs 25 lakh

Suppose an individual had taken a house mortgage of 25 lakhs from LIC Housing Finance at an rate of interest of 8.30% for 20 years, then he needed to pay an EMI of Rs 21380. But after rising the house mortgage rates of interest, he should pay an EMI of Rs 21,934 at an rate of interest of 8.65 per cent. That means each month Rs 554 extra EMI should be paid.

On a house mortgage of Rs 40 lakh

If an individual had taken a house mortgage of Rs 40 lakh for 20 years, on which he needed to pay an EMI of Rs 34840 at an rate of interest of 8.55 per cent. But now the rate of interest can be 8.90 p.c, in accordance with that, an EMI of Rs 35,732 should be paid. That is, each month Rs 892 extra EMI should be paid.

Effect of pricy repo price

On December 8, the RBI elevated the repo price by 35 foundation factors. After which banks to housing finance firms are rising the rates of interest. In 2022, RBI has elevated the repo price from 4 p.c to six.25 p.c in 5 phases.

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