- Loan up to 90% of construction cost
- Low interest rate starting 7.20%
- Loan at all locations (with sale deed)
- Up to 4 tax benefits, 2.67 Lakh PMAY
- No bills require, construction link payment
- Solution on all properties, incomes
- Served 100s of customers like you
Banks / NBFCs We Deal With…
*Joy Loan operates as an independent Loan Strategist while structuring funding from India’s premier financial institutions.
We engineer multi-lender frameworks, strategically matching your profile with parallel banking committees to maximize leverage without conflicting files.
Home Construction Loan Locations, and 2022 Interest Rates
| Property Type / Location | With Approve Map | Without Approve Map |
|---|---|---|
| Approved Location | 7.10% | 8.25% |
| Leasehold | 7.10% | – |
| Extended Lal Dora | 8.25% | 8.40% |
| Lal Dora / Gram Panchayat | 8.25% | 8.40% |
| Unauthorized Colony | – | 8.25% |
| Fard / Jamabandi / Khatoni to Family Deed | 8.40% | 8.40% |
| Fard / Jamabandi / Khatoni to Sale Deed (Purchase) | – | 11.00% |
Home construction loan is available for construction up to third floor. You can also build a stilt floor for vehicle parking. Planning to buy a plot?
Take a plot and construction loan for greater benefits.
Best Bank for Construction Loan
Axis Bank, HDFC Ltd, and SBI construction loans are quite popular because of low-interest rates. For challenging cases, we help you get affordable rates from leading financial institutions.
| Bank’s Name | Lowest Rate Offer |
|---|---|
| Deutsche Bank | 7.10% |
| Axis Bank | 7.60% |
| BOB | 7.95% |
| HDFC Home Loan | 8.10% |
| ICICI Bank | 8.10% |
| IDFC First Bank | 7.95% |
| Kotak Mahindra Bank | 7.99% |
| LIC Housing Finance | 7.50% (freedom plan) |
| PNB Housing Finance | 7.50% |
| SBI | 7.55% |
Construction Loan Fees and Charges
- Processing fee ₹5000/- to 1.5% plus tax
- Legal and technical / valuation up to ₹5000/-
- For “non-standard” cases, Joy Loan’s coordination charges
For non-standard legal, income, or cases with property-related issues, we charge a small fee. This fee is a fraction of the amount you will spend with our competitors. Plus, you pay it only after the sanction of the loan.
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FAQ Home Construction Loan
How much construction loan can I get?
Financial institutions offer 80% to 90% loans on construction costs. But it also depends on your eligibility basis of income.
You invest remaining 10% to 20% as your contribution.
Can I get construction loan on my parental land?
Yes. Financial institutions need a “title document” for mortgages. You can easily create it by transfer/gift deed from Khatoni, Fard, Intikal records. However, we suggest you consult us before making these documents.
How to apply a construction loan?
Our loan expert will call you to understand your need and profile. Based on your property and profile, we will share your document’s checklist (by email or WhatsApp).
After you prepare the documents, we will fill the application form and apply for the loan.
How is construction loan disbursed?
After sanction of loan, you start construction with your share of 10% to 20% of the cost.
After that, bank disburses the construction loan in 3 to 6 installments. Installment numbers depend on the loan amount and number of floors you plan to build. They disburse subsequent installments basis of construction progress.
Can I get loan to build basement in building?
If you have approved map for constructing a basement, you can get a loan for it. Otherwise, banks do not finance it. In that case, the bank will finance construction costs basis of the remaining portion (excluding basement).
When my EMI starts?
Your EMI starts after disbursement of the last installment. Prior to this, banks charge only interest on the partially disbursed loan. This interest recovery is called Pre-EMI.
Check EMI on Construction Loan EMI Calculator
Club incomes of spouse and family members for higher eligibility.
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