Can I get 100% financing on a home loan?

As per RBI guidelines, financial institutions cannot provide 100% financing on home loans. The maximum permissible loan amount is up to 90% of the property's value. This guideline primarily ensures borrowers have sufficient equity contribution and minimises the risk of defaulting on EMIs if property prices fall.

Most banks and NBFCs typically offer home loans up to 75-85% of the property's value based on individual eligibility and repayment capacity assessment. Factors like income, credit score, and existing liabilities determine the maximum home loan you can avail of.

Opting for the highest permissible 90% financing also attracts higher interest rates as it is riskier for home loan providers. Evaluate your finances and debt obligations before deciding on the loan amount.