Bank of Baroda Home Loan Products



Established in 1908 by the Maharaja of Baroda, Bank of Baroda (BoB) is one of the top ten nationalized banks and second largest bank by assets in India. As of 2017, the Indian state-owned banking and financial services company has 5538 national and international branches. Bank of Baroda Home Loan products and services include personal & corporate banking, loans, wealth management, and investment banking. With over a century of experience, Bank of Baroda has been a long-time and trusted partner of millions of customers worldwide.


Product Offerings

Bank of Baroda home loan products is a mix of conventional, specialized and government schemes. Each of the products in BoB’s home loan portfolio either targets a specific need or a specific target group/scheme. For instance, they have separate product for home improvement, low-income housing scheme, and loan for senior citizens designed to serve different needs. 

Baroda’s Top Loan Products: Best-selling home loan products are the ones that are flexible and more inclusive in terms of loan amount, loan term, interest rates, and repayment clause. BOB’s most popular products include Baroda Home Loan, Baroda Home Loan Advantage and Baroda Pre Approved Home Loan that have the above-mentioned key features.

Baroda Home Loan: The flagship Baroda Home Loan caters to people with a wide range of needs and budget limitations, be it residents, NRIs, PIOs or OCIs. The maximum loan amount limit is Rs. 10 crores for Mumbai, and Rs. 5 crores for other metropolitan cities. The limit is 3 crores for urban areas and Rs. 1 crore for semi urban and rural areas. The same limits apply to Baroda Home Loan Advantage, and Baroda Pre Approved Home Loan applicants. With reasonable interest rates (lowest in the market) and repayment period of up to 30 years, it has many notable features and benefits. As compared to other banks, the key elements remains relatively equitable for salaried, self-employed and NRI applicants. This includes the interest rate, loan amount and tenure of repayment.

Here are some of the key benefits of Baroda Home Loan:

  • The loan amount eligibility can be enhanced by adding a close relative as a co-applicant, provided he is a co-owner of the property
  • Another great benefit of Baroda Home Loan is that free accidental insurance is offered to every borrower
  • Home loan borrowers can take advantage of a concession of 0.25% in the interest rate for car loans

Baroda Home Loan Advantage: BOB’s Baroda Home Loan Advantage is an upgraded version of their flagship home loan product, which amalgamates the traditional features with a savings account. To get this loan, borrowers need to link it with a BOB Savings Bank Account, from which the EMI is deducted. While it is a zero interest savings account, it enables borrowers to reduce the loan burden. When a borrower parks his/her money into the linked SB account, any amount higher than the EMI serves as a principal repayment. As a result, the EMIs are reduced. The excess amount deposited into the SB account can be withdrawn, if and when the need arises. With Baroda Home Loan Advantage, customer effectively earns interest at home loan rates instead of savings account rate, while enjoying the same benefit.

Here are some of the key benefits of Baroda Home Loan Advantage:

  • If a person deposits all his/her savings in the linked savings bank account, they can enjoy the benefit of maximum interest in the Home Loan account
  • The Baroda Home Loan Advantage interest rates are at par with the Baroda Home Loan interest rates, which can go as low as 8.30 % p.a. This is a rare advantage that only Bank of Baroda offers

Baroda Pre Approved Home Loan: Baroda Pre Approved Home Loan caters to people looking to get their finances organized before signing the property deal. With an assured loan amount, applicants can make an informed purchasing decision and snatch a better deal from builders and property developers. Applicants need to submit documents to prove their income and repayment capacity to get an in-principle approval which is valid for 4 months.

Here are some of the key benefits of Baroda Pre Approved Home Loan:

  • The bank takes the on-going interest rates, loan guidelines, earnings and repayment ability into consideration to calculate the eligible loan amount
  • The in-principle approval of eligible loan amount is valid for 4 months from the date of issue


Specialized Home Loan Products

The bank’s dedicated home loan products are centred on specific need of borrowers.

  • Home Improvement Loan
  • Baroda Top Up Loan
  • Baroda Ashray (Reverse Mortgage Loan)
  • Baroda Home Loan Suraksha Personal Loan

These are the four of specialized Bank of Baroda home loan products.

BOB offers a loan of up to Rs. 50 lakhs to existing and new borrowers to upgrade/renovate their property under its Home Improvement Loan. Borrowers (with loan limit of Rs. 2 lakhs and above) get a free credit card, which is complimentary for the first year.

Existing home loan borrowers can also take advantage of Baroda Top Up Loan to meet their immediate financial needs. The minimum amount that one can borrow under top up program is Rs. 1 lakh and maximum is Rs. 200 lakh. The top-up loan service can be availed by Baroda Home Loan customers during the loan period after meeting the minimum outstanding loan amount criteria.

Baroda Ashray (Reverse Mortgage Loan) is a specialized loan product for senior citizens of India who are above 60 years of age. The age limit is a little flexible for married couples, albeit conditions apply. The condition is that one of them is above 60 years of age and the other joint borrower is 55 years or above. The loan comes with a 15 years repayment tenure and Rs. 1 crore maximum loan amount limit, including interest.

Baroda Home Loan Suraksha Personal Loan is an excellent option for home loan borrowers looking to fund life insurance premium for Group Credit Life Insurance provided by IndiaFirst Life Insurance and Kotak Life Insurance. Existing as well as new home loan borrowers both can apply for Suraksha personal loan.


Government Home Loan Schemes

BOB also supports the Government of India’s various affordable housing schemes by offering low interest home loans.

  • Interest Subsidy Scheme For Housing the Urban Poor (ISHUP)
  • Credit Risk Guarantee Fund Scheme for Low Income Housing (CRGFS)
  • Pradhan Mantri Awas Yojana (PMAY)

These are the three such government-scheme based Bank of Baroda home loan products that enable people with modest income to buy their dream house. These schemes ensure that interest subsidy is provided to the Economically Weaker Section (EWS) and Lower Income Group (LIG) to buy or build houses. The loan and subsidy amount varies from scheme to scheme, income group and size of the property.