Home Loan for Resale Flats

✓ Home Loan from ₹2 Lakhs To ₹15 Cr ✓ Multiple Lending Partners ✓ Interest Rates Starting @ 8.50%

If you are someone who is looking to buy a house and move in immediately, a preowned home or a resale flat is probably the option for you. Going for such a home can also save you a lot of money. Additionally, it can save you a lot of time as you will not have to wait to possess an under-construction home. Fortunately, banks offer loans for such properties too. This article will take you through every benefit of going for a resale flat and detail of a home loan meant for pre-owned properties. Read on.

Advantages of Buying a Resale Flat

  • Immediate Possession: You can take possession of a resale flat as soon as the home loan amount is disbursed (unless the home is being renovated or re-furnished).

  • Saves you Money: Home loans for resale work out to be more cost-effective as compared to the credit taken for a newly built/under-construction flat as resale flats are generally cheaper because of depreciation due to the age of the property.

  • Helps With Tax Savings: You can avail tax benefits on a housing loan right from the moment you begin repaying it under sections 80C and 24 of the Income Tax Act, 1961.

Banks and NBFCs That Offer Home Loans for Resale Flats

Some of the leading banks and NBFCs that offer loans for resale flats are:

Bank Name

Interest Rate
(per annum)

Processing Fees

Bajaj Housing Finance

8.60% onwards

Up to 0.35% of the loan amount

PNB Housing Finance

8.50% onwards

Up to 0.5% of the loan amount

Home First Finance Company

9.50% onwards

Anywhere between ₹9,990 - ₹21,990

Union Bank of India

8.60% onwards

0.50% of the loan amount or ₹15,000 (whichever is higher)


8.75% onwards

(₹3,000 + 18% GST) + (Higher of ₹5,000 or 0.25% of the loan amount + GST)

Disclaimer: The rates and charges mentioned above are subject to change at the discretion of the lender.

Resale Flat Home Loan Eligibility Criteria

You must be at least 18 years old to qualify for a resale flat home loan. The maximum age and the income criteria can vary from lender to lender and city to city.

How to Apply for a Resale Flat Loan?

You can easily apply for a home loan for resale flats through Bajaj Markets by following the process given below:

  1. After logging in, share information pertaining to your identity, income, and the resale flat you wish to purchase.

  2. Once all the information is entered and verified successfully, you should receive your resale flat home loan amount within a few days.

Home Loans for Resale Flats: Document Checklist

The following documents must be submitted while applying for a home loan for a resale flat:

  • Duly-filled application form

  • Passport-size photographs of the applicant

  • Bank account statements going back at least 6 months

  • PAN card, Voters ID, Passport, Aadhaar card, driving licence

  • Poof of business income must be submitted in the case of self-employed applicants

  • Property-related documents such as the sale agreement, allotment letter, and a non-encumbrance certificate must be submitted while applying

Maximum Repayment Tenure for Resale Flat Home Loans

Loan repayment tenures vary from lender to lender and are dependent on various factors. The age of the applicant, the age of the property at the time of the maturity of the loan, and the institutions policies are some of the factors that affect the loan repayment tenure.

Tax Benefits of Home Loans for Resale Flats

Under the Income Tax Act of 1961, you can avail tax benefits on a home loan for resale flats under the following sections:

  • Section 80C: Under this section, you can claim a tax deduction of up to ₹1.5 Lakhs for the Equated Monthly Instalments (EMIs) you will pay towards servicing your loan account.

  • Section 24: This section will allow you to claim tax deduction of an additional ₹2 Lakhs on the interest component of the EMIs you pay yearly.

Impact of Goods and Services Tax (GST) on Home Loan for Resale Properties

Given that a flat is an immovable property, it is not taxable under the GST regime. However, the seller of the property will have to bear stamp duty and registration charges. These vary from state to state and are taxable as per the GST law at 18%.


To sum it up, going for a resale flat could prove to be a better option for you as compared to moving into a newly-built house. If you are looking for a home loan for a resale flat, you can take one from one of our lending partners itself. A user of Bajaj Markets can avail benefits such as competitive interest rates, balance transfer facilities, and flexible home loan repayment tenures, among others. Apply now!