ICICI Bank to re-launch teaser home loan

Private sector lender ICICI Bank has re-launched its special reduced home loan plan that ended on March 1, 2010 that would allow consumers access to home loans beginning 8.25 per cent for the fiscal to March 2011, and 9 per cent for 2012, and the existing floating rate thereafter.

The reduced rate or the teaser loan rate, which will now continue till 30 April, is expected to boost the bank's lending and attract more people to the bank, say analysts.

Earlier, after the downturn, the bank had offered home loans at 8.25 per cent for two years.
State Bank of India and HDFC are already offering teaser rates for homebuyers.

Last month, State Bank of India extended its 8 per cent special home loan scheme till April 30.

Under the SBI scheme, a home loan borrower will be required to pay 8 per cent in the first year and 9 per cent in the second and third years of the loan period.

Last week, HDFC also re-introduced teaser rates on the same lines as of ICICI (See: HDFC revives teaser home loan rates).

HDFC disbursed Rs33,527 crore in the first nine months of 2009-10, against Rs27,211 crore in the corresponding period of 2008-09.