When you take a home loan in addition to the Equated Monthly Installment (EMI), you have to pay various applicable charges on that home loan. These charges will vary across lenders (banks, housing finance companies and non-banking finance companies). In addition, some lenders may charge separate fees while others may combine different charges together. Some charges are fixed amount, while others are linked as a percentage of the home loan amount. It is important to be aware of these charges, as they will add to the total cost of the home loan.

Here’s a look at 11 charges that a borrower will have to pay on his home loan. (Keep in mind that not all of these fees may apply to every borrower, so read your loan documentation carefully to get a complete picture of fees.)

1. Login Fee: Also known as application fee, it is an initial fee charged by the lender to evaluate the loan application. At this stage the lender assesses whether the application has all the relevant and accurate information along with the documents required for further processing.
2. processing fee: During the credit underwriting process a loan application is evaluated on several parameters which include KYC verification, financial appraisal, employment verification, residence and office address verification, credit history assessment etc., which involves manpower and resources. A lender recovers all costs related to the credit underwriting process through processing fees. Some lenders charge a similar fee processing fee While others typically charge a variable processing fee of up to 2% of the loan amount. For example, LIC Housing Finance charges a flat fee of Rs 10,000 for loans up to Rs 50 lakh, while it charges a flat fee of Rs 15,000 for loans above Rs 50 lakh, according to its website. Many lenders that charge a variable fee also have a limit on these charges. For example, according to its website, HDFC charges 0.5% of the loan amount as processing fee, but has a maximum limit of Rs 3,000, which is the maximum amount of processing fee. According to the ICICI Bank website, the bank charges a processing fee of 0.50-2% of the loan amount or Rs 1,500 (Rs 2,000 for Mumbai, Delhi and Bengaluru), whichever is higher along with applicable GST.
3. Technical Evaluation Fee: Lenders employ technical experts to assess the physical health and market value of the property for which the home loan is taken. These experts appraise the property on several parameters like statutory approval, layout approval, building specifications, compliance with construction norms etc. They also determine the market value of the property through various means including cost of land and construction cost. While many lenders include this fee in their processing fee, some lenders charge it separately.
4. legal fee: For a lender, the most important practice remains to ensure that the property they are appraising for financing should not have any legal disputes. To do this, lenders employ certified legal experts who examine the relevant legal aspects such as the soundness of the title deed, the threads of ownership of the property and depreciation, no-objection certificate, occupancy certificate, etc., and give the lender its final approval. Opinions whether they should go ahead with the loan or not. Most lenders ask borrowers to pay legal fee Directly to the empaneled legal expert.
5. Franking Fee: Franking is the process of stamping your home loan agreement, usually through a machine, thus confirming that you have paid the required stamp duty. The franking of the home loan agreement is usually done by banks or agencies authorized by the government. This fee is applicable only in some states of India like Maharashtra and Karnataka. The franking fee is generally 0.1% of the home loan value.
6. Pre-EMI Charges: After disbursement of the home loan if the borrower gets delayed in getting the possession of the house, the lender charges a simple interest called pre-EMI till the borrower gets the possession of the house after which the EMI payment starts Will go
7. Statutory or regulatory fees: These are the charges that are collected by the lender on behalf of the statutory bodies in the process of availing the home loan. This is mostly in the form of stamp duty and GST on various charges which are collected by the lender and paid to the government.
8. Revaluation Fee: Home loan application approval comes with a limited validity period. If your loan is approved but you do not make the disbursements for a longer period, the lender will go for a re-evaluation of your loan application. This period varies across lenders and can usually be up to six months. For example, HDFC charges a revaluation fee of Rs 2,000 in cases where the six-month initial approval expires, where the borrower is a salaried individual.
9. insurance premium: Many lenders ask borrowers to take out insurance for any physical damage to the property such as fire or home insurance. Some lenders encourage borrowers to take advantage of debt protection life insurance policies so that their legal heirs do not have to worry about outstanding loans if something happens to the borrower. So, if you decide to take an insurance policy along with the home loan, you will have to pay insurance premium — This is often a single premium policy that lenders are often prepared to finance.
10. Notary Fee: If you are an NRI and taking a home loan, you may have to do some additional paperwork. Your KYC documents and POA (Power of Attorney) need to be notarized by the Indian Embassy or local notary available abroad for which you will have to pay the applicable fee.
11. Adjudication Fee: To start the process of home loan application, if you are a POA holder of an NRI, you need to get the notarized POA adjudication in India for which you will have to pay the relevant fee.