Buying a home is more than just a financial investment—it’s a lifelong dream for millions of Indians. Traditionally, banks were the first choice for financing this dream. But in recent years, NBFCs (Non-Banking Financial Companies) have emerged as strong competitors in the housing finance market. The demand for an NBFC bank home loan has risen significantly, offering borrowers a blend of flexibility and convenience that banks often lack.
In this article, we will explore why NBFCs are becoming popular for home loan, compare them with banks, and understand how leading providers like Sammaan Capital are redefining the borrowing experience.
The Rise of NBFCs in India’s Housing Finance Market
NBFCs were once considered secondary options, but today they account for a significant share of the housing finance sector. There are several reasons for their popularity:
- Flexible Eligibility Criteria – Unlike banks that often demand high credit scores and steady income proofs, NBFCs cater to a wider borrower base, including self-employed professionals and small business owners.
- Quick Approvals and Disbursements – Speed is one of the biggest advantages. For individuals looking to purchase a property quickly, NBFCs provide hassle-free processing.
- Higher Loan-to-Value Ratio – In many cases, NBFCs finance a larger portion of the property’s value compared to banks, which helps buyers reduce the burden of arranging high down payments.
- Customer-Centric Approach – NBFCs focus on designing personalized loan products that suit the diverse needs of borrowers.
NBFC Bank Home Loan vs. Traditional Banks
For years, banks dominated the housing loan space, but today’s homebuyers have started comparing banks with NBFCs more closely. Here’s how they differ:
1. Interest Rates
- Banks: Offer lower home loan rates, usually linked to external benchmarks like the RBI repo rate.
- NBFCs: May have slightly higher interest rates but often balance this with flexible terms and quick service.
2. Eligibility Requirements
- Banks: Require stable income, extensive documentation, and a strong credit history.
- NBFCs: Provide more relaxed eligibility, catering to salaried and self-employed borrowers alike.
3. Loan Amount
- Banks: Usually finance up to 75–80% of the property value.
- NBFCs: Can finance a higher percentage, making it easier for buyers to manage upfront costs.
This home loan interest comparison highlights that while banks are ideal for those with strong financial backgrounds, NBFCs are more inclusive, giving opportunities to a wider audience.
Why NBFCs Are Becoming the Preferred Choice
The popularity of NBFCs is driven by more than just flexible eligibility. Borrowers are increasingly valuing convenience, speed, and accessibility over minor cost differences. Here are key reasons why NBFCs are becoming the go-to option:
- Personalized Loan Products – Tailored repayment schedules and adjustable loan structures.
- Technology Integration – Many NBFCs now provide seamless digital platforms for loan applications, EMI tracking, and customer support.
- Better Outreach – NBFCs have expanded their presence in semi-urban and rural markets, making housing finance accessible to more Indians.
Sammaan Capital: A Trusted NBFC for Home Loans
When discussing NBFCs gaining popularity, Sammaan Capital deserves special mention. Known for its customer-first approach, Sammaan Capital is steadily becoming a top choice among homebuyers who want an easy, reliable, and affordable lending partner.
Why Borrowers Choose Sammaan Capital:
- Quick Loan Processing – Faster approvals and disbursements help buyers act on property deals without delays.
- Flexible Eligibility – Suitable for both salaried employees and self-employed individuals.
- Competitive Rates – Affordable rates that make repayment manageable while ensuring accessibility.
- Transparent Process – Clear documentation and straightforward policies help borrowers make informed choices.
By offering these benefits, Sammaan Capital positions itself as one of the providers delivering the best home loan in India, especially for those who value both affordability and convenience.
Home Loan Interest Comparison: NBFCs vs. Banks
For borrowers making a decision, a home loan interest is crucial. While banks might have slightly lower interest rates in some cases, NBFCs often provide more value through higher loan amounts, flexible repayment terms, and easier accessibility.
Consider this scenario:
- A salaried individual with a strong credit score might save more by choosing a bank loan.
- A self-employed professional with inconsistent income might find an NBFC bank home loan with Sammaan Capital more suitable due to its relaxed eligibility.
The choice isn’t about which is universally better—it’s about which is better for you.
Tips for Choosing Between Banks and NBFCs
- Evaluate Interest Rates – Use a home loan calculator to understand the long-term impact.
- Check Eligibility Criteria – Ensure the lender matches your income type and credit profile.
- Compare Loan-to-Value Ratios – Higher financing can ease your upfront burden.
- Look Beyond Rates – Consider customer service, repayment flexibility, and transparency.
Conclusion
The increasing popularity of NBFCs is reshaping India’s home loan landscape. With their flexible eligibility, faster processing, and customer-focused services, NBFCs are proving to be strong competitors to banks. Borrowers seeking the best home loan in India are no longer just comparing interest rates—they’re also valuing convenience and inclusivity.
Providers like Sammaan Capital exemplify why NBFCs are gaining traction. By blending competitive pricing with flexibility and transparency, they offer a well-rounded solution for modern homebuyers.
Whether you choose a bank or an NBFC, the key lies in understanding your financial profile and conducting a proper home loan interest comparison. For many borrowers today, an NBFC bank home loan is not just an alternative—it’s the smarter, more practical choice for achieving the dream of homeownership.
