I heard that the thumb rule for shifting home loan from one bank to another is that the new bank should offer a rate of interest at least 1% below your current bank. Is this true?
I came up with list of fees needed to be paid to new bank for transfer of loan. I took an example of a loan amount of 20 lakh rupees
a)Processing fees (1000rs)
b) Legal fees (3000rs)
c) valuation feed (1500rs)
d) Home loan insurance charges (around 40K for a 20 Lakh loan?)
e) stamp duty charges for mortgage(2000 assuming 1% of loan amount)
it comes to around 47K to shift home loan. is this estimate proper?are there any other fees apart from these ?