Which Loan is cheaper, Home or Mortgage?

A mortgage loan is a loan given by a bank or a financial institution against security. A mortgage loan is a type of secured loan, which means the lender can forfeit your security if you do not pay back the loan within the loan tenure.

Home loans, on the other hand, are loans provided by banks or financial institutions to buy or build a house or a residential property.

Home Loans 
Are given by banks or financial institutions to purchase a residential property.
The property serves as collateral to secure the loan.

Mortgage Loans 
Are secured loans where the borrower has to give security (like land, property, securities, insurance, gold, etc.)

Very few loans in India are mortgage free loans. Except for personal loans, most other loans are mortgage loans. Home loan is also a type of mortgage loan.

A home loan is cheaper than a mortgage loan because home loan interest is lesser than mortgage loan interest. A mortgage loan is often obtained for repaying an existing loan/debt and the credit risk involved in mortgage loans is considered to be higher than in home loans. This is why mortgage loan interests are higher than home loan interests.

Also Read: What is the difference between a home loan, mortgage loan and a loan against property?