20,00,000 people visited this section in last 30 daysApply Online

Get Voucher of Upto ₹ 1,000* on Home Loan Apply Online

MyLoanCare Customer Ratings - 4.5/5.0 Apply Online

Home Loan Interest Rates

Home Loan Interest Rate All Bank

Last Updated 23rd May 2022

Bank Home Loan Rate Processing Fee EMI Per Lakh
SBI 6.65% 0.50%, Min ₹ 1,000 ₹ 642
HDFC 7.00% 0.50%, Min ₹ 3,000, Max ₹ 10,000 ₹ 665
Bank of Baroda 6.50% Min ₹ 7,500 ₹ 632
ICICI Bank 7.10% 0.25% ₹ 672
Apply for Home Loan @ 6.50%* Get upto ₹ 1,000* Voucher

Compare Home Loan Interest Rates of All Banks 2022

Bank Home Loan Rate Benchmark Type Processing Fee
SBI Home Loan Interest Rates
Compare
6.65% RLLR 0.50%, Min ₹ 1,000
HDFC Home Loan Interest Rates
Compare
7.00% PLR 0.50%, Min ₹ 3,000, Max ₹ 10,000
Citibank Home Loan Interest Rates
Compare
6.50% TBLR NIL
Bank of Baroda Home Loan Interest Rates
Compare
6.50% RLLR Min ₹ 7,500
ICICI Bank Home Loan Interest Rates
Compare
7.10% RLLR 0.25%
Axis Bank
Compare
7.00% RLLR 0.20% , Min ₹ 2,021, Max ₹ 25,000
PNB Housing Finance
Compare
6.99% PLR 0.50%, Min ₹ 10,000
LIC Housing Finance
Compare
6.95% PLR 0.25%, Min ₹ 10,000, Max ₹ 11,800
Bajaj Home Finance
Compare
6.75% PLR 0.30%
Sundaram Home Finance
Compare
6.95% PLR NIL
Kotak Bank
Compare
7.00% RLLR 0.50% , Max ₹ 10,000
Yes Bank
Compare
6.65% 1 Year MCLR 1.00%, Max ₹ 10,000
Syndicate Bank
Compare
6.95% RLLR 0.13% , Min ₹ 500, Max ₹ 5,000
IDFC First Bank
Compare
6.50% RLLR Min ₹ 10,000
India Shelters
Compare
12.00% PLR 2.00%
Edelweiss
Compare
8.00% PLR 0.25%

Current Home Loan Interest Rates

As on 23 May, 2022, home loan interest rates range from 6.35% to 20.00%. You can avail of the lowest rates on home loans if you are an existing bank customer or working with top corporations. Currently, Citibank offers the lowest home loan interest rate of 6.35%. Apart from the interest rate, banks also charge processing fees and penalty fees for pre-payment, foreclosure, and late payment.

Home Loan Rates and Charges

The table below mentions the current home loan interest rates and charges.

Bank Name Interest Rates Processing Fee Foreclosure Charges Charges Post Loan Disbursement
Bank of Baroda 6.50% Min ₹ 7,500 Nil for floating rates
  • Repayment mode/Cheque Swap Charges - Nil
  • Charges for Statement of account / amortization schedule - ₹ 1000
IDFC First Bank 6.50% Min ₹ 10,000 Nil for floating rates
  • Repayment mode/Cheque Swap Charges - ₹ 500
  • Cheque Cancellation Charges - ₹ 500
  • Document Retrieval Charges - ₹ 500
  • Duplicate No Objection Certificate - ₹ 500
Yes Bank 6.65% 1.00%, Max ₹ 10,000 Nil for floating rates
  • Repayment mode/Cheque Swap Charges - ₹ 500
  • Document Retrieval Charges - ₹ 500
  • Duplicate No Objection Certificate - ₹ 100
  • Charges for Statement of account / amortization schedule - ₹ 100
  • Loan Cancellation Charges - ₹ 2000
Axis Bank 7.00% 0.20% , Min ₹ 2,021, Max ₹ 25,000 Nil for floating rates
  • Repayment mode/Cheque Swap Charges - ₹ 500
  • Cheque Cancellation Charges - ₹ 500
  • Document Retrieval Charges - ₹ 500
  • Duplicate No Objection Certificate - ₹ 100
HDFC 7.00% 0.50%, Min ₹ 3,000, Max ₹ 10,000 Nil for floating rates
  • Repayment mode/Cheque Swap Charges - ₹ 500
  • Cheque Cancellation Charges - ₹ 500
  • Document Retrieval Charges - Up to ₹ 500
Kotak Bank 7.00% 0.50% , Max ₹ 10,000 Nil for floating rates
  • Repayment mode/Cheque Swap Charges - ₹ 500
  • Duplicate No Objection Certificate - ₹ 500
  • Loan Cancellation Charges - 0.10% of Loan Amount or ₹ 25,000 whichever is higher
ICICI Bank 7.10% 0.25% Nil for floating rates
  • Repayment mode/Cheque Swap Charges - ₹ 500
  • Cheque Cancellation Charges - ₹ 500
  • Document Retrieval Charges - ₹ 250
  • Duplicate No Objection Certificate - ₹ 50
  • Charges for Statement of account / amortization schedule - ₹ 250
Indiabulls 7.60% 0.50% Nil for floating rates
  • Repayment mode/Cheque Swap Charges - ₹ 500
  • Cheque Cancellation Charges - ₹ 500
  • Charges for Statement of account / amortization schedule - ₹ 200

Home Loan Interest Rates For Salaried

The housing loan interest rate for salaried individuals starts at 6.50%. However, you can avail the lowest rate if you have a good CIBIL score and repayment history. Also, the lenders offer home loans at lower rates if you want to avail the lower loan amount. The table below mentions the home loan rates of top banks for both male and female borrowers.

Bank Name Home Loan Interest Rate Home Loan Rates for Female Borrowers
Bank of Maharashtra 6.35% 6.35%
SBI 6.65% 6.65%
Yes Bank 6.65% 6.65%
Axis Bank 6.70% 7.05%
PNB 6.75% 7.15%

Self Employed Housing Loan Interest Rate

If you are self-employed between 18 to 70 years, you can avail of home loans from top banks and NBFCs. The leading banks offer the lowest rates starting at 6.50%. Following are the interest rates provided by different banks for home loans.

Bank Name Home Loan Interest Rate Home Loan Rates for Female Borrowers
Bank of Maharashtra 6.60% 6.60%
SBI 6.65% 6.70%
Yes Bank 6.65% 6.65%
Axis Bank 6.70% 7.05%
Corporation Bank 6.85% 6.85%

Home Loan Rates for Government Employees

If you are a government employee and want to avail of a home loan, you have an added benefit as you can get a lower interest rate than the general public.

Bank Name Interest Rate Benchmark
DBS Bank % RLLR
Bank of Maharashtra 6.35% RLLR
HSBC Bank 6.45% RLLR
Bank of Baroda 6.50% RLLR
Bank of India 6.50% RLLR

Housing Loan Rates for Women

Various leading top banks and NBFCs offer discounted rates for women borrowers. As per the current rates, Bank of Maharashtra offers the minimum rate on a home loan for women. The bank also charges a processing fee of . Check top home loan lenders for women borrowers in this table:

Bank Name Interest Rate Tenure
Bank of Maharashtra 6.35% 30 years
SBI 6.65% 30 years
Yes Bank 6.65% 25 years
Corporation Bank 6.80% 30 years
Standard Chartered Bank 6.99% 20 years

Floating Rate Home Loan V/s Fixed Rates Home Loans

Fixed rate of interests: If your loan is on a fixed interest rate, the rate of interest charged on the loan amount remains constant throughout the loan tenure which means your home loan EMI also remains constant throughout the repayment schedule.The biggest advantage of taking home loans at a fixed rate is that your Home Loan EMI remains constant and it allows you to manage your finances easily. These loans are easily the best if you expect the interest rates to go up in the near future. However, the flip side of fixed rate loans is that if market interest rates go down, you would still be paying high interest and hence, may end up in a loss. Some of the top banks that offers fixed or semi-fixed rate on home loan are:

Bank Name Interest Rate Processing Fee
ICICI Bank 8.20% 0.25%, Min ₹ 3,000, Max ₹ 5,000
Standard Chartered Bank 6.99% 0.25%, Min ₹ 5,000, Max ₹ 10,000
HDFC 7.05% 0.25%, Min ₹ 3,000, Max ₹ 10,000
PNB Housing Finance 10.75% 0.25%, Min ₹ 10,000

Floating rate of interest: If your loan is on floating rate of interest, your home loan rate is not fixed and keeps changing over the tenure of the loan. In floating interest rate home loan, the rates are linked to the external benchmarks like Repo Rates or T-Bill Rates that are market determined. Your Home Loan EMI may increase or decrease subject to changes in interest benchmark rates. You may opt to change the tenure of the loan, if you want to keep your EMI stable and not fluctuate with any rate changes.Floating rates are best suited when interest rates in the economy are on a declining trend. The flip side is that if interest rates go up, your EMIs may also go up which may negatively impact your monthly budget. The table below captures the various types of floating rate loans as defined by the external benchmark.

Bank Name Floating Interest Rate Processing Fee
SBI 6.65% 0.40%, Min ₹ 1,000, Max
HDFC 7.00% 0.40%, Min ₹ 3,000, Max ₹ 10,000
Citibank 6.50% 0.40%
Bank of Baroda 6.50% 0.40%, Min ₹ 7,500
ICICI Bank 7.10% 0.25%, Min ₹ 3,000, Max ₹ 5,000

How is Home Loan Interest Rate Calculated?

There is a difference in the way banks and HFCs in India calculate home loan rates. Banks have been instructed by RBI to use an external benchmark rate like repo rate or treasury bill rate for rate calculation, while housing finance companies rate still use an internal benchmark PLR to price their loans.

Formula used by banks to calculate rates on home loans is External Benchmark rate + Markup. Banks add a markup which includes profit margin, operations cost and credit risk. Most of the top banks now link their home loan to repo rate which is announced in the RBI monetary policy. Any change in repo rate results in a similar increase or decrease in home loan rates for loans taken on floating rate.

Formulas used by NBFCs to calculate rates on home loans are PLR + or - Markup. PLR, popularly known as Prime Lending Rate is an internal benchmark rate of NBFCs that is estimated using their cost of funds, cost of operations, processing fees and their profit. Often, NBFCs set a high PLR and offer rates at PLR-Markup as discounted rate to their customers.

Housing Loan Rates linked to external benchmarks are easy to understand and more transparent from the point of view of home loan borrowers.

Particular Definition Lowest Rate Which rate type is currently used?
Base Rate linked Home Loan It is a rate which is set by the Reserve Bank of India and below which a lender cannot charge interest rate. Base rate was used before April 1, 2016. 5.90% Banks have discontinued base rate and have now shifted to RLLR. However, few borrowers continue to hold base rate linked loans from the past.
MCLR linked Home Loan MCLR was introduced on April 1, 2016. Marginal Cost of Fund based Lending Rate (MCLR) is the internal benchmark rate used by banks to fix the interest rate on floating rate loans. 5.90% MCLR rate-based loan have been discontinued. However, few borrowers continue to hold MCLR rate linked loans from the past.
PLR linked Home Loan Prime Lending Rate (PLR) is an internal benchmark rate used by NBFC and HFC to sanction home loans on floating rate. 14.35% All NBFCs and HFCs continue using PLR as the benchmark rate to fix their home loan rates.
Repo Rate linked Home Loan (RLLR) Repo rate is the interest rate at which the RBI lends money to commercial banks to provide short term funds requirements. 4.40% Repo rate is now used as an external benchmark for fixing the price of home loan by all banks like SBI, HDFC, ICICI in India.

What are the Factors that Affect Home Loan Interest Rate?

Home loan interest rate is decided by the lender in accordance with the required terms and conditions to determine the home loan rate. However, there are certain factors taken into consideration to offer a home loan interest rate. These are listed as follows:

  • Interest rate type: The type of interest rate is distinguished into two-fixed and floating. In general, fixed home loan interest rate is higher than floating home loan interest rate.
  • Borrower’s credit score: A good credit score can help one grab a good home loan deal, while a lower credit score can force the home loan lender to charge a higher interest rate.
  • Occupation: Salaried individuals are likely to get a lower interest rate when compared to other employee types because salaried employees have fixed source of income.
  • Loan type: Home loan is an exclusive term that covers under its arm various home loan products such as home improvement loan, home renovation loan, and home purchase loan, among others.
  • Loan amount: A higher home loan amount will attract a lower home loan rate, while a small home loan amount will attract a higher interest rate.
  • Loan offers: In case one applies for a home loan with the applicable offers when the lender is offering various customer-centric promo offers, a negotiable home loan interest rate can be availed.

Home Loan Eligibility Calculator

You can check the home loan eligibility for the best banks based on your age, net income, existing obligations, property type, LTV ratio, and other factors. You can also add co-applicants to increase your loan eligibility. A maximum of 6 members can be added as co-applicant. High CIBIL score and stable job increases the chances of approval of your loan application.

Home loan Interest Rate Comparison on Loan Schemes

While all banks and HFCs in India offer multiple home loan schemes, some new schemes like Pradhan Mantri Awas Yojana and DDA are quite popular in India due to their unique features and special discounted rates. Banks like SBI, Axis Bank, Citibank, ICICI Bank, PNB and HDFC have many popular schemes for women loan borrowers, businessmen and existing bank customers. Some of the popular housing loan schemes have been captured in the table below:

Bank Home Loan Scheme Features Lowest Rate
SBI For Women Borrowers SBI, the largest public sector lender in the country, offers concessional home loan rates for women borrowers. The bank offers a discount of 05 bps than the regular home loan rates on various home loan schemes. 6.65%
Maxgain Under this scheme, you can avail of SBI home loans as an Overdraft wherein you are charged interest only on the used amount. The home loan account operates like a savings bank or current account wherein you can maximize savings on interest 7.35%
SBI Shaurya Home Loan SBI Shaurya Home Loan scheme is a dedicated home loan scheme for the Army and Defence Personnel of the nation. The eligible borrowers can avail of a home loan at lower interest rates with other added benefits like the ease of repayment, longer repayment period of the loaned amount. 7.35%
Axis Bank Home Loan Top Up If you want to avail extra funds of upto Rs. 50 Lakhs you can avail Axis Bank home loan top-Up Loan amount for multiple purposes such as the construction of residential/commercial property, personal requirements or for business purposes. 7.00%
Shubh Aarambh Home Loan With Axis Bank's Shubh Aarambh Home Loan, you can avail benefits of subsidy on interest under the PMAY scheme. Also, you can be rewarded with 12 EMI waivers if you have a good repayment record. 7.10%
HDFC HDFC Reach HDFC Reach is a specially designed scheme for micro-entrepreneurs and salaried individuals who want to purchase a house but may not have sufficient income documents. You can avail of a home loan with benefits like minimum documentation requirement, top-up facility and more. 8.75%
HDFC Trufixed Home Loan This type of home loan offers you a part term with a fixed rate interest and another part term with an adjustable rate of interest. Under this variant, you are able to avail a fixed rate for a maximum term of 3 years. After the tenure of 3 years, the loan automatically converts to an adjustable rate. 7.05%
Bank of Baroda Pre-approved Home Loan You can avail in-principle approval for a Home Loan prior to identification of a specific house/flat/plot under the Pre Approved Home Loan. Some of the other benefits of HDFC pre-approved home loans include greater flexibility in negotiations, assurance of eligible loan amount etc. 8.65%
Citibank Home Credit Loan Citibank offers a unique home credit loan that provides both the benefits of a regular term loan and a current account. It is basically an overdraft facility where all amounts deposited in excess of the threshold amount is transferred on a daily basis. 6.85%
Citibank T-Bill Home Loan Under the scheme, floating rate home loans are benchmarked to 91 days Govt. T-Bill rate, thus making them completely transparent 6.50%

RBI Monetary Policy Update

  • Repo Rate Remains Unchanged at 4%
    RBI has kept Repo Rate unchanged at 4% for the ninth time in a row. The reverse repo rate and CRR remain at 3.35% and 4%, respectively.

FAQs

When did Home Loan Rates Drop?

Yes, on 13 May 2021, the home loan rates have been cut by 0.15%, from 6.66% to 6.50%. As per the current rates, Citibank offers a home loan at the lowest rate of 6.50% . Previously, Bajaj Home Finance was providing the best rate starting at 6.66%

What is the current interest rate for Home Loans?

The present Home Loan interest rates ranges between 6.50% to 20.00%. Home loan rates are dependent on your loan amount. Lower the loan amount, lower is the rate. However, some banks offer same rates for all loan amounts. Compare and calculate the overall cost while searching for a home loan.

Which bank has the lowest housing rates of interest for the self-employed & salaried?

Generally, the home loan rates for self-employed are higher than those for salaried borrowers as banks perceive a higher credit risk for self-employed borrowers. DBS Bank offers the lowest housing rates to self-employed at an interest rate of 6.50%. If you are a salaried employee, you can avail of the lowest housing loan rates at %.

What is the EMI for 20 lakhs Home Loan?

The EMI for 20 lakhs loan at the latest Home Loan interest rate of 6.50% for the tenure of 30 years is ₹ 12,641.

Which banks give the cheapest Home Loan?

Lowest Home Loan interest rate in India is 6.50% which is offered by Citibank, Bank of Baroda, IDFC First Bank. Even after including the processing fees they charge on the loan, Citibank, Bank of Baroda, IDFC First Bank are the cheapest Home Loan providers in India.

Is balance transfer a good idea for Home Loan?

Yes, if you are getting a higher interest rate than the market rate and paying a higher EMI than other banks, then you can opt for housing loan balance transfer and reduce your monthly burden.Current lowest balance transfer home loan rate in India is %.

Which banks home improvement loan interest rates are best?

If you are looking to take a loan for home renovation or repairs, you can avail of a home improvement loan. As per the current rate, Citibank offers the lowest rates on home loan starting at 6.50%. Other banks that provide attractive interest rates for home improvement are Bank of Baroda, IDFC First Bank, Bank of India.

What are the documents required for home loan?

The documents required for a home loan varies based on your occupation. In general, you may however need to submit documents for identity proof, address proof, income proof, age proof, property documents etc. along with a home loan application form signed with photographs.

How can I check the total interest payout for my housing loan?

You can calculate the monthly EMI, total interest output for your housing loan using the MyLoanCare EMI calculator. It is an online tool that uses mathematical algorithms to calculate the interest you need to pay at the end of your tenure. It is calculated based on factors such as loan amount, rate of interest and loan tenure.

How to Reduce Home Loan Interest Rate Burden?

A home loan is a big responsibility that needs to be fulfilled in order to maintain one’s creditworthiness in the financial markets. However, the burden of home loans can always be reduced. This can be done by following the below mentioned:
(i) Transferring of home loans to lenders with the lowest home loan interest rate
(ii) Increasing home loan EMIs can help one get rid of home loan quickly
(iii) Prepayment or part payment of home loans can help you save on home loan interest and can reduce the EMI burden
(iv) Making home loan down payments can also reduce the burden, as due to the reduction in the principal amount, the home loan EMI is also reduced
(v) Opting for a longer loan tenure can distribute the EMIs finely. Thus the monthly home loan EMI burden can be altered

How does Repo Rate affect the interest rate of home loans?

Repo rate is the rate at which commercial banks borrow money from RBI. As the repo rate increases, banks can borrow money from the RBI at a higher interest rate. This, in turn, increases the home loan rates for individual borrowers. Similarly, a decrease in repo rate translates to lower home loan rates.

What are Home Loan Rates for Loan of ₹ 30 Lakh and below as of 23 May 2022?

The interest rate for a home loan of ₹ 30 Lakh and below is slightly lower than the loan rate for the higher loan amount. As per the current rates, Citibank offers the lowest rate on home loan for upto ₹ 30 Lakh starting at 6.50%.


Home Loan Reviews 4.3/5  by 971 customers
MyLoanCare Service
4.5/5.0
Banks Service
4.2/5.0
Nithin, Bangalore
Reviewed on 25th Mar 2022
5 / 5 stars
Bajaj Home Finance Home Loan Availed in Mar 2022

Good service. Multiple leads. Quick. Completed in 2 weeks.Read more...

AKUNDI, Hyderabad
Reviewed on 31st Jan 2022
4 / 5 stars
HDFC Home Loan Availed in Jan 2022

MyLoanCare loan process is easy to apply and hassle free.Read more...

Pankaj, Pune
Reviewed on 17th Jan 2022
5 / 5 stars
Bajaj Home Finance Home Loan Availed in Aug 2021

Excellent & efficient service with prompt turnaround and best offers. Thanks Read more...

NITESH, Pali
Reviewed on 01st Dec 2021
4 / 5 stars
HDFC Home Loan Availed in Nov 2021

Good support and help to take best interest rate on the home loan.Read more...

Ankit, Ghaziabad
Reviewed on 11th Nov 2021
5 / 5 stars
HDFC Home Loan Availed in Nov 2021

Great experience with the services. Highly recommended.Read more...

Shyam, Hyderabad
Reviewed on 21st Oct 2021
5 / 5 stars
HDFC Home Loan Availed in Oct 2021

Happy with your service.
Thanks for all your support.Read more...

Mukul, Pune
Reviewed on 21st Oct 2021
4 / 5 stars
HDFC Home Loan Availed in Oct 2021

Good experience with both bank as well as MyLoanCare.Read more...

UNA, BEHRAMPORE
Reviewed on 01st Oct 2021
5 / 5 stars
HDFC Home Loan Availed in Sep 2021

Very good response. I got call from HDFC Bank and my loan got approved. Thank you MyLoanCare.Read more...

Notification ×
  • Home Loan

    Home Loan at all-time low rates starting at 6.50%. Cashback of up to ₹ 1,000

    Apply Now
  • Personal Loan

    Instant Personal Loan starting at 10.25% with Cashback of up to ₹ 1,000.

    Check Offers
  • Gold Loan

    Instant Gold Loan starting at 9.00% with Cashback of up to ₹ 500

    Apply Now
  • Loan Against Property

    Best Loan Against Property Offers starting @ 6.90%. Cashback of up to ₹ 1,000*.

    Apply Now
  • Business Loan

    Collateral Free Business Loan Rates starting at 14.00% with Overdraft facility.

    Apply Now
  • Fixed Deposit

    AAA rated FDs with returns as high as 7.05%.

    Invest Now
Home Loan News - May 2022
  • 2022-05-13 : South Indian Bank Posts all-time High Net Profit in Q4
    The Bank has posted an all-time high net profit of ₹272 crores for Q4 in FY 22 against ₹6.79 crores during the corresponding period of the previous year.
  • 2022-05-13 : Ujjivan Small Finance Bank Profit Falls by 7% for Q4
    The bank has reported a 7 percent fall in its net profit to Rs 126.5 crore. Earlier, the bank had posted a net profit of Rs 136 crore in the same quarter of the preceding fiscal year 2020-21.
  • 2022-05-03 : HDFC Profit Rises by 16% for Q4 of FY 2022
    Housing Development Finance Corporation has reported a 16% year-on-year rise in its standalone net profit for the March quarter to Rs 3,700 crore on the back of strong growth in loans and net interest income (NII).
  • 2022-05-02 : HDFC Increase Interest Rates on Home Loans
    The lender has hiked the lending rates by 5 basis points for existing customers. The adjustable-rate home loans for new customers with a credit score of above 750, however, will continue to be 6.70 percent.
  • 2022-05-02 : Union Bank Becomes the First Public Sector Bank to Go Live on Account Aggregator Framework.
    The Account Aggregator Framework has linked 332,000 accounts and has fulfilled over 310,000 consent requests since it has gone live. AA ensures swift data sharing with the consent of the user and eliminates the need for physical documents.
*Terms and conditions apply. Credit at sole discretion of lender, which is subject to credit appraisal, eligibility check, rates, charges and terms. Information displayed is indicative and collected from public sources. Read More
Loader
Please wait while your information is being processed...