 "Banks & HFCs start slashing home loan rates as repo rate dips to 6%,")
The Reserve Bank of India’s (RBI’s) rate setting panel decided to cut the repo rate by another 25 basis point bringing it down to six per cent this month. This move was aimed at boosting the economy and encouraging people to spend and invest more especially in sectors like housing.
Following this, many banks have lowered their home loan interest rates, giving relief to borrowers and making it easier for new buyers to take loans.
So what is the new interest rate regime? Which banks are offering loans at attractive rates? These rates vary depending on the borrower's profile.
Public sector banks
Central Bank of India -- 7.85 per cent to 9.45 per cent.
Union Bank of India -- 7.85 per cent to 10.40 per cent.
State Bank of India --- 8 per cent and 9.15 per cent.
Punjab National Bank -- 8.05 per cent to 9.85 per cent.
Indian Overseas Bank -- 7.90 per cent onwards.
Below is the curated list of interest rates offered by various public sector banks:
| Name of Lender | Loan Amount (Rs) | ||
| Upto 30 Lakh | Above 30 & Upto 75 Lakh | Above 75 Lakh | |
| PUBLIC SECTOR BANKS | |||
| State Bank of India | 8.00-9.15 | 8.00-9.15 | 8.00-9.15 |
| Bank of Baroda | 8.40-10.40 | 8.40-10.40 | 8.40-10.65 |
| Union Bank of India* | 7.85-10.25 | 7.85-10.40 | 7.85-10.40 |
| Punjab National Bank | 8.05-9.85 | 8.00-9.75 | 8.00-9.75 |
| Bank of India | 8.00-10.35 | 8.00-10.35 | 8.00-10.60 |
| Canara Bank** | 8.00-10.75 | 7.95-10.65 | 7.90-10.65 |
| UCO Bank*** | 8.30 onwards | 8.30 onwards | 8.30 onwards |
| Bank of Maharashtra | 7.85-10.65 | 7.85-10.65 | 7.85-10.65 |
| Punjab and Sind Bank | 8.05-11.25 | 8.05-11.25 | 8.05-11.25 |
| Indian Overseas Bank | 7.90 onwards | 7.90 onwards | 7.90 onwards |
| Indian Bank | 8.25-9.65 | 8.25-9.65 | 8.25-9.65 |
| Central Bank of India | 7.85-9.45 | 7.85-9.45 | 7.85-9.45 |
| *Extra interest rate concession of 0.05% to borrowers opting for insurance policy and extra 0.10% on green home projects. **0.05% interest rate concession for balance transfer/ready to move proposals, Govt./PSUs/Top Corp. employees and salary account holders. ***Additional concession of 0.10% for takeover loans. | |||
| Rates as of 16th April 2025 | |||
| Source: Paisabazaar.com |
Private sector banks
Karur Vysya Bank -- 8.45 per cent to 11.40 per cent.
Federal Bank -- 8.55 per cent.
City Union Bank -- 9.85 per cent to 15.45 per cent.
CSB Bank -- 10.11 per cent onwards.
Below is the curated list of interest rates offered by various private sector banks:
| PRIVATE SECTOR BANKS | |||
| Kotak Mahindra Bank | 8.65 onwards | 8.65 onwards | 8.65 onwards |
| ICICI Bank | 8.75 onwards | 8.75 onwards | 8.75 onwards |
| Axis Bank | 8.75-12.80 | 8.75-12.80 | 8.75-9.65 |
| HSBC Bank | 8.40 onwards | 8.40 onwards | 8.40 onwards |
| South Indian Bank | 8.50 onwards | 8.50 onwards | 8.50 onwards |
| Karur Vysya Bank | 8.45-11.40 | 8.45-11.40 | 8.45-11.40 |
| Karnataka Bank | 8.94-11.06 | 8.94-11.06 | 8.94-9.59 |
| Federal Bank | 8.55 onwards | 8.55 onwards | 8.55 onwards |
| Tamilnad Mercantile Bank | 8.60-9.80 | 8.60-9.80 | 8.60-9.80 |
| Bandhan Bank | 8.91-15.00 | 8.91-13.08 | 8.91-13.08 |
| RBL Bank | 9.00 onwards | 9.00 onwards | 9.00 onwards |
| CSB Bank | 10.11-11.84 | 10.11-11.84 | 10.11-11.84 |
| HDFC Bank Ltd. | 8.70 onwards | 8.70 onwards | 8.70 onwards |
| City Union Bank | 10.05-15.45 | 9.85-15.45 | 9.85-13.75 |
| *Extra interest rate concession of 0.05% to borrowers opting for insurance policy and extra 0.10% on green home projects. **0.05% interest rate concession for balance transfer/ready to move proposals, Govt./PSUs/Top Corp. employees and salary account holders. ***Additional concession of 0.10% for takeover loans. | |||
| Rates as of 16th April 2025 | |||
| Source: Paisabazaar.com |
Housing finance companies
LIC Housing Finance -- 8.25 per cent onwards.
Bajaj Housing Finance -- 8.25 per cent onwards.
PNB Housing Finance -- 8.55 per cent onwards.
Godrej Housing Finance -- 8.55 per cent onwards. Below is the curated list of interest rates offered by various housing finance companies:
| HOUSING FINANCE COMPANIES (HFCs) | |||
| LIC Housing Finance | 8.25 onwards | 8.25 onwards | 8.25 onwards |
| Bajaj Housing Finance | 8.25 onwards | 8.25 onwards | 8.25 onwards |
| Tata Capital | 8.75 onwards | 8.75 onwards | 8.75 onwards |
| PNB Housing Finance | 8.50-14.50 | 8.50-14.50 | 8.50-11.45 |
| GIC Housing Finance | 8.80 onwards | 8.80 onwards | 8.80 onwards |
| SMFG India Home Finance | 10.00 onwards | 10.00 onwards | 10.00 onwards |
| Sammaan Capital (Formerly Indiabulls Housing Finance) | 8.75 onwards | 8.75 onwards | 8.75 onwards |
| Aditya Birla Capital | 8.60 onwards | 8.60 onwards | 8.60 onwards |
| ICICI Home Finance | 9.30 onwards | 9.30 onwards | 9.30 onwards |
| Godrej Housing Finance | 8.55 onwards | 8.55 onwards | 8.55 onwards |
| *Extra interest rate concession of 0.05% to borrowers opting for insurance policy and extra 0.10% on green home projects. **0.05% interest rate concession for balance transfer/ready to move proposals, Govt./PSUs/Top Corp. employees and salary account holders. ***Additional concession of 0.10% for takeover loans. | |||
| Rates as of 16th April 2025 | |||
| Source: Paisabazaar.com | |||