Home loan is a kind of financial assistance that you can avail to turn your dream of having your own home into reality. With the help of home loan you can borrow a lump sum amount against 70%—80% of your property value and repay the amount with interest in easy EMIs (Equated Monthly Instalments) in the given tenure of the loan.
Home Loan Interest Rates in 2018
The home loan interest rates vary from one lender to the other. It depends on your property’s location, amount being borrowed, existing EMIs and your monthly salary. The normal range of Home loan interest rates are from 8.45% to 12.75%. Many banks also offer concession to women.
| Home Loan Interest Rate Details | |
| Interest Rate | Starting from 8.50% to 12% |
| Processing Fees | Upto 1% of loan amt |
| Loan Tenure | 1 Year to 30 Years |
| Partial pre-payment Charges | Varies from bank to bank |
| Pre-closure Chargest | NIL in Maximum Banks |
Compare Home Loan Interest Rates of All Leading Banks in India
| Home Loan Provider | Home Loan Interest Rates | Home Loan Processing Fees | Prepayment Charges |
| YES BANK | 9.35% onwards | 0.5% of loan amt. or Rs.10,000 whichever is higher (+GST) | NIL for floating rate loans |
| SBI | 8.65% onwards | Rs. 0 – 10,000 | NIL |
| HDFC Bank | 8.70% onwards | Up to 0.5% of loan amt | NIL |
| ICICI Bank | 8.85% onwards | 0.5% – 1.00% of loan amt. | NIL |
| IDFC Bank | 8.90% onwards | Rs 10000 | NIL |
| IndiaBulls | 8.70% onwards | Up to 1% of loan amt | NIL |
| LIC Housing Finance | 8.50% onwards | For up to 1 Cr – Rs 5000 , Above 1 Cr Rs 10,000 | NIL |
| PNB Housing Finance | 8.99% onwards | Up to 1% of loan amt | NIL |
| DHFL | 8.70% onwards | Up to 1% of loan amt | NIL |
| Axis Bank | 8.70% onwards | Up to 1% of loan amt | NIL |
| IDBI Bank | 9.30% onwards | 0.5% of loan amount | NIL |
| Tata Capital | 8.70% onwards | 0.2% of loan amt. | NIL |
| Punjab National Bank | 8.85% onwards | Nil | NIL |
| Bank of India | 8.70% onwards | Min. 1000 and Max. Rs. 20,000 | NIL |
| Syndicate Bank | 8.75% onwards | Min. 500 to Max. 5,000 | NIL |
| Canara Bank | 8.70% onwards | Varies based on applicant profile | NIL |
| United Bank of India | 8.65% onwards | Varies based on applicant profile | NIL |
| IIFL | 8.75% onwards | 0.75% of the loan amount (minimum Rs. 5,000) | NIL |
Home Loan Interest Rate Calculator
For getting the appropriate approximation of the interest rate that would be offered on your loan, you should use the home loan interest rate calculator. In addition to your existing loan EMIs, salary and loan amount, interest rate is also calculated on the basis of your CIBIL score.
SBI Home Loan Interest Rate
The State Bank of India gives quick approval for home loan with concession in rates for women customer.
|
Home Loan Interest Rate |
|||
| Salaried Borrowers (%) : | Non-Salaried Borrowers (%) : | ||
| Women | LTV ≤ 80 | 1 Year MCLR + 20 bps, ER:8.65 | 1 Year MCLR + 35 bps, ER:8.80 |
| LTV > 80 and ≤ 90 |
1 Year MCLR + 30 bps, ER:8.75 | 1 Year MCLR + 45 bps, ER:8.90 | |
| Other | LTV ≤ 80 | 1 Year MCLR + 25 bps, ER:8.70 | 1 Year MCLR + 40 bps, ER:8.95 |
| LTV > 80 and ≤ 90 |
1 Year MCLR + 35 bps, ER:8.80 | 1 Year MCLR + 50 bps, ER:8.95 | |
The woman should be the sole applicant or first co-applicant of Home Loan and also the property proposed to be financed should be either in the sole name of the woman borrower or she should be the first owner in case of joint ownership
HDFC Bank Home Loan Interest Rate
HDFC home loan can be availed when purchasing a flat, row house, bungalow from private developers in approved projects or properties from development authorities such as DDA, MHADA etc.
Adjustable Rate Loan – Festive Offer
RPLR: 16.65%
| Loan Slab | Home Loan Interest Rates (% p.a.) |
| For Women* (upto 30 Lakhs) | 8.70 to 9.20 |
| For Others* (upto 30 Lakhs) | 8.75 to 9.25 |
| For Women* (Above 30 Lakhs) | 8.80 to 9.30 |
| For Others* (Above 30 Lakhs) | 8.85 to 9.35 |
TruFixed Plus Loan – 2 & 3 Year Fixed Rate Variant – Festive Offer
RPLR: 16.65%
| Loan Slab | Home Loan Interest Rates (% p.a.) |
| For Women* (upto 30 Lakhs) | 8.80 to 9.30 |
| For Others* (upto 30 Lakhs) | 8.85 to 9.35 |
| For Women* (Above 30 Lakhs) | 8.90 to 9.40 |
| For Others* (Above 30 Lakhs) | 8.95 to 9.45 |
TruFixed Plus Loan – 10 Year Fixed Rate Variant – Festive Offer
RPLR: 16.30%
| Loan Slab | Interest Rates During The 10 Year Fixed Rate Term(% p.a.) | Post The Fixed Rate Term The Applicable Interest Rates Shall Be The Prevailing Rate Of Interest Under Adjustable Rate. |
| For Women* (Any Loan Amount) | 9.70 to 10.20 | RPLR – (6.60 to 6.10) |
| Any Loan Amount | 9.75 to 10.25 | RPLR – (6.55 to 6.05) |
Axis Bank Home Loan Interest Rate
Marginal Cost Based Lending Rate (MCLR) – 8.60%
MCLR Reset frequency for Home Loans – Half Yearly
Base Rate – 9.20%
MRR – 13.70%
BPLR – 16.95%
For Salaried:
| Sr. No | Type | Loan amount (Rs.) | MCLR + Mark Up | Effective Rate Of Interest |
| 1 | Floating Rate | Loan amount upto Rs 30 lacs | MCLR + 0.10% | 8.70% p.a. |
| Loan amount upto Rs 75 lacs | MCLR + 0.25% | 8.85% p.a. | ||
| Loan amount above Rs 75 lacs | MCLR + 0.35% | 8.95% p.a. | ||
| Top Up for existing customers | Upto 30%- Same rate at which the home loan is running 30%-100%- LAP rate shall be applicable |
|||
| 2 | Fixed rate (for 20 years) | All Loan Amounts | – | 12.00% |
For Self Employed
| Sr. No | Type | Loan amount (Rs.) | MCLR + Mark Up | Effective Rate Of Interest |
| 1 | Floating Rate | Loan amount upto Rs 30 lacs | MCLR + 0.15% | 8.75% p.a. |
| Loan amount upto Rs 75 lacs | MCLR + 0.35% | 8.95% p.a. | ||
| Loan amount above Rs 75 lacs | MCLR + 0.45% | 9.05% p.a. | ||
| Top Up for existing customers | Upto 30%- Same rate at which the home loan is running 30%-100%- LAP rate shall be applicable |
|||
| 2 | Fixed rate (for 20 years) | All Loan Amounts | – | 12.00% |
IDBI Home Loan Interest Rate
| FLOATING RATE LOANS | ||
| HOME LOAN & ITS VARIANTS | ||
| Home Loan (HL) | ||
| Up to ₹ 35 lakhs | 6 months MCLR + 0.05% | |
| Above ₹ 35 lakhs and up to ₹ 75 lakhs | 6 Months MCLR + 0.20% | |
| Above ₹ 75 lakhs | 6 Months MCLR + 0.30% | |
| Home Loan Interest Saver (HLIS) | ||
| All loan Amounts | 1Yr MCLR + 0.35% | |
| IDBI NEEV | Sanction Amount | RoI |
| Upto ₹ 35 lakh | 1Yr MCLR + 0.45% | |
| > ₹ 35 lakh to ₹ 75 lakh | 1Yr. MCLR + 0.70% | |
| > ₹ 75 lakh | 1Yr MCLR + 0.95% | |
| 00001. Turnover based Home Loan | ||
| All loan Amounts | 1Yr MCLR + 3.20% | |
| 00001. Scheme for Financing Rural/Semi Urban Housing | ||
| All loan Amounts | 6M MCLR+0.00% | |
Home Loan Interest Rates FAQs
1. How to get lowest interest rate on home loan?
You can get the lowest interest rate on your home loan if you follow below mentioned steps:
- You can get the lowest interest rate if you opt to avail a home loan jointly with your wife and make her the primary applicant of your home loan. Most of the banks provide home loan to women on an interest rate which is less than 0.5% of the general home loan interest rate.
- You can even opt for a balance transfer if your current bank or financial institution is charging a higher rate of interest. You can switch to another bank who offers you a lower rate of interest. With such a tough competition, banks prefer to retain their customers who make timely repayments and have a good credit history.
2. What are the factors that influence home loan interest rates?
Following is the list of factors that influence home loan interest rates:
Credit Score – Your credit score is one of the most important factors that influence home loan interest rates. Lenders check the credit scores of every individual in desire of a home loan to access the credit worthiness. Credit score is calculated based on your credit report which includes your credit history, including your loans, credit cards repayment history.
Down payment – A larger down payment leads to a lower interest rate, as lenders see a lower level of risk when you make a larger down payment and make the rest in monthly payments.
Loan Tenure – Loan tenure is the duration of your loan in which you have to repay your loan. Shorter loan tenure means lower interest rates and lower overall costs, but higher monthly payments. A longer tenure will result in high interest payments but low monthly payments.
Interest Rate Type – Interest rates come in two basic types: fixed and floating. Fixed interest rates don’t change over time. Floating interest rate varies periodically over the loan tenure. Lenders have their own MCLR rate to determine the interest rate to be charged on a home loan.
To read more Home Loan Interest Rates FAQs – Click here.