Navigating the landscape of home loans can be daunting, especially with fluctuating interest rates that significantly impact long-term financial commitments. As India’s leading banks—State Bank of India (SBI), Punjab National Bank (PNB), ICICI Bank, and HDFC Bank, understanding their current home loan interest rates is crucial for prospective homeowners.
This story delves into the latest offerings from these financial giants, comparing their interest rates. Whether you’re a first-time buyer or looking to refinance, this guide will help you make an informed choice in the ever-evolving market of home loans.
There are three main types of home loan interest rates:
Fixed Interest Rate: A fixed interest rate remains constant throughout the loan tenure, resulting in a steady home loan EMI. This option is preferable when the current home loan rate of interest is fairly low, and an upward trend is expected.
Floating Interest Rate: A variable or floating interest rate is subject to current market lending rates and may fluctuate during the loan term. The EMIs on house loans will increase or fall in response to changes in interest rates. This option can be beneficial if you expect interest rates to go down in the future.
Hybrid Interest Rate: Hybrid home loan interest rates are a combination of fixed and floating interest rates. They will have a fixed interest rate for a defined period before switching to a fluctuating interest rate. This option can be a good choice if you want the stability of a fixed rate for a few years but also want to benefit from potential future reductions in interest rates.
Home Loan Interest Rate Comparison
Below is the list of floating interest rates of various banks;
SBI Home Loan Interest Rates
The State Bank of India offers multiple options for home loans. The rate of interest ranges from 8.50% to 11.55%. Check the chart given below;
PNB Home Loan Interest Rates
PNB Housing offers seamless and swift loans for a variety of needs, including home purchases, renovations, construction, and extensions.
PNB Housing offers customers 30-year housing loans (up to the age of 70).
PNB Housing can sanction and finance up to 90% of the house value (percentage funding depends upon the loan amount).
PNB’s rate of interest ranges from 8.50% to 11.45%. Check the chart given below;
Up to 35 lakh
Above up to 35 lakh
ICICI Bank Home Loan Interest Rates
At ICICI Bank, special home loan interest rates are customised based on your credit score. These rates play a crucial role in determining the interest applicable to your home loan, ensuring fair and personalised lending.
Credit Score Salaried Self – Employed
800 9.00% 9.00%
750 – 800 9.00% 9.10%
Standard Home Loan Interest Rates
Loan Slab Salaried Self-Employed
Up to Rs 35 lakhs 9.25% – 9.65% 9.40% – 9.80%
Rs 35 lakhs to Rs 75 lakhs 9.50% – 9.80% 9.65% – 9.95%
Above Rs 75 lakhs 9.60% – 9.90% 9.75% -10.05%
HDFC Bank Home Loan Interest Rates
HDFC Bank provides attractive home finance interest rates starting from 8.75% per annum. These rates apply to home loans, balance transfer loans, house renovation loans, and home extension loans.
HDFC Bank offers both adjustable-rate (floating rate) loans and fixed loans. With fixed loans, the interest rate remains fixed for a specified period (such as the first two years of the loan tenure) before switching to an adjustable rate.
Adjustable Home Loan Rates
All rates are benchmarked to the Policy Repo Rate, which is currently 6.50%.
Special Home Loan Rates for Salaried & Self-Employed (Professionals & Non-Professionals)
Loan Slab Interest Rates (% p.a.)
For All Loans Policy Repo Rate + 2.25% to 3.15% = 8.75% to 9.65%
Standard Home Loan Rates for Salaried & Self Employed (Professionals & Non-Professionals)
Loan Slab Interest Rates (% p.a.)
For All Loans Policy Repo Rate + 2.90% to 3.45% = 9.40% to 9.95%
These rates are linked to HDFC Bank’s repo rate and may vary throughout the loan tenure.
The information provided on home loan interest rates for SBI, PNB, ICICI Bank, and HDFC Bank is for informational purposes only and represents typical ranges at the time of writing. Interest rates are subject to change frequently based on various factors, including the bank’s internal policies, market conditions, and the Reserve Bank of India (RBI) guidelines.
Before finalising any home loan, thoroughly read and understand all the terms and conditions of the loan agreement. Pay close attention to prepayment clauses, lock-in periods, and any exit charges.
Comments
0 comment