Many banks have revised the interest rates charged on home loans. This increase will increase the interest paid on home loans. Thus, your EMI will increase.
Check here for details of major banks’ home loan interest rates. If you are considering buying a home and wondering where to get a home loan, compare the interest rates charged by different banks before deciding.
Interest rate is a key factor in home loans. However, that alone is not important. Processing fees and customer service should also be considered.
Interest rates rise: Meanwhile, some banks have recently increased interest rates. SBI has increased interest rates three times. Here is a look at the interest rates various banks charge on home loans.
HDFC Bank: HDFC Bank, India’s largest private bank, has hiked special home loan rates from 8.75% to 9.65% and standard housing loan rates from 9.40% to 9.95%.
State Bank of India: SBI charges 8.5% to 9.65% interest on home loans. However, these rates are based on the borrower’s CIBIL score. CIBIL offers low-interest loans to those with good scores.
ICICI Bank: ICICI Bank determines the home loan interest rates based on two factors. Interest is charged from 9.25% to 10.05% based on the income of the person seeking the loan (job? or self-employed?) and the amount of the loan he is seeking.
For example, if the loan amount is up to Rs 35 lakh, the interest rate ranges from 9.25 to 9.65% for salaried employees and 9.4 to 9.8% for self-employed.
Similarly, if the loan amount exceeds Rs 75 lakh, the interest rate will be between 9.6 to 9.90% for salaried employees and 9.75% to 10.05% for the self-employed. These rates are valid till August 31, 2024.
Punjab National Bank: Punjab National Bank charges interest ranging from 9.40% to 11.10% based on various factors like credit score, loan amount, LTV (loan to value) ratio and loan tenure.
For example, if the loan amount is above Rs.30 lakh and the LTV ratio is less than or equal to 80%, the interest rate will be 9.40% for tenure up to 10 years and 9.90% for tenure above 10 years. For more details, visit the PNB website.
Bank of Baroda: Bank of Baroda charges salaried and non-salaried individuals a floating interest rate of 8.4 to 10.60%. There is a fixed rate of 10.15% to 11.50% for salaried employees and 10.25% to 11.60% for non-salaried employees.