Home Loan Interest Rates

Highlights

  • Lowest home loan rates starting at 8.50% in India for March 2019.
  • No prepayment charges on home loans linked to floating rate of interest.

To buy a house through a home loan, we prefer the lowest home loan rates. Since, a housing loan may continue for 30 years, it is quite normal that people demand a lower rate of interest. As a borrower, you can check different home loan interest rates and then select one.

Having good income and its proof is one of the most important things to get a home loan. Your credit history and credit score is also helpful in getting desired home loan interest rates. Here are the interest rates offered by top banks in India.

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List of Top Banks Home Loan Interest Rates March 2019

Below is the table showing interest rates for general as well as women applicants on home loan rates, processing fees and prepayment charges applicable on home loans linked to floating rates available at top banks.

Banks/NBFCsInterest Rates (floating) Interest Rates for WomenProcessing Fees
Allahabad Bank8.70% - 9.15% NAUp to 0.40% of the loan
amount to a max
₹50000
Andhra Bank8.75% - 8.90%8.75%-8.85%0.50 % of loan amount subject to maximum of ₹10000/- + GST
Axis Bank8.85% - 9.10% NAUp to 1% of the Loan amount subject to minimum of ₹10,000

Upfront processing fee of ₹2500 plus GST
Bandhan Bank12.41% - 13.72%NA1% of Loan Amount , Min ₹5000/- + GST
Bank of Baroda8.65% - 9.65%NAUp to 0.50% of the loan amount or a maximum of ₹7,500 + GST
Bank of India8.85% - 8.90%8.80%0.25% of the loan amount + GST
Bajaj Finance/Finserv8.85% - 11.15%NAUp tp 1.20% of the loan amount + GST
Bank of Maharashtra8.75% - 8.85%NAAs applicable
Canara Bank8.75% - 8.95%8.75%-8.90%0.5% of the loan amount + GST
Central Bank of India8.60% - 9.60%NA0.50% of the loan amount subject to maximum ₹20,000/- + GST
Citibank9.00% - 9.85%NAUp to 0.40% of the loan amount + GST
Corporation bank8.60% - 9.25%NA0.50% of loan amount. Max ₹50,000/- + GST
DHFL9.05% - 9.95%NAUp to 1.50% of the loan amount + GST
Dena bank8.80% - 8.95%8.60%-8.90%As applicable
Federal Bank8.60% - 9.20%NA0.50% of the loan amount to a maximum of ₹7,500/- + GST
Fullerton India8.50% - 17%NA3% of the loan amount + GST
HDFC Ltd8.80% - 9.55%8.90%-9.75%Up to 0.50% of the loan amount or ₹3,000 whichever is higher, plus applicable taxes.
HSBC Bank

8.55% - 9.05%

NA1% of the loan amount + GST
ICICI Bank9.10% - 9.30%NAUp to 1.00% of the loan amount + GST
IDBI Bank8.65% - 8.95%8.60%-8.85%0.50% of loan amount to a maximum of ₹2500 + GST
IDFC Bank9.15% - 9.60%NAUpto ₹10,000 + GST
IndusInd Bank8.90% - 9.80%8.90%-9.75%₹10,000 + GST
Indiabulls HFL8.80% - 11.05%8.80%-11.00%0.50% of the loan amount to a maximum of ₹15000 + GST
Jammu & Kashmir Bank8.85% - 9.15%NA0.25% of the loan amount to a maximum of ₹10000/- + GST
Karnataka Bank8.80% - 9.20%NA0.50% of the loan amount + GST
Karur Vysya Bank8.90% - 9.65%NAUp to ₹7500/- + GST
Kotak Mahindra Bank8.90%NAZero processing fee for online application. (Upto 1.25% of Loan amount for offline application)
LIC Housing Finance Ltd8.95% - 9.15%NAUpto 1crore: - 0.25Paise+GST or 10000+GST which ever is less.
More than 1crore 25000+GST.
Lakshmi Vilas Bank9.90%NAAs applicable
Nainital Bank9.30% - 9.75%NAAs applicable
Oriental Bank of Commerce8.75% - 8.85%NA0.50% of the loan amount to a maximum of ₹20000/- + GST
Punjab National Bank8.60% - 8.85%8.70%-8.90%Nil processing fee till 31.03.2019
PNB Housing Finance Ltd9.00% - 13.00%NA₹10,000 + GST
Punjab & Sind Bank8.80% - 9.05%NAUp to 0.25% of the loan amount to a maximum of ₹15,000 + GST
Reliance Home Finance8.75% - 14.00%NAUp to 0.75% of the loan amount + GST
RBL Bank10.30% - 11.65%NA₹5,000- 15,000 of the loan amount + GST
SBI8.70% - 9.35%8.70%-9.25%No processing fee
Standard Chartered Bank9.21% OnwardsNA₹10,000 + GST
Syndicate Bank8.75%NA0.125% of loan amount or a maximum of ₹5000 + GST
Tata Capital9.00% - 9.45% 9.00%-9.40%As applicable
UCO Bank8.70% - 8.95%NA0.5% of the loan amount, to a maximum ₹15000/- + GST
United Bank of India8.65%NAAs applicable
Vijaya Bank8.75%NA₹4000 + GST
Yes Bank9.60% - 12.00%NA0.5% of the loan amount or a maximum of ₹10000 + GST

Note: As per RBI guidelines, prepayment of home loans linked to floating rate of interest attracts no prepayment charges.

How can you get the lowest rate on a home loan?

There are certain factors based on which a home loan interest rate is offered which are as follows:

  • Property in a good location– Property in a approved society has more chance of getting loan amount up to 75-90% of the property value.
  • Make use of your good credit score – You must have CIBIL score of 650 or above to get approval for it.
  • Apply at existing bank – A good understanding with the bank help you avail a high loan amount and that too at competitive rate of interest on your home loan without any hassle.
  • High Income – A person earning high income has more chances of getting lower rate and higher amount.
  • Keep all property related documents – It is very important to maintain and keep all the property documents with you as it helps the lender identify your property and its worth properly and thus trust your profile.
  • Make sure you have income proof – Many people do not know that your loan application may be rejected if you do not have a income proof or salary slip. Only a few NBFCs accept such cases but then they give high rates.
  • Apply at young age – If you age at the time of applying is in early 30s or late 20s, you are more eligible for a higher loan amount as you have less financial liabilities.
  • Transfer your home loan to a lower EMI – You can transfer your existing home loan to a lender offering a lower rate on your home loan to save your money.

How can you calculate Home Loan EMI?

A home loan EMI calculator is used for checking monthly installments on a housing loan. You have to mention housing loan interest rate, total loan amount and tenure. The formula used for the calculation is as follows:

EMI=[P x R x (1+R)^N]/[(1+R)^N-1]
Where,

P= Principal Amount
R= Interest Rate
N= Number of Monthly Installments

People Also Look For

Personal Loan Interest Rates March 2019
Bajaj Finserv10.99% - 16.00%
Fullerton India14.00% - 33.00%
HDFC Bank11.25% - 21.50%
ICICI Bank10.99% - 18.40%
IndusInd Bank10.99% - 16.00%
Kotak Bank10.99% - 20.99%
RBL13.00% - 18.00%
Standard Chartered Bank12.00% - 17.00%
Tata Capital10.99% - 18.00%
Home Loan Interest Rates March 2019
State Bank of India/SBI8.70% - 9.35%
HDFC8.80% - 9.55%
Bank of Baroda8.65% - 9.65%
LIC Housing8.95% - 9.15%
PNB Housing Finance9.00% - 13.00%
ICICI Bank9.10% - 9.30%
Axis Bank8.85% - 9.10%
Citibank9.00% - 9.85%
Indiabulls Housing Finance Limited8.80% - 11.05%
Kotak Bank8.90% - 8.75%
DHFL9.05% - 9.95%
Reliance Home Finance8.75% - 14.00%