Discover the Top 5 Banks Offering the Lowest Home Loan Interest Rates

When considering buying a home, one of the critical factors to assess is the interest rate on the home loan. Even a marginal difference in this rate can significantly impact the total interest paid over the loan tenure.

Let’s delve into the top banks offering home loans at the most competitive interest rates:

1. HDFC Bank:

The leading private lender provides home loans at an attractive interest rate ranging from 9.4 to 9.95 percent per annum.

2. State Bank of India (SBI):

SBI offers competitive interest rates, varying between 9.15 percent and 9.75 percent, contingent upon the borrower’s CIBIL score. These rates took effect on May 1, 2023.

3. ICICI Bank:

This private lender extends home loans at rates ranging from 9.40 percent to 10.05 percent.

– For loans under ₹35 lakh, self-employed individuals can avail rates between 9.40 and 9.80 percent, while salaried individuals enjoy rates between 9.25 and 9.65 percent.
– For loans ranging from ₹35 lakh to 75 lakh, salaried individuals are offered rates between 9.5 and 9.8 percent, whereas self-employed individuals can avail rates between 9.65 and 9.95 percent.
– Loans exceeding ₹75 lakh incur interest rates between 9.6 and 9.9 percent for salaried individuals, and between 9.75 and 10.05 percent for self-employed individuals.

4. Kotak Mahindra Bank:

This private lender provides competitive rates, offering home loans at 8.7 percent for salaried borrowers and 8.75 percent for self-employed borrowers.

5. Punjab National Bank (PNB):

PNB’s interest rates range from 9.4 percent to 11.6 percent, depending on factors such as CIBIL score, loan amount, and tenure.

– Borrowers with a CIBIL score of 800 and above, seeking loans above ₹30 lakh for a tenure of up to 10 years, enjoy the lowest rate of 9.4 percent.

6. PNB Housing:

PNB Finance extends home loans with interest rates ranging from 8.5 to 11.25 percent, based on the borrower’s employment status and CIBIL score.

– Salaried individuals with a CIBIL score of 825 and above are offered rates between 8.5 and 9 percent, while non-salaried individuals receive rates between 8.8 and 9.3 percent.

Choosing the right bank with the lowest interest rates can significantly impact your overall financial burden throughout the loan tenure. Take the time to compare offerings and select the option that best suits your financial needs and circumstances.