Home Loan Rates: Planning a New Home? These Banks Offer the Lowest Interest Rates on Home Loans Right Now

Home Loan: In its monetary policy review, the RBI has maintained the repo rate at 5.25%. Consequently, several banks—such as Bank of India and Bank of Baroda—are offering home loans at low interest rates.

Home Loan Interest Rates: Everyone dreams of owning a home where they can live peacefully with their family. However, in these times of rising inflation, this is not within everyone's reach. With property prices soaring, buying a home is becoming increasingly difficult for the common person.

In this scenario, the biggest question is which bank to choose for a home loan that offers low interest rates. Many banks are offering home loans at attractive rates, including Bank of Baroda, Bank of India, Indian Overseas Bank, and the State Bank of India. Meanwhile, the RBI has also made a significant decision regarding interest rates.

RBI Keeps Repo Rate Unchanged

The biggest relief for home loan borrowers is that the Reserve Bank has kept the repo rate unchanged at 5.25%; essentially, there has been no alteration. The repo rate is the rate at which the RBI lends money to other banks in the country. If this rate rises, banks typically make their loans more expensive.

Following the Monetary Policy Committee (MPC) meeting, RBI Governor Sanjay Malhotra stated that the policy stance has been kept 'neutral' in light of global tensions and inflation risks. For you, this simply means there will be no hike in your home loan EMI this June, and you will continue to benefit from the loan at existing rates.

Home Loan Interest Rates Offered by Various Banks

State Bank of India (SBI) – The country's largest public sector bank is offering home loans at annual interest rates ranging from 7.25% to 9.05%. Bank of Baroda – Home loan rates here range from a minimum of 7.20% to a maximum of 9.25%.

Central Bank of India – Interest rates for home loans at Central Bank of India range between 7.10% and 9.15%.

Bank of India – Home loan rates at Bank of India range between 7.10% and 10.25%.

Union Bank of India – Here, you can avail interest rates ranging from 7.15% to 9.6%.

Canara Bank – Home loan rates at Canara Bank range from 7.25% to 10% per annum.

Indian Overseas Bank – Rates start at 7.10% for salaried individuals, while for non-salaried individuals, they start at 8.20%.

ICICI Bank – The starting interest rate for home loans at this major private bank is 7.5% per annum.

Kotak Mahindra Bank – Home loans at Kotak Bank start at a rate of 7.60%.

HDFC Bank – The country's leading private lender offers home loans starting at a rate of 7.75%.

Axis Bank – Home loan rates at Axis Bank range from 8% to 11.9%, depending on the applicant's profile.