By Bankatesh Kumar
Published on: February 26, 2025 | 05:30 PM
If you are planning to buy a home with a loan, now is the perfect time! Several public sector banks are offering cheaper home loans than SBI and HDFC, making homeownership more affordable.
Top Banks Offering Low-Interest Home Loans
Following a 0.25% repo rate cut by the Reserve Bank of India (RBI), multiple banks have reduced their home loan interest rates. Here’s how they compare:
| Bank Name | Starting Interest Rate |
|---|---|
| SBI | 8.25% |
| HDFC | 8.75% |
| Axis Bank | 8.75% |
| Kotak Mahindra Bank | 8.75% |
| ICICI Bank | 8.75% |
| Union Bank of India | 8.10% |
| Central Bank of India | 8.10% |
| Bank of Baroda | 8.15% |
| Punjab National Bank | 8.15% |
| Canara Bank | 8.15% |
How Much EMI Will You Pay?
📌 For a ₹50 Lakh Home Loan (20-Year Tenure)
- Union Bank of India (8.10%) → ₹42,133/month
- Central Bank of India (8.10%) → ₹42,133/month
- Bank of Baroda, PNB, Canara Bank (8.15%) → ₹42,289/month
- SBI (8.25%) → Slightly higher EMI
- Private Banks (8.75%) → ₹44,185/month
Why Consider Public Sector Banks?
✔ Lower Interest Rates than SBI & HDFC
✔ Reduced EMI Burden
✔ Flexible Loan Repayment Terms
✔ Better Offers for First-Time Buyers
💡 Final Tip: Home loan rates depend on your credit score and financial profile. Compare banks and negotiate for the best deal before applying.
📢 Looking for a home loan? Now is the best time to apply! 🏡✨
