Home loan rates in Sep start at 7%: Top lenders and terms compared | Personal Finance
Home loan rates start at 7 per cent among the lenders tracked by Paisabazaar.com, but borrowers can face higher rates depending on the lender, loan amount and their individual profile.
As of September 16, Bank of Maharashtra and Central Bank of India offered home loans starting at 7 per cent across the three loan amount categories covered in the data. Bank of India started at 7.10 per cent, while UCO Bank and Union Bank of India offered rates from 7.15 per cent.
| Name of Lender | Loan Amount (Rs) | ||
| Upto 30 Lakh | Above 30 Lakh & Upto 75 Lakh | Above 75 Lakh | |
| PUBLIC SECTOR BANKS | |||
| Bank of Baroda | 7.20-9.00 | 7.20-9.00 | 7.20-9.25 |
| Bank of India | 7.10-10.00 | 7.10-10.00 | 7.10-10.25 |
| Bank of Maharashtra | 7.00-9.90 | 7.00-9.90 | 7.00-9.90 |
| Canara Bank* | 7.25-10.00 | 7.20-10.00 | 7.15-9.90 |
| Central Bank of India | 7.00-9.15 | 7.00-9.15 | 7.00-9.15 |
| Indian Bank | 7.15-9.15 | 7.15-9.15 | 7.15-9.15 |
| Indian Overseas Bank | 7.20 onwards | 7.20 onwards | 7.20 onwards |
| Punjab and Sind Bank | 7.35-10.75 | 7.35-10.75 | 7.35-10.75 |
| Punjab National Bank | 7.30-9.30 | 7.25-9.20 | 7.25-9.20 |
| State Bank of India | 7.25-8.55 | 7.25-8.55 | 7.25-8.55 |
| UCO Bank** | 7.15-9.25 | 7.15-9.25 | 7.15-9.25 |
| Union Bank of India*** | 7.15-9.60 | 7.15-9.60 | 7.15-9.60 |
| PRIVATE SECTOR BANKS | |||
| Axis Bank | 8.00-11.90 | 8.00-11.90 | 8.00 – 9.10 |
| Bandhan Bank | 8.55 – 13.52 | 8.55 – 13.52 | 8.55 – 13.52 |
| City Union Bank | 8.25-9.50 | 8.50-10.00 | 8.75-10.50 |
| CSB Bank | 8.30 onwards | 8.30 onwards | 8.30 onwards |
| Federal Bank | 8.35 – 10.50 | 7.35 – 10.50 | 7.35 – 9.50 |
| HDFC Bank | 7.75 onwards | 7.75 onwards | 7.75 onwards |
| HSBC Bank | 7.45 onwards | 7.45 onwards | 7.45 onwards |
| ICICI Bank | 7.55 onwards | 7.55 onwards | 7.55 onwards |
| Karnataka Bank | 7.48- 11.80 | 7.48- 11.80 | 7.48- 11.80 |
| Karur Vysya Bank | 8.50-10.65 | 8.50-10.65 | 8.50-10.65 |
| Kotak Mahindra Bank | 7.60 onwards | 7.60 onwards | 7.60 onwards |
| RBL Bank | 9.00 onwards | 9.00 onwards | 9.00 onwards |
| South Indian Bank | 7.25 onwards | 7.25 onwards | 7.25 onwards |
| Tamilnad Mercantile Bank | 7.90 – 9.30 | 7.90 – 9.30 | 7.90 – 9.30 |
| HOUSING FINANCE COMPANIES (HFCs) | |||
| Aditya Birla Capital | 7.75 onwards | 7.75 onwards | 7.75 onwards |
| Bajaj Housing Finance | 7.25 onwards | 7.25 onwards | 7.25 onwards |
| GIC Housing Finance | 8.20 onwards | 8.20 onwards | 8.20 onwards |
| Godrej Housing Finance | 7.65 onwards | 7.65 onwards | 7.65 onwards |
| ICICI Home Finance | 7.50 onwards | 7.50 onwards | 7.50 onwards |
| LIC Housing Finance | 7.15 onwards | 7.15 onwards | 7.15 onwards |
| PNB Housing Finance | 7.75-10.05% | 7.60-10.05% | 7.50-9.95 |
| Sammaan Capital (Formerly Indiabulls Housing Finance) | 8.75 onwards | 8.75 onwards | 8.75 onwards |
| SMFG India Home Finance | 9.25 onwards | 9.25 onwards | 9.25 onwards |
| Tata Capital | 8.00 onwards | 8.00 onwards | 8.00 onwards |
| *Under CRG-Prime, CRG-1 & CRG-2, additional 5 bps concession for takeover/ready to move HL proposals & for salaried employees maintaining salary a/c with the bank. **Additional concession of 0.05% & 0.10% for women borrowers & takeover loans, respectively. ***Extra interest rate concession of 0.05% to borrowers opting for insurance policy. | |||
| Rates as of 16th September 2026 | |||
| Source: Paisabazaar.com | |||
Home loan rates across lenders
Among public sector banks, the lowest starting rate in the data was 7 per cent. State Bank of India offered rates from 7.25 per cent, while Bank of Baroda started at 7.20 per cent.
Private banks generally had higher starting rates. HDFC Bank offered home loans from 7.75 per cent, while ICICI Bank started at 7.55 per cent. HSBC Bank offered rates from 7.45 per cent. South Indian Bank had a starting rate of 7.25 per cent.
Among housing finance companies (HFCs), Bajaj Housing Finance and LIC Housing Finance offered rates starting at 7.25 per cent and 7.15 per cent, respectively. ICICI Home Finance started at 7.50 per cent, while Godrej Housing Finance offered rates from 7.65 per cent.
Loan amount can affect the rate
The rate may also vary depending on the size of the home loan. For instance, Canara Bank’s rates start at 7.25 per cent for loans up to Rs 30 lakh, 7.20 per cent for loans above Rs 30 lakh and up to Rs 75 lakh, and 7.15 per cent for loans above Rs 75 lakh.
Punjab National Bank starts at 7.30 per cent for loans up to Rs 30 lakh, compared with 7.25 per cent for loans above Rs 30 lakh.
For some lenders, the rate remains unchanged across loan slabs. Bank of Maharashtra, Central Bank of India and UCO Bank, for example, have the same starting rate across all three categories in the Paisabazaar data.
Look beyond the advertised starting rate
The lowest advertised rate may not be available to every borrower. Credit score, income, employment profile, loan-to-value ratio, property details and the lender’s internal pricing can affect the final rate.
Borrowers should therefore compare the rate actually offered to them rather than relying only on the starting rate. Even a small difference in the interest rate can materially change the total interest paid over a long home loan tenure.
Some lenders also offer concessions for specific borrowers or loan types. Canara Bank, for instance, provides an additional 5 basis points concession under specified schemes for certain takeover, ready-to-move and salaried borrowers, while UCO Bank offers additional concessions for women borrowers and takeover loans.
