Rate of Interest on Home Loan at 15-year Low; Check Out the Current Rates
The headquarters of HDFC bank is pictured in Mumbai. (Reuters)
During the ongoing festive season, the interest rates on home loans have been reduced by some of the biggest banks of the country like State Bank of India, Bank of Baroda, Kotak Mahindra Bank and Union Bank of India.
There are also additional benefits for home buyers during this period, such as discounts on processing fees. There are special benefits for women home buyers, reported Mint.
As per Santosh Kumar, who is the vice-chairman of ANAROCK Property Consultants, the home loan interest rates are at a 15-year low.
Read about the rate of interests in different banks:
• State Bank of India
A loan of up to Rs 30 lakh will have an interest rate of 6.09 percent. An interest rate of 7 percent will be applicable on the home loan amount above 30 lakhs. An interest concession of 25 bps will be given to borrowers on a home loan above Rs 75 lakhs, based on their CIBIL score.
• Bank of Baroda
A 15-basis point reduction in the repo-linking lending rate for housing loans has been announced by the bank. An interest rate of 6.85 percent will be applicable for home loans given by the bank.
• Kotak Mahindra Bank
Home loans at the bank are starting at 6.9 percent per annum. The bank said that if borrowers of another bank move their loan account to Kotak Mahindra Bank, then they can save up to Rs 20 lakh for transferring the balance. Special rates will be applicable for women applicants.
• Union Bank of India
The rate of interest will start from 7 percent in this bank. For the home loans above 30 lakhs, the bank has slashed its interest rate by 10 points. There is a special provision for women borrowers. They will get an additional concession of 5 basis points in rate of interest. As per the Mint report, there will be no processing fees till December 31.
Other banks such as Axis Bank, ICICI Bank and HDFC Bank also have rates of interest for home loans starting at 6.9 percent.