Planning to take a home loan? Here are the cheapest rates available (2024)

For many, the aspiration of homeownership is a significant dream, given that purchasing a house is one of the most crucial financial choices. However, transforming this dream into reality necessitates having adequate funds. Business Standard has compiled a list of the best home loan rates being offered by various financial institutions currently.

Among the public sector banks, Bank of India offers the most competitive interest rates, starting at 8.30 per cent for loan amounts up to Rs 30 lakh, and 8.35 percent for amounts above Rs 35 lakh and 75 lakh. Bank of Maharashtra provides loans at 8.35 percent for amounts up to Rs 30 lakh and 8.35 percent for amounts above Rs 35 lakh and Rs 75 lakh. Following closely, Union Bank of India offers attractive interest rates starting at 8.35 percent for all categories of loans up to Rs75 lakh and above. State Bank of India, Indian Overseas Bank, and Punjab National Bank offer competitive rates of 8.40 percent for all categories.

Here is a list curated on home loans offered by public sector banks:

Among the private sector banks, HSBC Bank offers the lowest rates, starting at 8.45 percent for loan amounts from Rs 30 lakh to above Rs 75 lakh. Following closely, HDFC Bank Ltd. provides competitive rates, starting at 8.55 percent for loan amounts in all three categories (up to Rs 30 Lakh, above Rs 30 Lakh & up to Rs 75 Lakh, and above Rs 75 Lakh). Kotak Mahindra Bank has home loans starting at 8.70 percent for loan amounts in all three categories. ICICI Bank and Axis Bank offer rates starting at 8.75 percent for all loan categories.

Here is a list curated on home loans offered by private sector banks:

Among the Housing Finance Companies, LIC Housing Finance offers the lowest home loan interest rates of 8.35 percent for loan amounts in all three categories (up to Rs 30 Lakh, above Rs 30 Lakh & up to Rs 75 Lakh, and above Rs 75 Lakh). Bajaj Housing Finance provides competitive rates, starting at 8.50 percent onwards for all three loan categories. PNB Housing Finance offers rates at 8.50 percent, followed by Tata Capital with rates starting at 8.70 percent. Godrej Housing Finance offers rates starting at 8.55 per cent onwards. Indiabulls Housing provides rates starting at 8.75 per cent for loan amounts in all three categories.