Home Loan Interest Rate Comparison: 12 Lenders by Rate, EMI and Fees
Home loan rates at 12 lenders start from 7.15% (Canara, Union, LIC HFL) to 8.50% (ICICI) as of 17 Sep 2026; fees on ₹50 lakh vary widely.
Written by Rohan Mehta
Updated on 17 September 2026·6 min read
On this page12 sections
Comparing home loan interest rates across 12 major lenders on 17 September 2026, the lowest advertised rate is 7.15%, at Canara Bank, LIC Housing Finance and Union Bank of India, and the highest starting rate is ICICI Bank’s 8.50%. On a ₹50 lakh loan over 20 years, that 1.35 percentage point gap adds ₹4,175 to the EMI and about ₹10 lakh to the total interest.
A fair comparison looks past the starting rate. It also checks the top of each lender’s range, the benchmark the rate follows, the processing fee and the maximum tenure.
Home loan interest rate comparison: 12 lenders
| Lender | Type | Rate range | Rate linked to | Max tenure |
|---|---|---|---|---|
| Canara Bank | Public sector bank | 7.15% to 10.00% | Repo (RLLR) | 30 years |
| LIC Housing Finance | Housing finance company | 7.15% to 10.15% | LHPLR | 30 years |
| Union Bank of India | Public sector bank | 7.15% to 9.35% | Repo (EBLR) | 30 years |
| Bank of Baroda | Public sector bank | 7.20% to 8.95% | Repo (EBLR) | 30 years |
| Bajaj Housing Finance | Housing finance company | 7.25% to 10.25% | Own floating reference rate | 32 years |
| Punjab National Bank | Public sector bank | 7.25% to 9.15% | Repo (RLLR) | 30 years |
| State Bank of India | Public sector bank | 7.25% to 8.55% | Repo (EBLR) | 30 years |
| Kotak Mahindra Bank | Private bank | 7.60% to 9.50% | Repo (EBLR) | 25 years |
| HDFC Bank | Private bank | 7.75% to 13.20% | Repo (EBLR) | 30 years |
| Axis Bank | Private bank | 8.00% to 9.10% | Repo (EBLR) | 30 years |
| Tata Capital Housing Finance | Housing finance company | 8.00% to 13.00% | Own prime lending rate | 30 years |
| ICICI Bank | Private bank | 8.50% to 9.65% | Repo (EBLR) | 30 years |
Updated 17 Sep 2026 · Lender rate pages, checked individually. Lenders change these rates without notice. Our home loan interest rates page tracks them, and our list of home loan interest rates in different banks adds more public sector banks.
What each rate costs on a ₹50 lakh loan
The table shows the EMI over 20 years at each lender’s lowest and highest rate, and the processing fee on ₹50 lakh.
| Lender | EMI at lowest rate | Total interest at lowest rate | EMI at highest rate | Processing fee on ₹50 lakh |
|---|---|---|---|---|
| Canara Bank | ₹39,216 | ₹44,11,939 | ₹48,251 | ₹10,000 + GST (0.50%, capped) |
| LIC Housing Finance | ₹39,216 | ₹44,11,939 | ₹48,749 | Flat fee by loan size, ₹3,000 to ₹50,000 + GST |
| Union Bank of India | ₹39,216 | ₹44,11,939 | ₹46,118 | ₹15,000 + GST (0.50%, capped) |
| Bank of Baroda | ₹39,367 | ₹44,48,192 | ₹44,826 | ₹15,000 (0.50%, capped) |
| Bajaj Housing Finance | ₹39,519 | ₹44,84,512 | ₹49,082 | Up to ₹50,000 (up to 1%) |
| Punjab National Bank | ₹39,519 | ₹44,84,512 | ₹45,470 | ₹15,000 (0.35%, capped) |
| State Bank of India | ₹39,519 | ₹44,84,512 | ₹43,550 | ₹15,000 + GST (0.35%, capped; salaried) |
| Kotak Mahindra Bank | ₹40,586 | ₹47,40,627 | ₹46,607 | Up to ₹1,00,000 + taxes (up to 2%) |
| HDFC Bank | ₹41,047 | ₹48,51,383 | ₹59,293 | Up to ₹25,000 (up to 0.5%) |
| Axis Bank | ₹41,822 | ₹50,37,281 | ₹45,308 | Up to ₹50,000 + GST (up to 1%) |
| Tata Capital Housing Finance | ₹41,822 | ₹50,37,281 | ₹58,579 | Up to ₹1,50,000 + GST (up to 3%) |
| ICICI Bank | ₹43,391 | ₹54,13,879 | ₹47,097 | ₹25,000 + taxes (0.5%) |
The fee gap can be large: on the same ₹50 lakh loan it ranges from ₹10,000 at Canara Bank to as much as ₹1.5 lakh at Tata Capital. The highest rate matters too. A borrower who ends up at the top of HDFC Bank’s range pays ₹59,293 a month, against ₹43,550 at the top of SBI’s.
Banks and housing finance companies compared
| Item | Details |
|---|---|
| Public sector banks | start lowest, from 7.15% to 7.25%, and have the narrowest ranges. SBI’s full range is 7.25% to 8.55%. |
| Private banks | start higher, from 7.60% at Kotak to 8.50% at ICICI. HDFC Bank’s range is the widest of the banks, reaching 13.20%. |
| Housing finance companies | run from 7.15% at LIC Housing Finance to 13.00% at Tata Capital. They price off their own reference rates, so a repo rate change does not pass through automatically. |
At the banks, new floating-rate home loans follow the RBI repo rate, now 5.25%, through an external benchmark. The RBI’s next rate decision is due at its 5–7 October 2026 meeting, and repo-linked loans reset at least once every three months.
How to compare home loan offers
- Check your credit score, since most lenders set your rate by score band.
- Shortlist three or four lenders from the first table.
- Ask each for the rate it will charge you, for your score, loan amount and employment type.
- Get each lender’s Key Fact Statement, which lists the rate, the annual percentage rate and all fees.
- Add the processing fee, legal and valuation charges, and any insurance the lender asks for.
- Compare the EMI and total interest in the EMI calculator over the same tenure.
- Check how the rate is set: a repo-linked rate moves with RBI policy; a lender’s own reference rate moves when the lender decides.
You can switch later. Banks and NBFCs, including housing finance companies, cannot charge a prepayment fee on a floating-rate loan taken by an individual for a non-business purpose. See our guide to home loan balance transfer before moving.
Frequently asked questions
Which bank has the lowest home loan interest rate?
Among the 12 lenders compared, Canara Bank and Union Bank of India start at 7.15%, as does LIC Housing Finance. Bank of Baroda starts at 7.20%.
What is the current home loan interest rate?
Starting rates at these 12 lenders run from 7.15% to 8.50% as of 17 September 2026. The highest rates on the same cards reach 13.20%.
What is SBI’s home loan interest rate for a 750 CIBIL score?
SBI’s card, effective 20 May 2026, gives 7.25% to 8.55% based on CIBIL score, but does not list the rate for each band. Non-salaried borrowers with a score below 825 pay 0.10 percentage point extra, so ask the branch for your exact rate.
Are private bank home loan rates higher than public sector banks?
Their starting rates are. The private banks start from 7.60% to 8.50%, against 7.15% to 7.25% at the public sector banks.
What is the rate of interest for a mortgage loan?
A home loan is a mortgage loan, so the rates above apply. SBI’s loan against property, a different product, costs 8.95% to 10.50%.
Is the lowest rate always the cheapest home loan?
Not always. On ₹50 lakh, processing fees range from ₹10,000 to ₹1.5 lakh, and your rate depends on your credit score. Compare the Key Fact Statements.
Sources
- Rates of interest for retail lending schemes linked to RLLR — Canara Bank (checked 17 Sep 2026)
- Home loan — LIC Housing Finance (checked 17 Sep 2026)
- Rate of interest for retail lending schemes — Union Bank of India (checked 17 Sep 2026)
- Retail loans interest rates — Bank of Baroda (checked 17 Sep 2026)
- Home loan interest rates — Bajaj Housing Finance (checked 17 Sep 2026)
- Retail advances interest rates — Punjab National Bank (checked 17 Sep 2026)
- Home and home related loan interest rate — State Bank of India (checked 17 Sep 2026)
- Home loan interest rates — Kotak Mahindra Bank (checked 17 Sep 2026)
- Home loan interest rates — HDFC Bank (checked 17 Sep 2026)
- Home loan interest rates and charges — Axis Bank (checked 17 Sep 2026)
- Home loan rates and charges — Tata Capital (checked 17 Sep 2026)
- Home loan interest rates — ICICI Bank (checked 17 Sep 2026)
- Monetary policy statement, August 2026 — Reserve Bank of India (checked 17 Sep 2026)
- Pre-payment Charges on Loans Directions, 2025 — Reserve Bank of India (checked 17 Sep 2026)
Compare loans with live numbers
Compare interest rates, processing fees and eligibility across every lender in India — home loans, personal loans, gold loans, car loans, education loans and business credit. All-in cost, not just the teaser rate.
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