From 7.25% to 15%: how home loan rates compare across lenders this July

Rates range from 7.25% to 15%; check what banks and housing finance companies have for you

People planning to get a home loan or refinance one will find lucrative terms in July. Home loan rates are competitive, especially at public sector banks. According to data compiled by Paisabazaar.com, interest rates start as low as 7.25 per cent and can go up to 15 per cent.

 

Several banks and housing finance companies (HFCs) have updated their offers this month, so it’s worth reviewing where you can get the best deals.

 

Public sector banks: Rates start at 7.25 per cent

 

Among public-sector banks, Union Bank of India offers one of the lowest rates, of 7.25 per cent, with additional concessions of 0.05 per cent for borrowers opting for an insurance policy and 0.10 per cent for green home projects. State Bank of India (SBI) offers loans in the range of 7.50 per cent to 8.70 per cent, irrespective of the amount.

 

Bank of Baroda and Punjab National Bank offer rates beginning at 7.50 per cent and 7.55 per cent, respectively. Women borrowers and those transferring their loans from other banks may get a small rate cut at UCO Bank, which offers additional 0.05 per cent and 0.10 per cent concessions.

 

Following is a detailed table of offerings from public sector banks

 

Name of Lender	Loan Amount (Rs)
	Upto 30 Lakh	Above 30 Lakh & Upto 75 Lakh	Above 75 Lakh
PUBLIC SECTOR BANKS
State Bank of India	7.50-8.70	7.50-8.70	7.50-8.70
Bank of Baroda	7.50-9.25	7.50-9.25	7.50-9.50
Union Bank of India*	7.25-9.75	7.25-9.90	7.25-9.90
Punjab National Bank	7.55-9.35	7.50-9.25	7.50-9.25
Bank of India	7.35-10.10	7.35-10.10	7.35-10.35
Canara Bank	7.50-10.25	7.45-10.25	7.40-10.15
UCO Bank**	7.40-9.00	7.40-9.00	7.40-9.00
Bank of Maharashtra	7.35-10.15	7.35-10.15	7.35-10.15
Punjab and Sind Bank	7.55-10.75	7.55-10.75	7.55-10.75
Indian Overseas Bank	7.35 onwards	7.35 onwards	7.35 onwards
Indian Bank	7.40-9.40	7.40-9.40	7.40-9.40
Central Bank of India	7.35-9.40	7.35-9.40	7.35-9.40

Private banks: Higher rates, but flexibility

Private sector banks have higher rates. Kotak Mahindra Bank’s rates starts at 8.20 per cent, while ICICI Bank and HDFC Bank have home loans beging at 8.15 per cent. Axis Bank’s range is wider, from 8.75 per cent up to 12.80 per cent, depending on borrower's profile and loan tenure.

 

For those planning to buy premium properties, some lenders maintain the same rates regardless of loan size.

 

Following is a detailed table of offerings from private-sector banks

 

Name of Lender	Loan Amount (Rs)
	Upto 30 Lakh	Above 30 Lakh & Upto 75 Lakh	Above 75 Lakh
PRIVATE SECTOR BANKS
Kotak Mahindra Bank	8.20 onwards	8.20 onwards	8.20 onwards
ICICI Bank	8.50 onwards	8.50 onwards	8.50 onwards
Axis Bank	8.75-12.80	8.75-12.80	8.75-9.65
HSBC Bank	8.25 onwards	8.25 onwards	8.25 onwards
South Indian Bank	8.30-10.60	8.30-10.60	8.30-10.60
Karur Vysya Bank	8.45-11.40	8.45-11.40	8.45-11.40
Karnataka Bank	8.40-10.86	8.40-10.86	8.40-10.86
Federal Bank	9.15 onwards	9.15 onwards	9.15 onwards
Tamilnad Mercantile Bank	8.15-9.50	8.15-9.50	8.15-9.50
Bandhan Bank	8.41-15.00	8.41-12.58	8.41-12.58
RBL Bank	8.20 onwards	8.20 onwards	8.20 onwards
CSB Bank	9.39-11.08	9.39-11.08	9.39-11.08
HDFC Bank	8.15 onwards	8.15 onwards	8.15 onwards
City Union Bank	9.55-14.95	9.35-14.95	9.35-13.25

Housing finance companies

 

LIC Housing Finance starts from 7.50 per cent, while Bajaj Housing Finance is marginally lower at 7.49 per cent. Tata Capital and PNB Housing Finance are on the higher side, with rates starting 7.99 per cent and 8.25 per cent respectively.

 

Following is a detailed table of offerings from HFCs

 

Name of Lender	Loan Amount (Rs)
	Upto 30 Lakh	Above 30 Lakh & Upto 75 Lakh	Above 75 Lakh
HOUSING FINANCE COMPANIES (HFCs)
LIC Housing Finance	7.50 onwards	7.50 onwards	7.50 onwards
Bajaj Housing Finance	7.49 onwards	7.49 onwards	7.49 onwards
Tata Capital	7.99 onwards	7.99 onwards	7.99 onwards
PNB Housing Finance	8.25-11.50	8.25-11.50	8.25-12.35
GIC Housing Finance	8.80 onwards	8.80 onwards	8.80 onwards
SMFG India Home Finance	10.00 onwards	10.00 onwards	10.00 onwards
Sammaan Capital  (Formerly Indiabulls Housing Finance)	8.75 onwards	8.75 onwards	8.75 onwards
Aditya Birla Capital	8.25 onwards	8.25 onwards	8.25 onwards
ICICI Home Finance	8.80 onwards	8.80 onwards	8.80 onwards
Godrej Housing Finance	8.55 onwards	8.55 onwards	8.55 onwards
*Extra interest rate concession of 0.05% to borrowers opting for insurance policy and extra 0.10% on green home projects.  **Additional concession of 0.05% & 0.10% for women borrowers & takeover loans, respectively.
Rates as of 2nd July 2025
Source: Paisabazaar.com

What should borrowers do?

 

Compare widely: Even a 0.25 per cent difference in rates can translate into significant savings over a 20-year loan.

 

Check for concessions: Women borrowers and those opting for energy-efficient homes can benefit from discounts with select lenders.

 

Consider fixed vs floating: With interest rates expected to remain stable in the near term, borrowers may weigh whether a fixed-rate loan suits their needs.

 

With rates still above pre-pandemic levels, experts suggest negotiating hard with lenders and opting for a shorter tenure if possible to save on interest costs.