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Currently Capitulated Home Loan Interest Rates for August 8, 2025

Latest Home Loan Interest Rates in 2024: Explore the current interest rates on home loans offered by major banks in India, as detailed by BusinessLine.

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Current Home Mortgage Interest Rates for August 8, 2025
Current Home Mortgage Interest Rates for August 8, 2025

Currently Capitulated Home Loan Interest Rates for August 8, 2025

Home Loan Interest Rates in India: A Comprehensive Overview

As of August 2025, home loan interest rates in India vary significantly across banks and financial institutions (FIs). Here's a breakdown of the current rates for floating and fixed home loan interest rates.

Floating Interest Rates

Major banks' floating interest rates fall roughly between: - 6.95% to 7.85% (HDFC Bank) - 7.00% to 7.70% (State Bank of India) - 7.45% to 8.05% (ICICI Bank)

Higher rates up to 9.75% to 13% apply in housing finance companies like PNB Housing, varying by credit score and borrower profile.

Some specific examples of lowest floating rates by banks start approximately from 7.30% (Canara Bank, Bank of India, and Bank of Maharashtra) and upward, but many public sector banks offer home loan floating rates from about 8.19% to 9.20% and higher.

Fixed Interest Rates

Fixed rates are significantly higher, around 15.75% at PNB Housing Finance, reflecting price stability at a premium. Some private banks offer fixed rates starting from 7.90%, but many public sector banks offer home loan fixed rates from about 8.19% to 9.20% and higher.

Key Details

  • The Reserve Bank of India (RBI) repo rate is currently 5.5% after three rate cuts in 2025, which influences banks’ lending rates. However, experts suggest no further cuts soon, so interest rates may remain stable in the near term.
  • Banks use MCLR (Marginal Cost of Funds based Lending Rate) as a benchmark for floating rates; for example, Indian Bank's one-year MCLR is 9.00% as of August 2025, which affects their home loan floating rates.
  • For Bureau Score 751 and above, some banks/FIs offer lower interest rates.
  • It is important to carefully review the terms and conditions of any loan offer before making a decision.

Examples of Floating Interest Rates

  • Sundaram Home Finance Ltd offers a floating interest rate of 10% or more for all loan amounts.
  • IDBI Bank offers floating interest rates of 7.65-12.15% for loans under Rs. 30 lakh, 7.65-12.15% for loans between Rs. 30 lakh and Rs. 75 lakh, and 7.65-12.15% for loans over Rs. 75 lakh.
  • Punjab & Sind Bank offers floating interest rates of 7.55-10.75% for loans under Rs. 30 lakh, 7.55-10.75% for loans between Rs. 30 lakh and Rs. 75 lakh, and 7.55-10.75% for loans over Rs. 75 lakh.
  • PNB Housing offers floating interest rates of 8.25-12.15% for loans under Rs. 30 lakh, 8.25-12.35% for loans between Rs. 30 lakh and Rs. 75 lakh, and 8.25-12.35% for loans over Rs. 75 lakh.
  • Tamilnad Mercantile Bank offers floating interest rates of 8.15-9.50% for loans under Rs. 30 lakh, 8.15-9.50% for loans between Rs. 30 lakh and Rs. 75 lakh, and 8.15-9.50% for loans over Rs. 75 lakh.
  • IIFL Home Finance offers a floating interest rate of 8.75% or more for all loan amounts.
  • Kotak Mahindra Bank offers a floating interest rate of 7.99% or more for loans under Rs. 30 lakh, and the same for loans between Rs. 30 lakh and Rs. 75 lakh and loans over Rs. 75 lakh.
  • Union Bank of India offers floating interest rates of 7.30-10% for loans under Rs. 30 lakh, 7.30-10% for loans between Rs. 30 lakh and Rs. 75 lakh, and 7.30-10% for loans over Rs. 75 lakh.
  • HDFC Bank offers floating interest rates of 7.90-13.20% for loans under Rs. 30 lakh, 7.90-13.20% for loans between Rs. 30 lakh and Rs. 75 lakh, and 7.90-13.20% for loans over Rs. 75 lakh.
  • Bajaj Finserv offers floating interest rates of 7.49-18.0% for all loan amounts.
  • Yes Bank offers floating interest rates of 9.0-11.50% for loans under Rs. 30 lakh, 9.0-11.50% for loans between Rs. 30 lakh and Rs. 75 lakh, and 9.0-11.50% for loans over Rs. 75 lakh.
  • Central Bank Housing offers floating interest rates of 10-12.85% for loans under Rs. 30 lakh, 10-12.85% for loans between Rs. 30 lakh and Rs. 75 lakh, and 10-12.35% for loans over Rs. 75 lakh.
  • Karnataka Bank offers floating interest rates of 8.19-10.74% for loans under Rs. 30 lakh, 8.19-10.74% for loans between Rs. 30 lakh and Rs. 75 lakh, and 8.19-10.74% for loans over Rs. 75 lakh.
  • Karur Vysya Bank offers floating interest rates of 7.95-10.90% for loans under Rs. 30 lakh, 7.95-10.90% for loans between Rs. 30 lakh and Rs. 75 lakh, and 7.95-10.90% for loans over Rs. 75 lakh.
  • ICICI Bank offers floating interest rates of 7.70% or more for loans over Rs. 75 lakh.
  • UCO Bank offers floating interest rates of 7.35-9.50% for loans under Rs. 30 lakh, 7.35-9.50% for loans between Rs. 30 lakh and Rs. 75 lakh, and 7.35-9.50% for loans over Rs. 75 lakh.
  • J&K Bank offers a floating interest rate of 8.0% or more for loans under Rs. 30 lakh, and the same for loans between Rs. 30 lakh and Rs. 75 lakh and loans over Rs. 75 lakh.
  • Samman Capital offers floating interest rates of 8.75% or more for loans under Rs. 30 lakh, and the same for loans between Rs. 30 lakh and Rs. 75 lakh and loans over Rs. 75 lakh.
  • Aditya Birla Housing Fin offers floating interest rates of 8.25% or more for loans under Rs. 30 lakh, and the same for loans between Rs. 30 lakh and Rs. 75 lakh and loans over Rs. 75 lakh.
  • Piramal Capital & Housing Finance offers a floating interest rate of 9.50% or more for all loan amounts.
  • Axis Bank offers floating interest rates of 8.35-9.35% for loans under Rs. 30 lakh, 8.35-9.35% for loans between Rs. 30 lakh and Rs. 75 lakh, and 8.35-9.35% for loans over Rs. 75 lakh.
  • LIC Housing Finance Ltd offers floating interest rates of 7.50-9.70% for loans under Rs. 30 lakh, 7.50-9.90% for loans between Rs. 30 lakh and Rs. 75 lakh, and 7.50-10.0% for loans over Rs. 75 lakh.
  • Tata Capital offers floating interest rates of 7.75% or more for loans under Rs. 30 lakh, and the same for loans between Rs. 30 lakh and Rs. 75 lakh and loans over Rs. 75 lakh.
  • RBL Bank offers a floating interest rate of 9.0% or more for loans under Rs. 30 lakh, and the same for loans between Rs. 30 lakh and Rs. 75 lakh and loans over Rs. 75 lakh.
  • Bank of Baroda offers floating interest rates of 7.45-9.20% for loans under Rs. 30 lakh, 7.45-9.20% for loans between Rs. 30 lakh and Rs. 75 lakh, and 7.45-9.20% for loans over Rs. 75 lakh.
  • South Indian Bank offers a floating interest rate of 7.75% or more for loans under Rs. 30 lakh, and the same for loans between Rs. 30 lakh and Rs. 75 lakh and loans over Rs. 75 lakh.
  • GIC Housing Finance Ltd offers floating interest rates of 8.80% or more for all loan amounts.
  • DBS Bank offers a floating interest rate of 8.75% or more for loans under Rs. 30 lakh, and the same for loans between Rs. 30 lakh and Rs. 75 lakh and loans over Rs. 75 lakh.

Note: The interest rates provided may change over time as per the bank's terms and conditions. This article provides a snapshot of the interest rates as of August 2025. It is always recommended to consult with the respective bank or financial institution for the most accurate and up-to-date information.

Personal finance plays a crucial role in making informed decisions about home loans. When considering floating interest rates, for example, Sundaram Home Finance Ltd offers a rate of 10% or more, while Canara Bank, Bank of India, and Bank of Maharashtra start from 7.30%. Meanwhile, in the case of fixed interest rates, PNB Housing Finance offers around 15.75%, contrasting with private banks like Kotak Mahindra Bank starting from 7.99%. It's essential to carefully review terms and conditions when evaluating loan offers from different banks and financial institutions (FIs).

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