Home Loan Interest Rates in 2025

With the real estate market showing strong growth, understanding home loan interest rates and eligibility criteria is crucial for property buyers.

Current Interest Rate Scenario

  • SBI: 8.50% - 9.25% per annum
  • HDFC: 8.60% - 9.30% per annum
  • ICICI: 8.55% - 9.35% per annum
  • Axis Bank: 8.75% - 9.40% per annum

Factors Affecting Interest Rates

  • Credit score (750+ gets best rates)
  • Income stability and employment type
  • Loan amount and tenure
  • Property location and type
  • Existing relationship with bank

Types of Interest Rates

Fixed Rate: Rate remains constant throughout the tenure

Floating Rate: Rate changes with market conditions

Hybrid Rate: Fixed for initial years, then floating

Eligibility Criteria

  • Age: 21-65 years
  • Income: Minimum ₹25,000 per month
  • Credit Score: 750 and above preferred
  • Employment: 2+ years experience

Documents Required

  • Income proof (salary slips, ITR)
  • Identity and address proof
  • Bank statements (6 months)
  • Property documents
  • Employment proof

Tips to Get Lower Interest Rates

  • Maintain excellent credit score
  • Compare offers from multiple banks
  • Negotiate based on your profile
  • Consider balance transfer options
  • Opt for shorter tenure if possible