In a world of high inflation, owning a roof overhead seems a distant dream for many. The property prices soaring sky-high and interest rates on home loans hitting the upper sky make the pain more unbearable. The great news is that three government banks are offering home loans at an unbelievably low interest rate, making your dream home affordable like never before!
If you want to buy a house in the near term, consider this a golden opportunity to avail yourself of a low-interest home loan. Let us discuss which banks are giving the lowest rates on home loans and what your monthly EMI would look like if you took a loan of ₹30 lakh.
1. Bank of Maharashtra – Interest Rate Starting at 8.10%
Bank of Maharashtra maintains one of the cheapest rates in the home loan market. With an acceptable CIBIL score (750+) and a good income, the applicant will be able to avail of a home loan at an interest rate of just 8.10%.
Why Bank of Maharashtra?
- Lowest interest rates among public sector banks.
- Flexible options for repayment tenure.
- Expeditious loan processing for eligible customers.
Pro tip: A good credit score gives you the edge not only to obtain the loan but to become eligible for the best interest rate on it as well.
2. Union Bank of India – Competitive Rate of 8.10%
Another great choice for homebuyers in search of affordable home loans is Union Bank of India. Offering loans at 8.10% interest, please note that your CIBIL score has a big role to play in determining your final rate.
Benefits of Union Bank Home Loan:
- Attractive interest rates for salaried & self-employed persons.
- Minimal processing fees.
- Balance transfer option if you have a current high-interest loan.
3. Central Bank of India – Home Loan at 8.10% Interest
Central Bank of India is also in the race to give low-cost home loans to aspiring homeowners. At an interest rate beginning from 8.10%, this bank is a strong consideration for every dream home seeker.
Noteworthy Features Here:
- Loan processing with no hidden charges.
- Long repayment tenure (up to 30 years).
- Additional benefits for women borrowers (reduced interest rates on certain occasions).
What Will Be Your EMI for a ₹30 Lakh Home Loan?
If you get a ₹30-lakh home loan from any of these banks at an interest rate of 8.10% for 20 years, the approximate monthly EMI would be ₹25,280.
Quick Calculation:
- Loan Amount: 30,00,000
- Interest Rate: 8.10% p.a.
- Tenure: 20 years
- Monthly EMI: 25,280
Pro Tip: The home loan EMI calculator is a great tool to calculate your loan amount and tenure as per your financial flexibility.