As of May 2023, the cheapest housing loan interest rates in India are offered by the following banks:
- HDFC Bank: 6.70%
- ICICI Bank: 6.75%
- Kotak Mahindra Bank: 6.80%
- Axis Bank: 6.85%
- State Bank of India: 6.90%
These interest rates are for loans with a loan-to-value ratio (LTV) of 80% and a tenure of 20 years. The interest rates may vary depending on the LTV and the tenure of the loan.
It is important to note that these are just the cheapest housing loan interest rates in India. There are many other banks that offer housing loans, and it is important to compare interest rates from different lenders before you decide which one to go with.
Here are some factors to consider when comparing housing loan interest rates:
- The interest rate: This is the most important factor to consider when comparing housing loan interest rates. The lower the interest rate, the less you will have to pay in interest over the life of the loan.
- The loan-to-value ratio (LTV): The LTV is the percentage of the purchase price of the home that you are borrowing. The higher the LTV, the higher the interest rate will be.
- The tenure: The tenure is the length of time that you have to repay the loan. The longer the tenure, the lower the monthly payments will be, but you will pay more interest over the life of the loan.
- The closing costs: Closing costs are the fees that you have to pay when you take out a loan. These costs can vary from lender to lender, so it is important to compare them before you decide which lender to go with.
It is also important to remember that the interest rate is not the only factor to consider when choosing a housing loan. You should also consider the lender’s reputation, the terms of the loan, and the customer service.