KEY HIGHLIGHTS
- SBI, Bank of Baroda and Bank of Maharashtra are offering home loans starting from 7.10%
- For a ₹60 lakh loan over 20 years, EMI can go below ₹47,000 at the lowest rate
- Borrowers with high CIBIL scores should compare offers before applying
Buying a home is a long-term financial commitment, and even a small difference in home loan interest rate can change your total repayment by several lakhs. That is why comparing interest rates and EMIs before applying is extremely important.
At present, leading public sector banks such as State Bank of India, Bank of Baroda, and Bank of Maharashtra are offering competitive home loan rates. Let us understand who actually benefits the borrower the most when taking a ₹60 lakh home loan for 20 years.
A home loan tenure usually spans 15–30 years. Over such a long period, even a 0.10% difference in interest rate can increase or reduce your total interest burden significantly. Hence, borrowers should not focus only on EMI but also on total repayment and flexibility.
Home Loan : SBI vs BoB vs BoM
| Event / Category | Details / Dates |
|---|---|
| Banks Compared | SBI, Bank of Baroda, Bank of Maharashtra |
| Loan Amount | ₹60,00,000 |
| Tenure | 20 Years |
| Interest Rate Range | 7.10% – 7.25% |
| Source | India Tv |
| Application Mode | Online / Branch Visit |
Who Gets the Cheapest Home Loan?
Banks offer their lowest interest rates only to eligible borrowers. Final approval depends on multiple factors such as income stability and credit behaviour.
Eligibility Factors Considered by Banks
- CIBIL Score: 800+ gets the best rates
- Age: Generally 21–60 years (salaried)
- Income: Stable monthly income with repayment capacity
- Employment: Salaried or self-employed with continuity
- Existing Loans: Lower EMI burden improves approval chances
Important: Even if a bank advertises a low rate, final interest is decided after profile verification.
SBI Home Loan Details
- Starting Interest Rate: 7.25%
- Offered to new customers
- Trusted nationwide branch network
- No prepayment penalty on floating-rate loans
SBI is often preferred for its reliability, but its rate is slightly higher compared to peers.
Bank of Baroda Home Loan Details
- Starting Interest Rate: 7.20%
- No hidden charges
- No prepayment or foreclosure penalty
- Maximum tenure up to 30 years
- Interest calculated on daily reducing balance
This option suits borrowers looking for transparency and longer tenure flexibility.
Bank of Maharashtra Home Loan Details
- Starting Interest Rate: 7.10% (lowest among the three)
- Extra 0.05% concession for women and defence personnel
- Zero prepayment and pre-closure charges
- Bank claims to offer the lowest home loan rate in India
For eligible borrowers, this bank currently provides the most affordable home loan option.
EMI Calculation: ₹60 Lakh Home Loan for 20 Years
If you take a home loan of ₹60 lakh for 20 years at an interest rate of 7.10%, here is how the repayment looks:
- Monthly EMI: ₹46,879
- Total Interest Paid: ₹52,50,904
- Total Amount Repaid: ₹1,12,50,904
A higher interest rate of even 7.25% can push your EMI and interest payout noticeably higher over time.
Editor’s Tip (Must Read)
Before submitting your application, check your CIBIL report for errors and clear small dues. Even a minor improvement in score can help you negotiate a better rate. Also, apply during bank festive offers for faster approvals.
FAQs on Home Loans in India
Q1. Is a CIBIL score of 750 enough for a home loan?
Yes, but borrowers with 800+ scores usually get the lowest interest rates.
Q2. Can I prepay my home loan without penalty?
Yes, all three banks allow zero prepayment charges on floating-rate home loans.
Q3. Which bank is best for women home loan borrowers?
Bank of Maharashtra offers an additional interest discount for women borrowers.
