Home Loan Interest Rates: SBI vs HDFC vs ICICI (March 2026)

Buying a home is the biggest financial decision most Indians make. A difference of just 0.25% in interest rate can mean lakhs in savings over a 20-year loan. Here's how the top banks compare in March 2026.

Interest Rate Comparison

SBI Home Loan: 8.50% - 9.65% | HDFC Ltd: 8.70% - 9.75% | ICICI Bank: 8.75% - 9.85% | Kotak: 8.75% - 9.50% | Bank of Baroda: 8.40% - 10.25%.

Processing Fees

SBI: 0.35% (min ₹2,000, max ₹10,000) | HDFC: 0.50% (max ₹3,000) + GST | ICICI: 0.50% (min ₹3,000) | Kotak: ₹8,500 flat.

Prepayment Charges

Good news: For floating rate home loans, RBI mandates ZERO prepayment/foreclosure charges. This applies to all banks. For fixed rate loans, banks can charge 2-3%.

EMI Comparison for ₹50 Lakh Loan (20 years)

SBI @ 8.50%: ₹43,391/month | HDFC @ 8.70%: ₹44,044/month | ICICI @ 8.75%: ₹44,209/month. Over 20 years, SBI saves you ₹1.47 lakh vs HDFC and ₹1.96 lakh vs ICICI.

Pro Tips

1. Negotiate — rates shown are starting rates, your actual rate depends on CIBIL score and profile. 2. Consider balance transfer if your current rate is >9.25%. 3. Make part-prepayments whenever possible — even ₹50,000/year extra can save 3-4 years of EMI.

Use KarCompare

Try our EMI Calculator to model different scenarios and Loan Comparison tool to see a side-by-side breakdown of all banks.