Home Loan Interest Rates Overview – February 2026

Planning to take a home loan requires careful evaluation, as interest rates can vary significantly depending on the lender and the borrower’s profile. Across the country, lenders offer a broad range of home loan interest rates influenced by factors such as credit score, income stability, loan amount, tenure, and repayment history. Because loan terms and pricing differ, comparing available options thoroughly is essential to secure the most suitable and cost-effective deal.

At present, home loan interest rates in the market generally begin at around 7.10% per annum for borrowers with strong credit profiles and can go up to approximately 11.90% per annum for higher-risk or specialized cases.

Current Interest Rate Ranges (Indicative)

• Several lenders are offering starting rates of about 7.10% p.a., with upper limits ranging between 9.15% and 10.25% p.a.

• Some options fall within a mid-range bracket of 7.15% to 9.55% p.a., depending on borrower eligibility and loan conditions.

• A few lenders provide home loans beginning at 7.45% to 7.75% p.a., with no fixed upper cap disclosed, as rates may rise based on risk assessment.

• Other offerings start between 7.80% and 8.00% p.a., with maximum rates extending up to 9.30% to 11.90% p.a.

What Borrowers Should Know

• Lower interest rates are typically available to applicants with high credit scores, stable income, and lower loan-to-value ratios.

• Higher rates may apply to borrowers with lower credit scores, longer tenures, or non-standard income profiles.

• Interest rates may be floating or fixed, and can change over time based on market conditions and policy decisions.

Before finalizing a home loan, borrowers should compare interest rates, processing fees, prepayment terms, and flexibility in repayment to make an informed decision that aligns with their long-term financial goals.