Home loan EMI calculator: A small difference in interest rates costs you lakhs; check what SBI, BoI, UBI, others offer — SkimNews
Get the Finance newsletter
Daily finance — markets, central banks, M&A, the prints that move money. Free.
- Bank of Maharashtra tops the September 2026 home loan rate table at 7% annually, followed by Central Bank of India and Bank of India at 7.10%, Union Bank of India and LIC Housing Finance at 7.15%, and SBI, Punjab National Bank and South Indian Bank at 7.25%.
- On a ₹50 lakh, 25-year loan at 7%, the estimated EMI is ₹35,339, while at 7.25% it rises to ₹36,140 — a monthly gap of about ₹801 and roughly ₹2.40 lakh in extra total repayments over the full tenure.
- At an 8% rate on the same ₹50 lakh, 25-year loan, the EMI climbs to ₹38,591, pushing total interest to about ₹65.77 lakh — roughly ₹9.76 lakh more than at 7%.
- Processing fees diverge across lenders: Bank of Maharashtra and Bank of India charge 0.25% (BoM capped at ₹25,000), Union Bank charges 0.50% capped at ₹15,000 plus GST, and SBI lists 0.35% capped at ₹12,000 plus GST.
- Higher-cost peers include Punjab and Sind Bank at 7.35%, Federal Bank and Saraswat Bank at 7.35%, IDBI Bank at 7.40% and HSBC's floating rate at 7.45%, with all advertised as starting rates subject to lender discretion.
Why it matters: A borrower taking a ₹50 lakh, 25-year home loan pays about ₹2.4 lakh more in total repayments by choosing SBI's 7.25% over Bank of Maharashtra's 7%, and roughly ₹9.76 lakh more at 8% — meaning a quarter-point spread on an advertised starting rate quietly shifts total interest by five-figure sums that most shoppers never compare side by side before signing.
Ask SkimNews
