Finding 4: Housing Finance Rates — LIC HF, PNB HF, HDFC Bank, SBI April 2026

Date: April 23, 2026
Source: BankBazaar.com — Home Loan Interest Rate Comparison
URL: https://www.bankbazaar.com/home-loan-interest-rate.html
Source Tier: B (Aggregator/comparison platform; rates sourced from lenders)
Date Tier: T1 (Current as of April 23, 2026)


Current Home Loan Interest Rates (April 2026)

LenderRate (Floating)Processing Fee
LIC Housing Finance (LIC HF)7.15% p.a. onwards0.25% (up to ₹1 cr, max ₹15,000) + GST
PNB Housing Finance (PNB HF)7.75% p.a. (floating)0.35%, min ₹2,500 – max ₹15,000
PNB HF (Fixed)14.75% p.a.
SBI / Central Bank7.10% p.a. onwardsvaries
IDBI Bank7.20% p.a. (floating), 8.90% (fixed)Min ₹8,500; Max ₹25,000
Bandhan Bank8.41% p.a. onwardsContact bank
Yes Bank9.00%–11.50% p.a.1.5% of loan + GST
Karur Vysya Bank8.50% p.a. onwards
Saraswat Bank7.35% p.a. onwards₹2,500–₹7,500 + GST
Market Floor7.10% p.a.

Note: HDFC Bank (post-HDFC Ltd merger) home loan rates are approximately 8.30–8.75% p.a. for salaried borrowers as of April 2026, linked to EBLR (External Benchmark Lending Rate = Repo 5.25% + spread).


Rate Context & Movement

  • Pre-cut peak (Dec 2024): Repo 6.50% → home loans were 8.50–9.25% range
  • April 2026: Repo 5.25% (cumulative 125bps cut since Feb 2025) → home loans 7.10–8.75% range
  • Total transmission: ~100–140bps pass-through to borrowers over the cutting cycle
  • Repo HELD April 2026 → no immediate rate benefit; EMI on ₹1 cr / 20-yr loan at 7.5% = ₹80,559/month

Disbursal Trend Signal (RBI Data)

  • Bank credit growth (all credit): 14.3% y-o-y as of April 2026 (RBI Governor’s statement)
  • Housing credit (HFCs + banks) historically tracks overall credit; estimated 15–17% y-o-y growth in housing segment
  • Cement production: +9.3% y-o-y; Steel: +12.8% y-o-y (Feb 2026) → proxy for disbursals supporting construction
  • Capacity utilisation in manufacturing at 75.5% (Q3 FY2025-26) → strong domestic investment environment

Real Estate Implications for Runwal (Mumbai Developer)

  • LIC HF at 7.15% is highly competitive — strong pull for end-user demand in MMR mid/affordable segment
  • PNB HF at 7.75% floating still affordable vs 3–4 years ago (was 9%+)
  • No RBI cut in April → rates frozen; next potential cut June 2026 (if West Asia conflict eases)
  • Developers should continue FY2026-27 sales with current rate narrative: “EMIs at multi-year lows; repo may hold or cut further”
  • Subvention schemes viable at 7.10–7.75% base rates; avoid fixed-rate offerings given rate uncertainty

Cross-reference: RBI policy repo 5.25% (held Apr 8, 2026) | EBLR = Repo + spread | Rates subject to credit score and LTV adjustments