Latest Home Loan Interest Rates After RBI Repo Rate Decision

• RBI maintains repo rate at 5.25% in February 2026 policy

• Home loan EMIs to remain unchanged across major banks

• Borrowers get stability and clarity for long-term planning

Home loan borrowers have received a dose of certainty after the Reserve Bank of India (RBI) decided to keep the repo rate unchanged at 5.25% in its February 2026 monetary policy review. With no rate hike or cut announced, existing borrowers can expect their EMIs to remain stable, while prospective homebuyers gain better visibility on borrowing costs.

According to the latest data compiled from Paisabazaar, home loan interest rates across leading public and private sector banks have largely remained steady following the RBI’s status quo decision. Here’s a snapshot of prevailing rates as of 5 February 2026.

Latest Home Loan Interest Rates Across Major Banks

• State Bank of India (SBI): 7.25% – 8.70%
  SBI continues to offer some of the most competitive rates in the market, making it a popular choice for salaried individuals and first-time homebuyers.

• HDFC Bank: 7.90% onwards
  As India’s largest private mortgage lender, HDFC Bank maintains stable pricing, benefiting borrowers amid policy continuity.

• ICICI Bank: 7.45% onwards
  ICICI Bank’s rates remain attractive for borrowers seeking a balance between public and private sector offerings.

• Bank of Baroda (BoB): 7.20% – 9.25%
  With the repo rate unchanged, BoB customers can plan long-tenure repayments without fear of sudden EMI increases.

• Union Bank of India: 7.15% – 9.50%
  Known for concessional rates for select borrower categories, Union Bank continues to support affordable housing finance.

• Punjab National Bank (PNB): 7.20% – 9.10%
  The RBI’s pause helps PNB borrowers avoid EMI volatility at a time of global economic uncertainty.

• Bank of India (BoI): 7.10% – 10.25%
  Borrowers qualifying for lower-rate slabs stand to benefit the most from continued policy stability.

• Canara Bank: 7.15% – 10.00%
  Stable rates allow borrowers to reassess loan tenure and explore partial prepayment options.

• Axis Bank: 8.00% – 11.90%
  Rates remain unchanged, offering predictability for borrowers despite being on the higher end.

• Kotak Mahindra Bank: 7.70% onwards
  Kotak continues to cater to borrowers seeking flexible loan products with stable pricing.

What the RBI Decision Means for Borrowers

The RBI’s decision to maintain the repo rate signals policy continuity at a time when domestic inflation is under control, but global risks persist. For home loan borrowers, this translates into:

• No immediate change in EMIs

• Improved confidence in long-term financial planning

• Opportunities to optimise loan tenure or make partial prepayments

• Greater clarity for new buyers planning property purchases

Commenting on the development, Santosh Agarwal, CEO of Paisabazaar, said the unchanged rate environment offers predictability, which is crucial for long-term borrowers. Stable affordability, she noted, should continue to support positive borrowing sentiment, especially among first-time homebuyers.

She also highlighted that the Monetary Policy Committee’s move to enhance collateral-free loan limits for micro and small enterprises reflects a broader effort to strengthen credit access, support entrepreneurship, and improve last-mile lending across India’s MSME sector.