BlogsHome loans
Home loan interest rates in India this month, in plain words.
State Bank of India lists home loans from 7.50 to 8.80 percent with effect from 15 October 2026. Its external benchmark rate moved to 8.15 percent. A headline is not the rate on a sanction letter.
A published band is a range of borrowers, not a single price
Home loan interest rates 2026 are published as bands because the bank prices the borrower as well as the product. State Bank of India’s home-loan band from 15 October 2026 is 7.50 to 8.80 percent. Reporting on 16 October 2026, including Mint, noted that the bank raised its external benchmark-based lending rate by 25 basis points, to 8.15 percent. A borrower does not automatically receive the bottom of the band. The letter states the benchmark, the spread and the resulting rate.
Other banks publish other tables. A Hindu BusinessLine roundup of 16 October 2026 showed many banks beginning somewhere around 7.15 to 8 percent. HDFC Bank’s own special-housing table has been written as the repo rate plus a spread that produces a range from 8 to 13.45 percent, even where a page title mentions a lower starting figure. The table that matters is the table for the product actually offered. A title that says “from” a lower number should be checked against the row that matches the borrower’s profile.
