<div id="readability-page-1"><div id="parent_top_div">The Reserve Bank of India’s Monetary Policy Committee (MPC) on April 8 held the repo rate at 5.25 per cent, continuing its pause after a series of rate cuts over the past year. For home loan borrowers, the decision signals stability. Since most home loans are linked to benchmarks such as the repo rate, an unchanged policy rate means EMIs will remain steady in the near term. Banks are also expected to hold lending rates unless there is a shift in liquidity conditions or policy stance. “Keeping rates steady means stability for current and future home loan borrowers. EMIs will remain unchanged, which makes planning for the future easier. This is especially good news for people buying homes, who can now move forward with more confidence,” said Anuj Puri, Chairman, ANAROCK Group. How do home loan borrowers gain from RBI’s decision? Though the decision does not bring fresh relief, borrowers have already gained from the cumulative 125 basis points reduction in the repo rate since early 2025. These cuts have translated into lower borrowing costs, reduced EMIs, and interest savings over the life of home loans, particularly for those whose loans have fully adjusted to the rate cycle. So, how does this translate into actual benefit? According to Adhil Shetty, CEO of BankBazaar.com, “On a ₹50 lakh, 20-year loan, that translates to an EMI saving of around ₹3,050 per month and a lifetime interest saving of approximately ₹7.34 lakh. On a ₹75 lakh loan, the monthly saving is approximately ₹5,800, with total interest savings of around ₹13.94 lakh. A rate hold keeps these gains intact.” He added that borrowers still on MCLR-linked products are not seeing this benefit automatically and should switch to a repo-linked loan without delay. “Those paying 50 basis points or more above current market rates should explore refinancing now,” Shetty said. What are banks charging for home loans? According to data shared by Policy Bazaar: Public sector banks State Bank of India: Up to ₹30 lakh: 7.25–8.70% ₹30–75 lakh: 7.25–8.70% Above ₹75 lakh: 7.25–8.70% Bank of Baroda: Up to ₹30 lakh: 7.20–9.00% ₹30–75 lakh: 7.20–9.00% Above ₹75 lakh: 7.20–9.25% Union Bank of India: Up to ₹30 lakh: 7.15–9.50% ₹30–75 lakh: 7.15–9.50% Above ₹75 lakh: 7.15–9.50% Punjab National Bank: Up to ₹30 lakh: 7.25–9.10% ₹30–75 lakh: 7.20–9.00% Above ₹75 lakh: 7.20–9.00% Bank of India: Up to ₹30 lakh: 7.10–10.00% ₹30–75 lakh: 7.10–10.00% Above ₹75 lakh: 7.10–10.25% UCO Bank: Up to ₹30 lakh: 7.15–9.25% ₹30–75 lakh: 7.15–9.25% Above ₹75 lakh: 7.15–9.25% Bank of Maharashtra: Up to ₹30 lakh: 7.10–9.90% ₹30–75 lakh: 7.10–9.90% Above ₹75 lakh: 7.10–9.90% Indian Overseas Bank: All slabs: 7.10% onwards Indian Bank: Up to ₹30 lakh: 7.15–9.55% ₹30–75 lakh: 7.15–9.55% Above ₹75 lakh: 7.15–9.55% Central Bank of India: Up to ₹30 lakh: 7.10–9.15% ₹30–75 lakh: 7.10–9.15% Above ₹75 lakh: 7.10–9.15% Private sector banks Kotak Mahindra Bank: All slabs: 7.70% onwards ICICI Bank: All slabs: 7.45% onwards Axis Bank: Up to ₹30 lakh: 8.00–11.90% ₹30–75 lakh: 8.00–11.90% Above ₹75 lakh: 8.00–9.10% HSBC Bank: All slabs: 7.45% onwards South Indian Bank: All slabs: 7.20% onwards Karur Vysya Bank: All slabs: 8.50–10.65% Karnataka Bank: All slabs: 7.31–11.69% Federal Bank: Up to ₹30 lakh: 8.30–10.75% ₹30–75 lakh: 7.30–10.75% Above ₹75 lakh: 7.30–9.75% Tamilnad Mercantile Bank: All slabs: 7.90–9.30% Bandhan Bank: All slabs: 8.41–12.58% RBL Bank: All slabs: 8.20% onwards CSB Bank: All slabs: 8.30% onwards HDFC Bank: All slabs: 7.75% onwards City Union Bank: Up to ₹30 lakh: 8.25–9.50% ₹30–75 lakh: 8.50–10.00% Above ₹75 lakh: 8.75–10.50% Housing finance companies (HFCs) LIC Housing Finance: All slabs: 7.15% onwards Bajaj Housing Finance: All slabs: 7.15% onwards Tata Capital: All slabs: 7.50% onwards PNB Housing Finance: All slabs: 7.50% onwards GIC Housing Finance: All slabs: 8.20% onwards SMFG India Home Finance: All slabs: 10.00% onwards Sammaan Capital (formerly Indiabulls Housing Finance): All slabs: 8.75% onwards Aditya Birla Capital: All slabs: 7.75% onwards ICICI Home Finance: All slabs: 7.50% onwards Godrej Housing Finance: All slabs: 7.60% onwards</div></div>

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The Reserve Bank of India (RBI) has maintained the repo rate at 5.25%, signaling stability for home loan borrowers. This decision means that EMIs will remain unchanged, allowing borrowers to plan confidently for the future. The cumulative 125 basis points reduction in the repo rate since early 2025 has already resulted in lower borrowing costs and significant interest savings for home loans. Borrowers are encouraged to switch to repo-linked loans for better benefits. Current lending rates from various banks are also detailed, showing a range of interest rates for different loan amounts.

- The Reserve Bank of India’s Monetary Policy Committee has kept the repo rate steady at 5.25 percent, signaling stability for home loan borrowers.  
- This decision follows previous rate cuts, providing an advantage of lower EMIs and interest savings for loans that have adjusted to the new rates.  
- Public and private sector banks continue to offer competitive home loan interest rates across various loan amounts, contributing to an overall favorable borrowing environment.

RBI repo rate at 5.25%: Save up to Rs 14 lakh on Rs 75 lakh home loan EMI