RBL Bank Home Loan Interest Rates

Highlights on RBL Home Loan Interest Rate

The following highlights of RBL Bank’s housing loan interest rate will help borrowers make up their minds about whether or not to take advantage of their home loan facility:

Parameters	Information
Applicable Interest Rate	Starts from 9% p.a. (actual rate may vary based on loan profile and terms)
Loan Amount Offered	Up to ₹15 Crores
Maximum Tenure	Up to 30 years
Funding Limit (LTV)	For loans less than INR 30 Lakhs, the LTV is 90% For Loans valued between INR 30 Lakhs and INR 75 Lakhs, the LTV is 80% For loans valued over INR 75 Lakhs, the LTV is 75%
Loan Variants	Balance Transfer, Top-up Loans, Plot Purchase and Construction, Home Extension/Renovation, Loan against Property
Tax Benefits	INR 3.5 Lakhs
Processing Charges	Up to 1.5% or INR 15,000, whichever is higher

RBL Bank offers home loans starting at an impressively low interest rate of 9%. The rate can vary according to the borrower’s creditworthiness, property type, value, and other market conditions. These loans are available in fixed and floating interest rates with no prepayment charges.

RBL Bank Home Loan Interest Rates for Salaried vs. Self-Employed Individuals

RBL Banks offers home loans to people of all ages and backgrounds after checking their employment status and repayment history. Both salaried and self-employed individuals can apply for a low-interest-rate home loan from RBL Bank after proving that they have consistently earned enough revenue to repay the loan on time. The base interest rate of 9% includes the RBI Repo Rate, which can increase according to the borrower’s creditworthiness. If the bank feels that the borrower does not have sufficient funds to repay the loan at the time of loan disbursement, it will charge a higher interest rate and vice versa.

Here is a list of documents you can provide to ensure that your interest rate remains on the lower end:

• Salaried Individuals can provide the last three months of salary slips, the latest Form 16 from their employer, or a record of ITR for the past two years. 
• Self-employed individuals can submit an audited ITR for 2 years, their bank statement for the last 6 months, and their balance sheet. 
• Self-employed professionals can choose to submit their professional qualification degree, along with their financial statements.

To be eligible for an RBL Bank home loan, salaried individuals must have a minimum annual net income of ₹1,80,000 and a total work experience of at least 3 years, including at least 1 year with their current employer. Self-employed individuals should have financial documents proving an annual income of INR 1,50,000 and that their business has been running for the past three years.

RBL Home Loan Interest Rates – Scheme Wise

Here are the various RBL Bank home loan percentage schemes available for borrowers, with a processing fee of 1.25% of the home loan amount and a non-refundable administrative charge of INR 2,500:

Loan Product	Interest Rates	Maximum Loan Amount	Maximum Tenure	Special Features
Housing Loan	Starting from 9.00% p.a.	Up to ₹15 crore	Up to 30 years	Flexible tenure options, balance transfer facility, and top-up loans are available.
Easy Home Loan	Based on the market conditions	Up to ₹15 crore	Up to 30 years	Linked to a current account to save on interest by maintaining sufficient balance.
Loan Against Property	Based on the market conditions	Up to ₹10 crore	Up to 180 months	Both residential and commercial properties are accepted as collateral; a fixed-rate package is available for the first 3 years.
Drop-Line Overdraft Against Property	Based on the market conditions	Up to ₹10 crore	Up to 15 years	Overdraft facility against property available for self-employed individuals.

How do you Calculate the Effective Interest Rate on RBL Bank Home Loan?

The RBL bank calculates the interest rate by adding the RBI Repo Rate, currently 6%, and the set criteria for borrowers, a minimum of 3%. This charge is calculated after assessing the borrower’s credit score, property type, and market conditions.

List of Factors that affect RBL Home Loan interest rate and EMI

Here are some common factors that affect the RBL Bank home loan percentage and EMI payments to be made monthly:

Credit Score

A credit score is a reflection of your financial credibility and payment history. RBL Bank, like most lenders, uses your score to assess your risk profile. A high credit score (750 or above) signals responsible credit behaviour and reduces the lender’s risk. This can help you avail loans at a lower interest rate, but a poor credit score can decrease, or even nullify, the chances of you securing the loan. 

Loan Tenure

Home loans with longer tenures (e.g., 20–30 years) may come with slightly higher interest rates due to the extended repayment risk for the bank but will help reduce EMI payments significantly. Shorter tenures raise the EMI but help you save considerably on total interest paid.

Loan Amount

Larger loan amounts may carry marginally higher interest rates, especially if they exceed certain thresholds, as they represent higher risk to the bank. Your EMI payments can also be higher, impacting your monthly expenses. 

Income Level 

RBL Bank evaluates your income to determine your repayment capacity. Self-employed individuals, professionals, or employees earning higher incomes will be allotted lower interest rates than individuals with low incomes and irregular employment. A higher income increases your eligibility for larger EMIs, making opting for shorter tenures or larger loan amounts possible.

Loan-to Value Ratio

The LTV ratio indicates how much of the property’s value is financed through the loan. A lower LTV (meaning a larger down payment by you) usually attracts a lower interest rate as the bank’s risk is reduced. A higher LTV means a larger loan amount and, consequently, higher EMI payments.

Impact on RBL Bank Home Loan EMI Calculations After the Repo Rate Cut by RBI

RBL Bank offers home loans at a minimal interest rate of 9%, of which 6% is the RBI Repo Rate, making borrowing affordable for everyone. The bank only charges 3% p.a. for the home loan. If the repo rate were 6.25%, as announced previously by the government, then the interest rate would have been 9.25%. For long-term home loans, even a small difference of 0.25% in the interest rate can lead to significant savings over time. These savings can be used for other important expenses or future investments.

Let’s understand this using an example. Suppose you took an HDFC home loan of ₹50 lakh at an interest rate of 8.95% before 2025 and another loan of the same amount at a reduced rate of 8.70% after a repo rate cut. Let’s compare both scenarios, one with a 10-year tenure and the other with a 20-year tenure, to see how much you could save on EMIs and total interest due to the lower interest rate.

Loan Tenure- 10 Years

Principal Amount (in INR)	Interest Rate	Monthly EMI	Total Interest Payable
50 Lakhs	9%	63,338	2,600,546
50 Lakhs	9.25%	64,016	2,681,963

So, over a 10-year loan tenure, the borrower will save INR 81,417 in interest payments and INR 678 monthly. 

Loan Tenure- 20 Years

Principal Amount (in INR)	Interest Rate	Monthly EMI	Total Interest Payable
50 Lakhs	9%	₹44,986	₹57,96,567
50 Lakhs	9.25%	₹45,624	₹59,49,852

For loans spanning 20 years, the borrower will save up INR 638 monthly and INR 1,53,285 yearly. 

How to Get the Best Interest Rate on an RBL Bank Housing Loan?

Here are some tips and tricks to get the best interest rates for the RBL Bank Housing Loan:

• Timing your application right can help you secure a lower rate. Try to apply for loans on special occasions, schemes or whenever RBI cuts the repo rates. 
• Check if RBL has pre-approved offers based on your existing credit profile. These usually come with preferential interest rates and faster disbursal.
• Try to show a stable employment history and income, as banks favour borrowers with low-risk portfolios. 
• Keep your monthly debt obligations under 40% of your income. A low debt load signals strong repayment capacity, which helps negotiate better rates.
• If you’re already on an RBL home loan, consider switching to a lower-rate plan through internal refinancing. This can help you take advantage of falling market rates.

RBL Bank Home Loan Interest Rates of the Last 10 Years 

The following table can help you evaluate the changing loan interests for the past 10 years and understand the importance of timing while applying for a home loan:

Year	Interest Rate Range
2024	9.00% p.a. onwards
2023	Starting from 8.90% p.a.
2022	Data not readily available
2021	Data not readily available
2020	Starting from 7.00% p.a.
2019	10.15% to 11.50% p.a.
2018	10.15% to 11.50% p.a.
2017	10.15% to 11.50% p.a.
2016	Data not readily available
2015	Data not readily available

*Interest Rates are subject to change.