Buying a home is one of the biggest financial milestones, and choosing the right loan is just as important as choosing the property itself. Canara Bank, one of India’s largest public sector banks, offers home loans under both fixed and RLLR-linked (floating) interest rate schemes.
This guide provides a complete breakdown of Canara Bank Home Loan Interest Rates for 2025, including fixed vs floating structures, borrower concessions, specialized loan products, and a comparison with other lenders.
Understanding Canara Bank’s Lending Rate Mechanism
Before diving into the interest rates, it’s important to understand how Canara Bank determines its loan pricing. Most home loans are linked to the Repo Linked Lending Rate (RLLR), which changes with RBI’s repo rate.
- Current RLLR (effective 12.06.2025): 8.25%
- Accounts opened before 12.02.2023 but less than 3 years old: 8.40%
- Accounts opened before 12.02.2023 and more than 3 years old: 8.25%
The effective interest rate is calculated as:
RLLR + Credit Risk Premium (CRP) + Fixed Rate Premium (FRP, if applicable) – Concessions
0
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Canara Bank Home Loan Interest Rates – Fixed (2025)
Fixed rates remain unchanged throughout the tenure, making them ideal for borrowers who want stability and predictability in EMIs.
Fixed-Rate Housing Loan Interest Rates
| Loan Product | Credit Risk Grade (CRG) | Women Borrowers | Other Borrowers |
|---|---|---|---|
| Housing Loan | CRG Prime | 8.75% | 8.80% |
| Housing Loan | CRG 1 | 9.00% | 9.05% |
| Housing Loan | CRG 2 | 9.05% | 9.10% |
| Housing Loan | CRG 3 | 9.45% | 9.50% |
| Housing Loan | CRG 4 | 10.95% | 11.00% |
Note: For Commercial Real Estate housing loans, rates are:
- +0.25% for the 3rd dwelling unit
- +0.50% for the 4th and subsequent units
Canara Bank Home Loan Interest Rates – Floating (RLLR Linked – 2025)
Floating or RLLR-linked rates move with RBI repo rate changes. These loans are best suited for borrowers who can handle fluctuations and expect interest rates to fall in the future.
Sanctioned Limit ≤ ₹50 Lakh
| Credit Risk Grade (CRG) | Women Borrowers | Other Borrowers |
|---|---|---|
| CRG Prime / CRG 1 | 7.50% | 7.55% |
| CRG 2 | 7.80% | 7.85% |
| CRG 3 | 8.70% | 8.75% |
| CRG 4 | 10.20% | 10.25% |
Loan Amount (₹50 Lakh – ₹100 Lakh)
| Credit Risk Grade (CRG) | Women Borrowers | Other Borrowers |
|---|---|---|
| CRG Prime / CRG 1 | 7.45% | 7.50% |
| CRG 2 | 7.75% | 7.80% |
| CRG 3 | 8.60% | 8.65% |
| CRG 4 | 10.10% | 10.15% |
Loan Amount (₹100 Lakh – ₹250 Lakh)
| Credit Risk Grade (CRG) | Women Borrowers | Other Borrowers |
|---|---|---|
| CRG Prime / CRG 1 | 7.40% | 7.45% |
| CRG 2 | 7.70% | 7.75% |
| CRG 3 | 8.50% | 8.55% |
| CRG 4 | 10.00% | 10.05% |
Loans Above ₹250 Lakh
| Credit Risk Grade (CRG) | Women Borrowers | Other Borrowers |
|---|---|---|
| CRG Prime / CRG 1 | 7.40% | 7.45% |
| CRG 2 | 7.70% | 7.75% |
| CRG 3 | 8.40% | 8.45% |
| CRG 4 | 9.90% | 9.95% |
Also Read: Canara Bank Personal loan
Additional Concessions (RLLR-Linked)
Canara Bank offers borrower-friendly concessions to make home loans more affordable:
- 5 bps concession: Ready-to-Move/Takeover housing loan proposals (CRG Prime/1/2).
- 5 bps concession: Salaried employees in Govt./PSU/MNCs/Blue-Chip companies with salary accounts in Canara Bank.
- Concessions continue for 3 years from the date of the first disbursement.
- Commercial Real Estate loans: +0.25% (3rd unit) and +0.50% (4th unit onwards).
Specialized Home Loan Products – 2025
Apart from standard housing loans, Canara Bank offers specialized products for different borrower categories.
1. Housing Loan (Minimal/Nil Income Proof)
| CIC Score | Fixed Rate | RLLR-Linked Rate |
|---|---|---|
| Above 750 | 9.75% | 9.00% |
| 681 – 750 (or no history) | 10.00% | 9.25% |
| 680 & below | 10.25% | 9.50% |
2. Canara Rooftop Solar (CRTS) – PM Surya Ghar Yojana
| Loan Slab | Fixed Rate | RLLR-Linked Rate |
|---|---|---|
| Up to ₹2 Lakh | 6.75% | 6.00% |
| Above ₹2 Lakh | 9.75% | 9.00% |
3. Canara Home Loan Plus – Term Loan
| CRG | Fixed Rate | RLLR-Linked Rate |
|---|---|---|
| CRG 1 | 9.55% | 8.80% |
| CRG 2 | 9.60% | 8.85% |
| CRG 3 | 10.10% | 9.35% |
| CRG 4 | 11.60% | 10.85% |
4. Canara Site Loan
| CRG | Fixed Rate | RLLR-Linked Rate |
|---|---|---|
| CRG 1 | 10.05% | 9.30% |
| CRG 2 | 10.10% | 9.35% |
| CRG 3 | 10.60% | 9.85% |
| CRG 4 | 11.10% | 10.35% |
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Canara Bank Home Loan EMI Calculator
An EMI calculator helps borrowers plan repayment by estimating monthly EMIs based on loan amount, tenure, and interest rate. It estimates the monthly EMI amount based on key factors like the loan amount, interest rate, and loan tenure. Using this tool, borrowers can understand the impact of various factors on their loan repayment schedule and choose the best loan option that fits their budget.
Example Calculation:
Let’s say you apply for a home loan from Canara Bank with the following details:
- Loan Amount: ₹50 lakh
- Tenure: 20 years (240 months)
- Interest Rate: 7.50% (floating)
Using the EMI calculator, the calculation is as follows:
- EMI = ₹40,280/month
- Total Repayment = ₹96.67 lakh (₹50 lakh principal + ₹46.67 lakh interest)
This means, over the 20-year tenure, you would repay a total of ₹96.67 lakh, with ₹46.67 lakh as interest.
Canara Bank Home Loan Interest Rate vs Other Lenders (2025)
To help you evaluate Canara Bank against competitors, here’s a comparison of home loan interest rates across top lenders.
| Top Banks | Interest Rate (p.a.) |
|---|---|
| Bank of India | Starts from 7.35% |
| State Bank of India (SBI) | Starts from 7.50% |
| Punjab National Bank | Starts from 7.45% |
| Canara Bank | Starts from 7.40% |
| HDFC Bank | Starts from 7.90% |
| Bajaj Housing Finance | Starts from 7.45% |
| ICICI Bank | Starts from 9.05% |
| Axis Bank | Starts from 8.75% |
| Federal Bank | Starts from 8.75% |
| Kotak Mahindra Bank | Starts from 7.99% |
| IDFC FIRST Bank | Starts from 8.85% |
| IDBI Bank | Starts from 7.65% |
Administrative & Switchover Charges
If you switch between fixed and floating interest rates, Canara Bank charges a nominal switchover fee:
- 0.25% of the loan amount
- Minimum: ₹250 + GST
- Maximum: ₹25,000 + GST
Conclusion
Canara Bank offers a wide range of home loan products with interest rates starting as low as 7.40% (floating) and 8.75% (fixed) in 2025. Women borrowers, government employees, and affordable housing applicants benefit from special concessions.
Whether you want stability (fixed rates) or flexibility (RLLR-linked rates), Canara Bank provides competitive options. Always compare schemes, use the bank’s EMI calculator, and check eligibility before applying.
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