What Bank Offers the Lowest Home Loan Interest Rates?

Interest Rates of State-Owned Banks

A survey reveals that the interest rates for production business loans, consumer loans, and home loans in July at state-owned banks (Agribank, Vietcombank, Vietinbank, and BIDV) range from 5% to 7% per annum.

Specifically, Agribank’s medium and long-term loans for production business, life needs, and real estate business have the following fixed rates: 6% for the first 6 months, 6.5% for the first 12 months (applicable to loans with a minimum term of 3 years), and 7% for the first 24 months (applicable to loans with a minimum term of 5 years).

At BIDV in Hanoi and Ho Chi Minh City, the minimum interest rate is 5% per annum for the first 6 months, with a minimum loan term of 36 months, or a minimum of 5.5% per annum for the first 12 months with a minimum term of 60 months.

For BIDV in other provinces, the minimum interest rate for home loans is fixed at 6% per annum for the first 24 months or 7% per annum for the first 36 months. After the promotional period, the floating interest rate is calculated based on the base lending rate plus a margin of 3.7%. The early repayment fee is 1% for the first 2 years and 0.5% for the next 3 years.

VietinBank offers short-term loan interest rates starting from 5.2% per annum and medium to long-term loan rates from 5.8% per annum. Priority customers, those who purchase insurance, and those who receive salaries through VietinBank will enjoy an additional 0.2% reduction in the program’s interest rate, resulting in rates as low as 5.0% per annum for short-term loans and 5.6% per annum for medium to long-term loans.

Vietcombank: From now until March 31, 2025, or until the program’s quota is reached, customers who take out loans for real estate purchases, home construction or renovation, car purchases, or consumer needs at Vietcombank will be offered the following interest rates:

For loans under 24 months, the rate is 5.5% per annum for the first 6 months, or for loans over 24 months, it’s 5.7% per annum for the first 12 months.

For medium and long-term loans: 6.2% per annum fixed for 18 months, 6.5% per annum fixed for 24 months, 8.0% per annum fixed for 36 months, and 9.5% per annum fixed for 60 months.

Commercial Joint-Stock Bank with the Lowest Interest Rate: 3.99% per annum

Among the commercial joint-stock banks, PVcomBank currently offers the most attractive loan interest rate of 3.99% per annum (fixed for the first 3 months). This promotion is applicable for loans with a term of up to 20 years and a loan limit of up to 85%.

MSB follows with a home loan interest rate of 4.99% per annum (promotion applicable for the first 3 months). MSB is offering a loan package with a term of up to 35 years and a loan limit of up to 90% of the collateral value.

Woori Bank offers an interest rate of 5.3% per annum for its home loan package, with a loan limit of up to 80% of the value and a term of up to 30 years.

HSBC provides home loans at a rate of 5.5% per annum and also offers a loan package with a term of 25 years and a loan limit of up to 70%.

In the group of commercial joint-stock banks, Techcombank currently has the highest lending rate at 10.5% per annum, with a loan limit of up to 70% and a repayment term of up to 35 years.

Experts advise that although some banks offer very attractive home loan interest rates, borrowers should note that these promotional rates are only applicable for a short period. After the promotional period, the rates will float according to market rates. Additionally, some banks require customers to purchase additional products or services, such as credit cards, insurance, or premium account numbers, to qualify for better rates.

Therefore, in addition to comparing home loan interest rates among banks to choose the most suitable package, borrowers should carefully consider their cash flow and repayment ability. It is essential to focus on floating market rates rather than being attracted by promotional rates alone.