Housing Loan Calculator — Sri Lanka
Estimate your monthly housing-loan installment in rupees at current bank rates. See total interest over the term. No signup, no account needed.
Current rates (≈ 2026 — CBSL OPR 8.75%; verify with your bank)
| Lender / type | Typical rate | Notes |
|---|---|---|
| Commercial Bank of Ceylon | 10–12% | Largest private bank |
| HNB | 10–12% | Wide branch network |
| Sampath Bank | 10.5–12% | Competitive packages |
| BOC | 10–12% | State bank, long tenures |
| NDB | 10.5–12.5% | Flexible terms |
Major lenders
- Commercial Bank of Ceylon — largest private bank, broad housing-loan range
- Hatton National Bank (HNB) — wide reach and flexible tenures
- Sampath Bank — competitive packages for salaried borrowers
- Bank of Ceylon (BOC) — state bank with long tenures
- NDB — flexible terms and top-up facilities
The real cost — a worked example
Example: Rs 8,000,000 housing loan at 11% for 20 years
- Monthly payment: Rs82,575
- Total paid over 20 years: Rs19,818,017
- Total interest: Rs11,818,017
Key things to know
- Housing-loan rates track the CBSL Overnight Policy Rate (8.75%, held September 2026) plus a bank spread, so most sit around 10–12% as the economy stabilizes post-crisis.
- Tenures run up to 20–25 years; a longer tenure lowers the installment but raises total interest sharply.
- Many banks offer fixed-for-a-period then variable structures — check when and how your rate can reprice.
Sri Lankan housing loan rates in 2026: policy rate and bank rates
The Central Bank of Sri Lanka (CBSL) raised its key policy rate, the Overnight Policy Rate (OPR), by 100 basis points to 8.75% at its Monetary Policy Board meeting on 25 May 2026, and has kept it unchanged since, most recently confirmed at its July 2026 review. This followed a period at 7.75% through early 2026. Sri Lankan commercial banks price housing loans well above the policy rate to cover funding costs and risk margins: as of a September 2026 market comparison, state-owned Bank of Ceylon's BOC SIRIMEDURA housing loan scheme was quoted at around 12.00% p.a., while NSB's housing loan was the cheapest widely advertised option at about 9.50% p.a., and major private banks such as Commercial Bank, HNB and Peoples Bank clustered around 14.00% p.a. Borrowers should treat these as advertised starting rates — actual pricing depends on the applicant's income, collateral and the bank's current campaign offers.
Worked example: verifying the calculator's math
Take a housing loan of LKR 15,000,000 at Bank of Ceylon's advertised 12.00% p.a. rate, repaid monthly over 20 years (n = 240 payments):
Monthly interest rate: r = 0.12 / 12 = 0.01
Growth factor: (1 + r)240 = (1.01)240 ≈ 10.892554
Monthly payment using M = P·r·(1+r)n / ((1+r)n − 1):
M = 15,000,000 × 0.01 × 10.892554 / (10.892554 − 1)
M = 1,633,883.10 / 9.892554
M ≈ LKR 165,162.92 per month
Across 240 monthly payments the total repaid is approximately LKR 39,639,101, of which about LKR 24,639,101 is interest on the LKR 15,000,000 principal — more than 1.6 times the amount borrowed, which reflects Sri Lanka's currently high nominal lending rates relative to countries with single-digit mortgage rates.
Frequently Asked Questions
How is a housing loan installment calculated in Sri Lanka?
Using the reducing-balance formula P × r × (1+r)ⁿ ÷ ((1+r)ⁿ − 1). Most loans are variable, repricing as the CBSL policy rate changes.
What is the current housing loan rate in Sri Lanka?
Roughly 10–12% per year in 2026, reflecting the CBSL OPR of 8.75% plus a spread. Commercial Bank, HNB, Sampath, BOC and NDB are major lenders.
What is the maximum tenure?
Usually up to 20–25 years, subject to your age at maturity and income. A longer tenure reduces the monthly installment but increases total interest.
Are fixed-rate housing loans available?
Many banks offer a fixed rate for an initial period (e.g. 1–5 years), then switch to a variable rate. Confirm the reprice timing and the variable formula before signing.
Can I prepay my housing loan?
Yes. Partial prepayments early in the term remove large amounts of interest. Check your bank's early-settlement charge first.
What is the Central Bank of Sri Lanka's current policy rate?
The Overnight Policy Rate (OPR) stood at 8.75% as of the Central Bank of Sri Lanka's July 2026 Monetary Policy Review, unchanged since it was raised by 100 basis points from 7.75% at the May 2026 review.
Why are Sri Lankan housing loan rates so much higher than the CBSL policy rate?
The policy rate sets the floor for how banks fund themselves overnight, but housing loan rates also build in the bank's cost of longer-term funding, credit risk margins, and profit. As of September 2026, advertised housing loan rates ranged from about 9.50% p.a. (NSB) to 12-14% p.a. at most other major banks, several percentage points above the 8.75% OPR.
Which Sri Lankan bank had the lowest advertised housing loan rate in 2026?
In a September 2026 market comparison, National Savings Bank (NSB) advertised the lowest widely available housing loan rate at around 9.50% p.a., followed by state-owned Bank of Ceylon's BOC SIRIMEDURA scheme at around 12.00% p.a. Rates change frequently, so always confirm the current rate directly with the bank before applying.
What is the Central Bank of Sri Lanka's current policy rate?
The Overnight Policy Rate (OPR) stood at 8.75% as of the Central Bank of Sri Lanka's July 2026 Monetary Policy Review, unchanged since it was raised by 100 basis points from 7.75% at the May 2026 review.
Why are Sri Lankan housing loan rates so much higher than the CBSL policy rate?
The policy rate sets the floor for how banks fund themselves overnight, but housing loan rates also build in the bank's cost of longer-term funding, credit risk margins, and profit. As of September 2026, advertised housing loan rates ranged from about 9.50% p.a. (NSB) to 12-14% p.a. at most other major banks, several percentage points above the 8.75% OPR.
Which Sri Lankan bank had the lowest advertised housing loan rate in 2026?
In a September 2026 market comparison, National Savings Bank (NSB) advertised the lowest widely available housing loan rate at around 9.50% p.a., followed by state-owned Bank of Ceylon's BOC SIRIMEDURA scheme at around 12.00% p.a. Rates change frequently, so always confirm the current rate directly with the bank before applying.