SBI Home Loan

• SBI offers various home Loan products to suit every customer’s home-related fund requirements
• Salaried and self-employed both are eligible for SBI home loan
• Low interest rate starting from 8.15% p.a.
• Longer loan tenure of up to 30 years
• No prepayment penalty on floating rate home loans
• Home loan available as overdraft
• Concession of 5 basis points on the home loan rates for women borrowers

From October 1, 2019, State Bank of India (SBI) adopted repo rate as its external benchmark for all floating rate home loan schemes. Any change in the repo rate will change SBI’s home loan rates. Currently, RBI’s repo rate, which as announced on 4^th October 2019 stands at 5.15%. And the SBI External Benchmark Rate (EBR) is 8.05% and the effective repo linked home loan interest rates start from 8.15% p.a. For women borrowers, the bank provides a concession of 5 basis points (bps) on all home loan rates. Also, SBI borrowers who availed Marginal Cost of funds based Lending Rate (MCLR) linked SBI home loans will now pay lower EMIs as the bank has reduced its MCLR from 8.05% to 8.00%, effective from November 10, 2019.

Check out the EBR linked home loan ratesof various SBI home loan schemes:

Note: The figures given in the table are indicative and are subject to change without prior information. GST might be applicable on some of the above charges.

Customers who are unsure whether they can afford Home Loan or not can use an online SBI Home Loan EMI Calculator. It helps them know the estimated value of SBI Home Loan EMI based on the amount they wish to borrow, loan repayment tenure and the applicable SBI home loan rate of interest. Use Paisabazaar.com’s Home Loan Calculator to get accurate results in just a fraction of seconds.

Steps to Use Paisabazaar.com’s Home Loan EMI Calculator:

• Visit the Home Loan EMI Calculator
• Enter the values – Loan Amount, Loan Tenure and Interest Rate

SBI Home Loan EMI depends on loan amount, loan tenure and interest rate. The table below shows how home loan EMIs changes with changing loan amount and loan tenure at constant 8.15% p.a. home loan interest rate:

Once you are done entering the values, the results will appear. The result will not only include the EMI value but also the total interest payable amount.

In the table above, one can notice that EMIs decrease as the loan tenure increases. Longer tenure reduces your monthly liability but increases the total interest payout. Hence, choose your home loan tenure wisely.

SBI offers several home loan schemes, each having its own eligibility criteria. Customers planning to apply for SBI Home Loan must check the home loan eligibility criteria to avoid loan rejection. The common SBI Home Loan Eligibility Criteria is given as below:

SBI Home Loan Documents Required for Salaried/Self-Employed Applicants

• Employer Identity Card
• Loan Application: Completed loan application form duly filled in affixed with 3 passport size photographs
• Proof of Identity (Any one): PAN/ Passport/ Driver’s License/ Voter ID card
• Proof of Residence/ Address (Any one): Recent copy of Telephone Bill/ Electricity Bill/Water Bill/ Piped Gas Bill or copy of Passport/ Driving License/ Aadhaar Card

Property Papers:

• Permission for construction (where applicable)
• Registered Agreement for Sale (only for Maharashtra)/Allotment Letter/Stamped Agreement for Sale
• Occupancy Certificate (in case of ready to move property)
• Share Certificate (only for Maharashtra), Maintenance Bill, Electricity Bill, Property Tax Receipt
• Approved Plan copy (Xerox Blueprint) & Registered Development Agreement of the builder, Conveyance Deed (For New Property)
• Payment Receipts or bank account statements showing all the payments made to builder/seller

Account Statement:

• Last 6 months Bank Account Statements for all Bank Accounts held by the applicant/s
• If any previous loan from other banks/lenders, then loan account statement for last 1 year

Income Proof for Salaried Applicant/ Co-applicant/ Guarantor:

• Salary Slip or Salary Certificate of last 3 months
• Copy of Form 16 for last 2 years or copy of IT Returns for last 2 financial years, acknowledged by IT Dept.

Income Proof for Non-Salaried Applicant/ Co-applicant/ Guarantor:

• Business address proof
• IT returns for last 3 years
• Balance Sheet & Profit & Loss A/c for the last 3 years
• Business License Details(or equivalent)
• TDS Certificate (Form 16A, if applicable)
• Certificate of qualification (for C.A./ Doctor and other professionals)

SBI offers various home loan schemes customised to suit varied home loan requirements. Some of them are discussed as follows:

SBI Regular Home Loan

SBI Regular Home Loan can be availed for multiple purposes, including the purchase of ready built property, under-construction property or pre-owned homes, construction of a house, extension of a house, repair and renovation. The interest rate for this scheme is linked to repo rate. The details of the product are:

Note:

• A premium of 15 bps will be added to the card rate for non-salaried customers
• A premium of 10 bps will be added to the card rate for Loan up to Rs. 30 lakh, if LTV ratio is >80% & <=90%
• A premium of 10 bps will be added to the card rate for customers falls under RG (4 to 6)
• Concession of 5 bps on interest rates for women borrowers

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SBI NRI Home Loan

SBI NRI Home Loan allows Non-Resident Indians (NRIs) to get financial support when investing in properties.

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SBI Flexipay Home Loan

SBI Flexipay Home Loan offers the option to pay the interest amount during the moratorium (pre-EMI) period, and thereafter, pay moderated EMIs. In the subsequent years, the monthly instalments increase under the step-up EMI plan. This home loan variant is quite useful for young earners.

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SBI Privilege Home Loan

SBI has launched SBI Privilege Home Loan exclusively for government employees.

*SBI offers a full waiver on Processing Fees under this loan product. However, out-of-pocket expenditures such as Advocate’s Fee for Legal Opinion, Valuers Fee for Valuation Report, CERSAI and CIBIL charges will continue to be recovered from the borrower.

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SBI Shaurya Home Loan

SBI Shaurya Home Loan scheme is dedicated to Army and other Indian Defence Personnel. The scheme, available at an attractive interest rate, comes with other benefits, such as zero processing fees, zero prepayment penalty, concession for women borrowers, interest concession in case of Check Off, etc.

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SBI Realty Home Loan

Customers who want to purchase a plot for the construction of a house can avail SBI Realty Home Loan or SBI plot loan. To avail the benefits of this loan scheme, customers must ensure that the house construction starts within 5 years from the date of loan sanction. Under this loan scheme, customers can also avail another Home Loan for the construction of the house.

Note:

• A premium of 10 bps will be added to the card rate for customers falling under Risk Grade 04 to 06
  
• 05 bps interest rate concession for women borrowers
• A premium of 5 bps will be added for customers who do not have a salary account with SBI
• An additional premium of 395 bps will be added to the final rate in case the construction of the house is not completed and
  a completion certificate is not submitted by borrowers within the stipulated period of 5 years from the date of first disbursement (applicable for new loans sanctioned w.e.f 01 October 2019)

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SBI Home Top Up Loan

Customers who are availing SBI home loans and require more funding can opt for Home Top Up Loans.

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Bridge Home Loan

Many times, the gap between the sale of the existing property and the purchase of the new property can pose the problem of short-term liquidity issue for people. To mitigate this shortage of funds, you can opt for bridge loans. Check SBI Bridge Home Loan Details:

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SBI Smart Home Top-Up Loan

The SBI Smart Home Top-Up Loan is a general-purpose loan. Customers can get it from the nearest SBI branch/RACPC within minutes, without furnishing any document. However, to avail the benefits of this loan, neither Home Top-Up nor Insta Home Top Up Loan must be active. Also, the applicant must have a satisfactory repayment track record of 1 year or more after the completion of the moratorium.

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SBI Insta Home Top-Up Loan

This loan facility is available to all pre-selected SBI home loan customers at the bank’s internet banking platform. This loan is processed and sanctioned without any manual intervention. Be it the selection of customers, processing of their loan request, disbursement of the loan or setting the standard instructions for loan repayment, everything is performed by the system automatically. To avail the loan, the existing home loan customers must have the minimum home loan limit of Rs. 20 lakh with INB facility and a satisfactory track record of 3 years or more. Also, no other top-up loan should be active at the time of loan application.

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SBI Corporate Home Loan

This loan scheme is for both Public and Private Limited Corporate Entities. They can avail this loan to fund the construction/acquisition of Residential Units. The loan must be availed in the name of the Company for use by their Directors/Promoters and Employees. Under the scheme, the home loan transfer facility is also available.

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SBI Home Loan to Non-Salaried

SBI offers home loan to non-salaried persons. Non-Salaried Individuals can avail it for the purpose of construction/acquisition/repair/renovation of a residential house/flat. Under the scheme, the bank also offers home loan transfer facility.

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SBI Tribal Plus

Designed especially for hilly/tribal areas, SBI Tribal plus Home Loan can be availed for purchase or construction of a new house/flat (without mortgage of land), purchase of an existing (old) house/flat which is not more than 10 years old, and repair /renovation/extension of an existing house or flat.

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SBI Earnest Money Deposit (EMD)

Customers who are looking for earnest money for the booking of residential plots/built-up houses by the Government Housing agencies like Urban Development Authorities like PUDA, HUDA and Housing Boards can avail this loan scheme. To apply for the loan scheme, there is no minimum income criterion. In case of successful allotment, customers need to repay the loan in lump-sum.

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SBI CRE (Commercial Real Estate) Home Loan

CRE Home Loans are perfect for all those who own two houses or more and require funding to purchase the next house. Under this loan scheme, the maximum number of houses/flats/residential plots is restricted to three. Also, the maximum number of home loans in the name of an individual (including the existing & proposed loan) is five.

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Other SBI Home Loan Schemes

• SBI Maxgain: Under ‘SBI – Maxgain’ Home Loans will be sanctioned as an Overdraft. While customers will have to remit the Equated Monthly Instalments (EMIs) as in the case of usual Home Loans, the Drawing Power on the Overdraft will be reduced on monthly basis to the extent of the principal component of the EMI so that the Overdraft is liquidated at the end of the loan tenure. (Interest component of the EMI remitted will service the interest obligations).
• SBI Green Home Loans: SBI has adopted a Green Banking Policy with an objective of contributing to the fight against the adverse climate change. One of the initiatives for this purpose is incentivizing borrowers who go in for Green Projects, i.e. those projects which reduce Carbon Emissions and promote Renewable Energy. “Green Housing” or “Green Home” is one of the types of projects identified for this purpose.
• Pre-EMI Interest by Builders Scheme: In this scheme, the builder agrees to service full or part of the Pre-EMI interest (during the moratorium period) debited to the Home Loan account of the individual borrower as an incentive to Home buyers to generate maximum sales. In cases of Part Pre-EMI Schemes, the Pre-EMI interest at the stipulated interest rate is serviced by the Builders whereas the remaining Pre-EMI interest is serviced by the borrowers. However, in both the cases, the payment of EMIs by the borrower starts from the stipulated repayment start date as per the terms of sanction. The stipulated repayment start dates are clearly specified for each project and accordingly, the specific moratorium periods are permitted by the bank for different projects. Additionally, this scheme will be restricted to the approved projects under our Builder Tie Up arrangement, subject to fulfilment of the bank’s guidelines.
• SBI Suraksha: SBI offers life insurance linked to the housing loan. The premium of RinN Raksha is funded by SBI and the repayment is spread over the entire tenor of the loan in EMIs. This facility will be available to new Home Loan accounts and to an existing Home Loan in case the customer now opts to avail SBI Life cover.

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SBI Online Home Loan Application

You can apply for SBI Home Loan online at Paisabazaar.com by following these steps:

• Click here to start with the home loan application process
• Fill up the required fields and accept the terms and agree to the given terms & conditions
• Enter your personal and home loan-related details to proceed further
• A few eligible loan options will appear. Compare and apply for a home loan which suits your requirements the best.

Customers can contact SBI Home Loan through call, email and post. They can also visit the nearest branch of SBI to get their queries and issues resolved. The SBI home loan customer care details are as follows:

Why one should choose SBI housing loan schemes?

State Bank of India is considered to be one of the best home loan providers in India. The reason why it’s famous for home loans is given as below:

• Home loans by SBI are at low processing charges making them affordable for the customer.
• The rate of interest is also low compared to interest rates charged on home loans by other providers and interest is charged on a daily reducing balance method which considers the balance at the end of the day for interest calculation.
• There are no hidden costs or administrative charges which increase the liability burden on the customer and the charge structure is both transparent and reasonable.
• There is no prepayment penalty levied on the customer if he or she makes a prepayment of the loan to reduce the liability and consequently the quantum of interest charged.
• The bank operates through a wide range of over 15,969 branches which make it easier for the customer to avail an SBI Home loan from the branch nearest to his or her current residence or the proposed residence.
• Home loans by SBI are at low processing charges making them affordable for the customer.
• The rate of interest is also low compared to by other providers and interest is charged on a daily reducing balance method which considers the balance at the end of the day for interest calculation.
• There are no hidden costs or administrative charges which increase the liability burden on the customer and the charge structure is both transparent and reasonable.
• There is no prepayment penalty levied on the customer if he or she makes a prepayment of the loan to reduce the liability and consequently the quantum of interest charged.
• The bank operates through a wide range of over 15,969 branches which make it easier for the customer to avail an SBI Home loan from the branch nearest to his or her current residence or the proposed residence.

What are the eligibility criteria to avail SBI Home Loan?

SBI offers various home loan schemes. Each scheme has its own eligibility criteria. However, a few common requirements are as follows:

 What is the current interest rate of SBI home loan?

The current SBI home loan interest rate starts from 8.15% p.a. It varies from one scheme to another and depends on various factors including your credit score, repayment capacity, etc. To view the interest rate of other SBI home loan schemes, click here.

Is it possible to transfer the outstanding home loan from another lending institution to SBI?

Yes, SBI offers home loan balance transfer facility. So customers can transfer their outstanding home loan amount to SBI. It also offers home loan top up in case additional funding is required over and above the on-going home loan.

How to apply for SBI home loan online?

One of the most convenient ways to apply for SBI home loans is through Paisabazaar.com. It is a lending platform that offers numerous home loan schemes from various banks and HFCs. At the platform, customers can compare the latest home loan rates and apply for the one that suits their loan requirements the best. To apply for a home loan at Paisabazaar.com, follow these steps:

• Click here to get started with the loan application process
• Provide the required details
• A few eligible home loan offers will appear. Compare and apply for the one that fits your loan needs the best.

On successful loan application, you will get a call from one of our executives to guide you through the loan process.

What are the tax benefits for home loan borrowers?

Home Loan Tax Benefit: As per the Section 80C of the Income Tax, home loan borrowers get separate tax benefits on home loan principal amount and interest amount. Customers can claim a deduction of up to Rs. 1.5 lakh on home loan principal amount and up to Rs. 3.5 lakh on home loan interest amount. Under certain conditions, the stamp duty and registration charges are also eligible for tax deductions.

Note: The tax benefit can only be claimed for the year in which the construction of the property completes.

 9 Oct 2019: SBI Home Loan: MCLR comes down to 8.15%

State Bank of India (SBI) has announced another cut in its home loan interest rate. After a reduction in Marginal Cost of Funds based Lending Rate (MCLR) by 10 basis points across all tenors, the new rate has come down to 8.15% from the earlier 8.25%. The new rate will be effective from October 10, 2019. However, it is important to note that the existing customers might not be able to immediately enjoy the new lending rate because of their reset clause.

31st Aug 2019: SBI launches ‘Home Loan on Wheels’ initiative

To educate people about a new home loan product, which is linked to Repo linked Lending Rate (RLLR), the State Bank of India has planned a new initiative – Home Loan on Wheels. Under this initiative, a van will drive around Chennai and provide information on the bank’s home loan products customized to suit the needs of different segments of customers.

1st Aug 2019: SBI’s repo-linked home loan rates decrease to 8.05% from Oct 1

From Oct 1, 2019, the home loan interest rate of the State Bank of India has reduced from 8.40% to 8.05% p.a. SBI’s RLLR has dropped from 8.00% to 7.65%. The bank is the first to link its term loans to the Reserve Bank of India’s (RBI) repo rate in July (2019). The new rate will be applicable to all existing and new repo-rate linked loan customers of the SBI.

1 Jul 2019: SBI Home Loan Got Cheaper: Lender Reduces MCLR from 10 July

India’s largest public sector bank the State Bank of India (SBI) has cut its Marginal Cost Lending Rate (MCLR) by 5 basis points (bps). The reduction in the MCLR is reflected across all tenors. Earlier the 1-year MCLR followed by the bank was 8.15%, which after the rate cut has changed to 8.05%. The change in the MCLR rate will also lead to cheaper home loan and other lending products. This is the third rate cut by SBI, which is already in effect from 10 July 2019.

10 Jun 2019: SBI Home Loans will be linked to Repo Rate

The State Bank of India (SBI) announced to link its home loan products to repo rate. From July 1, customers will have the option to avail repo rate-linked home loans. The bank will continue to offer MCLR-linked home loans along with the repo rate-linked home loan products. The new product will be slightly different from the regular SBI home loans.

21 Jun 2019: SBI Offers cheapest EMIs on home loans for Women Borrowers.

SBI has reduced its rate of interest on home loans with the reduction in the repo rate by RBI from 6% to 5.75%. The rate of interest offered to women is lowest starting from 8.55%.