In this article, we will provide you with an overview of SBI Bank Home Loan Rate and its various related subjects such as eligibility criteria, documents required and so on.
SBI Home Loan Rate
The State Bank of India is known to offer home loans at attractive interest rates with the privilege to repay the loan at a flexible tenure and budgeted EMI plan. Moreover, there are no prepayment charges and minimum processing fees required on the sanctioning and disbursal of the loan amount. With its exclusive packages, SBI has managed to help over 30 lakh families to fulfil their dreams of owning a home. At the CNBC Awaaz Real Estate Awards 2016, SBI was declared the winner and honoured with the title of the “Best Home Loan Provider”.
You can easily check yourself on whether you will be approved for home loan eligibility SBI by the following requirements stated below:
- Applicants should be either a citizen of India, a Non-Resident Indian (NRI) or a Person of Indian Origin (PIO).
- Only Salaried professionals and self-employed individuals earning a regular income are eligible for applying for the SBI Home Loan.
- Applicants must not be less than 18 years of age and should not exceed 75 years benchmark at the time of loan maturity.
- Applicants must have a decent credit score of at least 750 and above.
- Income horizon is also considered based on the type of employment of the applicants.
Add-on Benefits SBI Home Loan
SBI Home Loans are often loaded with a bunch of benefits for the applicants or the borrowers. Here are some of the benefits which all home loan borrowers from SBI shares:
- SBI home loan rate is offered on various schemes suiting the income horizon of the applicants.
- The loan is sanctioned and disbursed in a hassle-free procedure with minimum processing fees charged.
- The processing fee is 0.35% of the total sum borrowed. (However, the minimum processing fees applicable on home loans is Rs. 2000, whereas the maximum limit is set to be Rs. 10,000).
- No prepayment or foreclosure penalties are levied on the borrowers willing to pay off their loaned amount before the tenure ends.
- SBI Loan Interest Rate is charged on the daily reducing balance; thus, attractive floating interest rates are always valuable to home loan borrowers.
- Women applicants get a further SBI home loan interest concession off 0.5% on the sum borrowed.
- Transfer of balance as well as top up facilities are also offered at SBI.
- The average period required for loan approval and disbursement is 22 days.
- You do not require a guarantor for getting your loan approved. Moreover, nowadays, you can also apply for a loan online and get it approved by the E-approval portal of SBI.
- Part-payment services are also offered at the State Bank of India on home loans.
Following are the documents which you need to provide at the State Bank of India for applying for a home loan. Failing to produce the following documents might reduce the chances of getting a home loan approved or might be sanctioned at a higher interest rate. Therefore, to avoid these circumstances and for availing the lowest SBI housing loan interest on the sum borrowed make sure you have these documents ready:
- Identity proofs such as Voter ID and Aadhar Card.
- Address proofs such as Gas bills, Electricity bills, PAN card, etc.
- Income proofs with bank statements for the past three to six months.
- Date of Birth proofs like birth certificate, school mark sheets, etc.
SBI Home Loan Plans
The State Bank of India is known to approve for a series of home loans that varies widely in their principal sum, interest rate and the tenure for repayment. A few of these exclusive home loan schemes offered by SBI are discussed below.
- SBI Regular Home Loan: These loans are available for applicants aged between 18 to 70 years. Interest rates are calculated based on the income profile of the applicants. Men are charged with 7% interest rate whereas the current SBI home loan interest rate for women is 6.95% p.a. Processing fee of 0.35% is charged and no foreclosure charges are applied.
- SBI Flexipay Home Loan: These loans are offered based on the credit history of the applicants. The processing fee is the same, whereas, there is a change in the interest component. Here you get an option to pay just the interest before your EMIs commences.
- SBI Realty Home Loan: This is the loan for land purchase SBI offers. You can also construct a house by applying for this scheme. Repayment tenures are extended up to 10 years whereas the maximum borrowing limit is set to RS. 15 crores. Another feature of buying this loan is that you can apply for another home loan along with the SBI Realty Home Loan. The processing fee is 0.35%, whereas interest rates set for males are 7.70% – 7.90% and for females, it is 7.65% to 7.85% per annum.
Q1. Do the interest rates change for the existing borrowers?
Ans. Existing home loan borrowers at SBI are subjected to benefit from the privileges of the changing interest rate structure from time to time. For example, if the borrowers will get a reduction in the interest rate for the year 2020 if the SBI Bank Home Loan Interest Rate 2019 had been more than 6.95% per annum.
Q2. Can you get an additional loan during the tenure of another previous home loan?
Ans. SBI offers premium top-up features of borrowing home loans. If a person who has been already involved in the repayment procedure of an existing home loan, then he or she could also apply for another loan by either visiting the SBI branch or just applying for it online.
Q3. What is an EMI plan?
Ans. EMI stands for Equated Monthly Instalments. It is a fixed amount which loan borrowers have to pay to the bank every month at a fixed day during the tenure of the repayment procedure. EMIs are paid to clear both the principal amount as well as the interest charged on the total sum borrowed.