State Bank of India Home Loan
SBI Home Loan has built a strong reputation based on trust, reliability, and customer satisfaction. One of the most appealing aspects of SBI Home Loan is its competitive interest rates. SBI understands the significance of affordable EMIs (Equated Monthly Installments) for its customers. The SBI Home Loan product is not limited to a particular segment of the population. It caters to a wide range of individuals, including salaried employees, self-employed professionals, and even Non-Residential Indians (NRIs). This inclusivity ensures that everyone has the opportunity to achieve their homeownership goals with the support of SBI. In addition, the bank’s simple documentation requirements make it easier for customers to finish their applications.
Connect with our Loan Advisor Now!
- Personalized Home Loan solutions
- Expert guidance
- Application assistance
- Credit score discussion
- Home Loan interest rate comparison
Get in Touch for Loan Expert Advice
SBI Home Loan – An Overview
When it comes to banking services in India, the State Bank of India (SBI) stands as a trusted and renowned financial institution. With a rich history spanning over two centuries, SBI has consistently provided reliable and customer-centric solutions to meet the diverse needs of individuals and businesses. Among its extensive range of products and services, SBI’s home loans have gained immense popularity for their competitive interest rates, flexible repayment options, and customer-friendly features.
The bank understands that owning a home is a cherished dream for many people, and it strives to turn those dreams into reality through its comprehensive home loan offerings. Whether you are a first-time homebuyer looking to purchase your dream house or an existing homeowner planning to renovate or expand your current property, SBI’s home loans cater to a wide range of requirements.
Features & Benefits of SBI Home Loan
By choosing SBI Home Loan, you can access an unmatched combination of features and benefits that prioritise your financial well-being, convenience, and long-term prosperity.
| Feature | Detail |
| Interest Rate | 8.40% – 10.15% p.a. |
| Loan Amount | Up to 90% of property value |
| Loan Tenure | Up to 30 years |
| Processing Charges | Up to ₹5,000* |
| Special Products | For defence personnel, government employees, non-salaried individuals, applicants buying ‘green’ homes, and individuals living in hilly/tribal areas. |
| Concessions | 0.05% interest rate concession for women borrowers |
| Additional Facilities | Home loan overdraft, balance transfer, top-up facility |
*T&C Applied
- Versatile Range of Home Loan Products: SBI offers an extensive array of home loan products meticulously designed to cater to the specific needs of every customer. Whether you are a first-time homebuyer, looking to renovate your existing property, or planning to purchase a plot of land, SBI has tailored solutions to suit your unique requirements.
- Highly Competitive Interest Rates: Experience the advantage of low-interest rates that make SBI Home Loans highly affordable. By securing a home loan from SBI, you can save significantly on interest payments over the loan tenure, making your homeownership journey more financially feasible and rewarding.
- Minimal Processing Fee: SBI believes in providing value to its customers from the beginning. With a minimal processing fee, SBI ensures that the costs of obtaining a home loan are kept low, allowing you to allocate more funds towards your dream home.
- Unwavering Transparency: Transparency is the cornerstone of SBI’s home loan offerings. Rest assured that there are no hidden charges or unpleasant surprises during the loan process. SBI is committed to maintaining complete transparency at every step, giving you peace of mind and confidence in your financial decisions.
- Flexible Prepayment Options: SBI understands the importance of financial freedom and offers the flexibility to make prepayments towards your home loan without incurring any penalty charges. This allows you to proactively manage your finances and accelerate your loan repayment, reducing the overall interest burden.
- Daily Reducing Balance Interest Calculation: SBI’s home loans are structured with a daily reducing balance interest calculation methodology. This means that the interest charges on your home loan are recalculated on a daily basis, taking into account the principal amount you have repaid. As a result, you save more on interest costs and can repay your loan faster.
- Extended Repayment Tenure: SBI recognises that every borrower has unique financial circumstances. With an extended repayment tenure of up to 30 years, you can choose a tenure that aligns with your income and financial goals. This ensures that your monthly instalments are manageable and fit comfortably within your budget.
- Home Loan as an Overdraft: SBI goes beyond conventional offerings by providing the option to avail your home loan as an overdraft facility. This unique feature empowers you to effectively manage your finances by utilising the loan amount whenever required while only paying interest on the utilised amount. It gives you the freedom to leverage your home loan for various financial needs without restrictions.
- Special Benefits for Women Borrowers: SBI recognises and appreciates the role of women in homeownership. As a gesture of support, SBI offers an interest concession to women borrowers, making home loans more affordable and encouraging women to realise their dreams of owning a home.
Eligibility Criteria and Factors Affecting SBI Home Loan Eligibility
The eligibility criteria are general guidelines, and additional factors such as income, employment stability, credit history, and property valuation will also be considered during the loan approval process.
- Resident Type: SBI Home Loans are available for Resident Indians, including both salaried individuals and self-employed professionals.
- Minimum Age: The minimum age requirement to apply for an SBI Home Loan is 18 years.
- Maximum Age: The maximum age limit for SBI Home Loan eligibility is 70 years. This means the loan tenure, including any requested extensions, should not exceed the applicant’s 70th birthday.
- Loan Tenure: SBI offers the flexibility to choose a loan tenure of up to 30 years. However, the maximum loan tenure granted may vary based on factors such as the applicant’s age, income, and creditworthiness.
SBI Home Loan Fees and Charges
SBI home loan products come with a specific fee structure to ensure transparency and convenience for its customers. Here’s a breakdown of the fees and any additional charges associated with SBI’s home loan products:
Regular Home Loans and Other Home Loan Products
- Processing Fee: 0.35% of the loan amount, subject to GST.
- Minimum Fee: ₹2,000, plus applicable GST.
- Maximum Fee: ₹10,000, plus applicable GST.
This fee structure applies to the Regular Home Loan and other specialised home loan products, including NRI, Realty, Maxgain, Corporate Real Estate (CRE), Flexi-pay, Non-salaried, Pre-approved Loan (PAL), Tribal Plus, and Apun Ghar loans for amounts above ₹15 lakhs.
Home Top-Up Loan
- Processing Fee: 0.35% of the loan amount, with applicable GST.
- Minimum Fee: ₹2,000, plus applicable GST.
- Maximum Fee: ₹10,000, plus applicable GST.
This applies to additional funds borrowed on top of an existing home loan.
Personal Loan against Property (P-LAP)
- Processing Fee: 1% of the loan amount, plus applicable taxes.
- Maximum Fee: ₹50,000, plus applicable taxes.
For loans secured against the equity of the borrower’s property.
Digital Products: YONO Insta Home Top-Up, SMART Home Top-Up, and Insta Home Top-Up Loans
- Flat Fee: ₹2,000 plus GST for each product.
They are designed for quick and easy online processing, offering additional funds to existing home loan customers.
Reverse Mortgage Loan
- Processing Fee: 0.50% of the loan amount, with applicable GST.
- Minimum Fee: ₹2,000, plus applicable GST.
- Maximum Fee: ₹10,000, plus applicable GST.
A financial product for senior citizens that allows them to convert part of the equity in their home into cash.
Earnest Money Deposit (EMD) Scheme
- Processing Fee: 0.50%, applicable across the scheme.
For customers participating in property auctions, offering them the convenience of loan support to manage earnest money deposits.
Documents Required for SBI Home Loan
To ensure a smooth and efficient loan application process, the State Bank of India (SBI) has streamlined the documentation requirements for their home loans. You can expedite the loan approval process by providing the necessary documents and moving closer to realising your homeownership aspirations.
| Application form | Duly filled application form along with 3 passport-size photographs |
| Identity proof |
|
| Address proof |
|
| Property Documents |
|
| Income statement (salaried) |
|
| Income Proof (Non- Salaried) |
|
SBI Home Loan Products or Schemes
SBI offers a comprehensive range of home loan products designed to meet various needs, from purchasing new homes to constructing or renovating existing ones. Below, we explore the types of SBI home loans available to both resident Indians and NRIs, along with their key features.
SBI Regular Home Loan
- For: Indian Residents
- Purpose: Purchase a house, under-construction property, pre-owned homes, construction, repair, or renovation.
- Interest Rate: 7.20% – 8.35% for salaried; 8.20% – 8.50% for self-employed.
- Loan Tenure: Up to 30 years
- Processing Fee: 0.35% (min ₹2,000, max ₹10,000)
SBI NRI Home Loan
- For: NRIs or PIOs
- Purpose: Buying or investing in properties in India.
- Interest Rate: Varies
- Loan Tenure: Up to 30 years
- Processing Fee: 0.35% (min ₹2,000, max ₹10,000)
SBI Flexipay Home Loan
- For: Salaried, young earners
- Purpose: Allows for a higher loan amount with interest-only payments initially.
- Interest Rate: Varies
- Loan Tenure: Up to 30 years
- Processing Fee: 0.35% (min ₹2,000, max ₹10,000)
SBI Privilege Home Loan
- For: Government employees
- Purpose: Tailored for employees of Central & State Governments, including PSUs.
- Interest Rate: Varies
- Loan Tenure: Up to 30 years
- Processing Fee: Nil
SBI Shaurya Home Loan
- For: Defence personnel
- Purpose: Offers special benefits like attractive rates and zero processing fees.
- Interest Rate: Varies
- Loan Tenure: Up to 30 years
- Processing Fee: Nil
SBI Realty Home Loan
- For: Those purchasing plots for construction
- Purpose: Purchase of plot for construction within five years.
- Interest Rate: 8.90% – 9.10% based on loan amount
- Loan Tenure: Up to 10 years
- Processing Fee: 0.35% (min ₹2,000, max ₹10,000)
SBI Home Top-Up Loan
- For: Existing home loan borrowers needing additional funds
- Interest Rate: 8.60% – 10.65% based on loan amount
- Loan Tenure: Up to 30 years
- Processing Fee: 0.35% (min ₹2,000, max ₹10,000)
SBI Bridge Home Loan
- For: Homeowners upgrading to a new house
- Purpose: As the name implies, this loan bridges short-term liquidity between the sale and purchase of properties.
- Interest Rate: 10.35% first year, 11.60% second year
- Loan Tenure: Up to 2 years
- Processing Fee: 0.35% (min ₹2,000, max ₹10,000)
SBI Smart Home Top-up Loan
- For: General-purpose additional funding
- Interest Rate: 9.15% – 10.15% based on employment type
- Loan Tenure: Up to 20 years
- Processing Fee: ₹2,000 + GST
SBI Insta Home Top-up Loan
- For: Pre-selected customers via internet banking
- Interest Rate: 9.30%
- Loan Tenure: Min residual tenure of 5 years
- Processing Fee: ₹2,000 + GST
SBI Corporate Home Loan
- For: Public & Private Ltd organisations
- Purpose: Construction of residential units
- Interest Rate: Varies
- Processing Fee: 0.50% (min ₹50,000, max ₹10 lakh)
SBI Home Loan to Non-Salaried
- For: Non-Salaried Individuals
- Purpose: Construction, repair, renovation
- Interest Rate: Based on credit score
- Loan Tenure: Up to 30 years
- Processing Fee: 0.35% (min ₹2,000, max ₹10,000)
How Does the EMI Calculation Work for SBI Home Loan?
The EMI (Equated Monthly Instalment) calculation for an SBI (State Bank of India) home loan follows a standard formula. Here’s how it works:
- Loan Amount: Determine the total loan amount you borrow from SBI for your home purchase.
- Interest Rate: Check the prevailing SBI home loan interest rate offers. This rate may vary based on factors such as loan tenure, loan amount, and borrower’s credit profile.
- Loan Tenure: Decide on the duration or tenure of the loan, i.e., the number of years you will take to repay the loan.
- Calculation Formula: SBI uses the reducing balance method to calculate EMIs, which means the interest is charged on the outstanding loan balance.
The formula used for EMI calculation is:
EMI = [P x R x (1+R)^N]/[(1+R)^N-1]
Where,
- EMI is the Equated Monthly Instalment.
- P is the loan principal amount.
- R is the monthly interest rate (annual interest rate divided by 12).
- N is the total number of monthly instalments (loan tenure in months).
With the help of SBI home loan EMI calculator, we have compiled a below mentioned table for your reference only,
| Home Loan Amount | ₹40,00,000 |
| Loan Tenure | 15 Years |
| Rate of Interest | 8.40% p.a* |
| Home Loan EMI | ₹39,155 |
| Interest Payable | ₹30,47,900 |
| Total Amount Payable | ₹70,47,900 |
Disclaimer: This above table is for your reference only. *Interest rates are subject to change timely.
Balance Transfer SBI Home Loan
Balance transfer of a home loan refers to the process of transferring an existing home loan from one lender to another, in this case, from a current lender to SBI (State Bank of India). It can benefit borrowers if they obtain a lower interest rate or better terms with the new lender.
If you are considering a balance transfer of your home loan to SBI, here are the key steps involved:
- Evaluate your current home loan: Assess your existing home loan terms, including the interest rate, tenure, outstanding balance, and any applicable charges or penalties for prepayment or foreclosure.
- Research SBI home loan offers: Explore the various home loan products offered by SBI and compare them with your current loan. Pay attention to the interest rates, processing fees, loan tenure, and other terms and conditions.
- Calculate potential savings: Use an online balance transfer calculator or consult with SBI to determine the potential savings you can achieve by transferring your home loan. Consider factors such as lower interest rates, reduced EMIs, and overall cost savings over the loan tenure.
- Gather required documents: Prepare the necessary documents required for the balance transfer application. These may include identity proof, address proof, income documents, property documents, and any other documents specific to SBI’s requirements.
- Submit application and documentation: Visit the nearest SBI branch or apply online to initiate the balance transfer process. Complete the application form and submit the required documents as per SBI’s guidelines.
- Verification and approval: SBI will verify your application and documents. They may conduct a credit appraisal and property valuation as part of the process. If all requirements are met, and your application is approved, SBI will issue a sanction letter for the balance transfer.
- Loan closure with existing lender: Once the balance transfer is approved, coordinate with your existing lender to close the current home loan account. Ensure that all outstanding dues, foreclosure charges, and necessary paperwork are completed as per their procedures.
- Loan disbursement with SBI: After the closure of the previous loan, SBI will disburse the loan amount to your account or as agreed upon in the sanction letter. The outstanding amount from your previous loan will be transferred to your new SBI home loan account.
FAQs
SBI is one of the prime financial institutions that one can rely upon regarding safety and security.
Moreover, loan rates are attractive and personalised for its customers as per their eligibility.
SBI home loan is currently being offered at an interest rate that ranges from 8.55% to 9.45%. Furthermore, the rates are applied per the applicant's CIBIL score.
SBI home loan is available with an array of features and benefits, making it one of the most lucrative loan schemes in the market. Customers can expect the SBI home loan to be a product with exclusive features, attractive interest rates, overdraft protection facilities, minimal loan disbursal fees, and no prepayment charges.
The interest rates are generally available per an individual’s CIBIL score and profile. Moreover, there are provisions for customers to choose from fixed or variable interest rates. The floating interest rate scheme is currently being offered at 8.55%.
SBI Home Loan requires an individual or a group to have a minimum CIBIL score of 650 or above. Other factors also determine whether one can avail of a home loan from SBI or not.
The KYC documents submitted while applying for an SBI home loan include identification documents like an aadhaar card, PAN card, driving license, voter ID, etc. For address proof, one can provide recent bills with the address in them.
Furthermore, the loan scheme will also require bank details and employment details.
Any loans that amount to a maximum of INR 25,000 will pay no penalty for missing any EMIs. However, above the threshold of INR 25,000, each missed EMIs will be charged up to 2% above the interest expense.
The applicable processing fee is about 0.35%, along with the applicable GST. Alternatively, the processing fee on the SBI home loan ranges from a minimum of INR 2000 to a maximum of INR 10,000.
