SBI Home Loan Interest Rate 2020

Last Updated 30th Jun 2020

SBI Housing Loan Interest Rate

Current SBI Home loan interest rates for Jul 2020 starts at 6.95% p.a. for a maximum tenure of 30 years. Processing fee on its housing loans is Upto 0.20%, Minimum ₹ 4,000 and Maximum ₹ 17,400. SBI offers a special discount of 7% on interest rates for women borrowers.

Loan AmountSBI Repo Rate Home Loan RateRate for Female BorrowerSBI MaxgainSBI Repo Rate Home Loan Rate New Repo Rate
Upto ₹ 30 Lakh7.00%6.95%7.35%
₹ 30 Lakh - ₹ 75 Lakh7.25%7.20%7.60%
₹ 75 Lakh - ₹ 1 Cr7.35%7.30%7.70%
Above ₹ 1 Cr7.35%7.30%7.70%

Interest rate linked to Repo Rate

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SBI Home Loan

SBI offers various products on home loan. SBI home loan can be used for the purchase of a flat, home construction, extension or improvement.

Features

  • SBI Home Loan Interest Rate starts from 6.95%.
  • SBI charges a processing fees of Upto 0.20%, Minimum ₹ 4,000 and Maximum ₹ 17,400.
  • Loan Tenure of Home Loan ranges from 5 years to 30 years.
  • Lowest EMI per lakh on home Loan from SBI is ₹ 662 per lakh offered at the lowest interest rate of 6.95% at the longest loan tenure of 30 years.
  • SBI allows prepayment of home loans with Nil charges on floating rate loans.
  • SBI has an average customer rating of 4.1/5.0 from customers who have taken a home loan from the bank.

SBI Home Loan Rate

Current SBI home loan interest rates are in the range of 6.95% to 7.35%, with special discounted rates for specific categories of borrowers such as women borrowers for whom the bank offers the lowest interest rate of 6.95%. The table below gives the interest rates on various housing finance schemes of SBI.

SBI Home Loan Scheme Interest Rates
SBI Repo Rate Home Loan6.95% - 7.35%
SBI Shaurya Home Loan7.35% - 7.85%
SBI Privilege Home Loan7.35% - 7.85%
SBI Tribal Plus7.45% - 7.95%
SBI Top Up Loan7.90% - 10.05%
SBI Realty8.05% - 12.40%
SBI NRI Home Loan8.15% - 8.65%
SBI Flexipay Home Loan8.15% - 8.65%
SBI Pal8.20% - 8.65%
SBI Reverse Mortgage Home Loan8.45% - 9.45%
SBI Bridge Loan9.90% - 10.90%

SBI Housing Loan Details

Lowest SBI Home Loan Rate6.95% Compare Offers
Processing Fee Upto 0.20%
Minimum ₹ 4,000 Maximum ₹ 17,400
Max Tenure30 years
Lowest EMI₹ 662 per lakh
Prepayment ChargesAllowed with Nil charges for floating rate loans
Check Prepayment Rules
AgeMin 18 and Max 70 years for Salaried
Min 18 and Max 70 years for Self Employed
Interest Rate Linked toRLLR

SBI Bank Home Loan Interest

Latest SBI home loan interest rate starts from 6.95% , as applicable based on the RLLR which is directly linked to RBI repo rate. Any change in repo rate will change the RLLR and will translate into a similar change in the bank’s home finance rate. SBI housing finance interest rate depends upon the loan amount, salary and occupation of the borrower, nature of property and type of home loan scheme.

  • Loan amount: SBI home loan rate depends upon the loan amount you apply for.
  • Occupation: SBI offers lower rate for salaried borrowers as compared to self employed borrowers.
  • Salary: Income helps in identifying the amount of loan that you can be eligible for. Bank's rate varies with your monthly income. Higher the income, lesser will be the rate as higher will be the loan amount.
  • Gender: SBI also offers discounted or special rates for women borrowers to ensure that women own a house and become financially independent. If you are planning to take a loan, adding a women co-applicant can help you get the lowest rates from SBI.
  • Type of loan: SBI runs several special schemes for its borrowers. So for example if you opt for an overdraft scheme or a plot loan, you may required to pay a higher rate of interest vis-à-vis its regular home loan scheme.
  • Existing customers: SBI offers lower home loan rates to its existing bank account customers as compared to new bank customers, as it understands the past banking history of the customer and hence, is comfortable in sanctioning loans.

SBI Bank Home Loan Charges

SBI Home Loan Processing Fee

SBI home loan processing charges are upto 0.20% of the loan amount from its home loan customers to cover its expenses of conducting credit appraisal and technical evaluation of property. The bank charges a minimum processing of ₹ 4,000 and has capped the maximum processing fees at ₹ 17,400. The processing fees is typically non-refundable and has to be paid at the time of loan application. In addition to SBI housing loan processing fees, the bank also charges certain technical and legal charges which are explained to the customer during the loan process and are payable once the loan application proceeds further

SBI Home Loan Prepayment

SBI charges Nil fees on prepayment of floating rate loans, as per RBI prepayment rules which prohibit banks from charging prepayment penalty on loans with floating rate of interest. Hence, it becomes extremely easy to balance transfer your loan from bank to another. If you decide to foreclose or transfer your housing loan to another bank, you need to apply for the same to SBI for a foreclosure while processing your new home loan application with the new bank. However, if you have taken a fixed rate home loan from SBI, you will need to pay a foreclosure fees to close your account or transferring it another bank as per your loan agreement with SBI.

SBI Home Loan Procedure

Getting a home loan from SBI is fairly easy with an online application process. A home loan can be availed from SBI in five simple steps:

Step 1: Visit the website, branch, or website of authorised online channel partner of SBI and fill in the application form with loan amount required, property details, your personal details, occupation information and your contact number.
Step 2: An official of SBI or online partner will call you to discuss your eligibility of the loan as well as explain the loan rates, terms as well as processing fees and other charges.
Step 3: Once you agree to proceed with the loan application, you will need to submit your income and property documents online or a SBI’s representative will visit your home or office to collect your documents.
Step 4: SBI will ask you to submit the processing fees and take a few days to conduct a credit appraisal and do technical evaluation of your property.
Step 5: If you are eligible and your property qualifies for a loan, you will be issued a sanction letter from SBI and will need to sign a loan agreement with the bank. Post this, the loan will get disbursed to your account.

SBI Home Loan Documents

Documents for Salaried employees

  • Filled up loan application form
  • 2 Passport Size Photo
  • ITR of last 2 years
  • Identity Proof - Passport/ Driving Licence/ Voter ID/ PAN
  • Residential Address Proof - Leave and License/ Registered Rent Agreement/ Utility Bill (upto 3 months old), Passport
  • Income Documents – 6 months payslip, 2 years Form 16, 6 months bank statement showing salary credit and any EMI debit
  • Property Documents - Past title chain: Conveyance deed, Sales deed, Allotment letter, Possession letter, Latest property tax receipt, Copy of approved plan for construction/ extension

Documents for Self-Employed

  • Filled up loan application form
  • 2 Passport Size Photo
  • Identity Proof - Passport/ Driving License/ Voter ID/ PAN
  • Residential Address Proof - Leave and License/ Registered Rent Agreement/ Utility Bill (upto 3 months old), Passport
  • Business proof such as VAT/ service tax registration, incorporation details in case of companies, business address proof, profit and loss account and balance sheets certified by CA, copy of partnership deed and proof of business existence and business profile
  • Property Documents - Past title chain: Conveyance deed, Sales deed, Allotment letter, Possession letter, Latest property tax receipt, Copy of approved plan for construction/ extension

Home Loan SBI Schemes

SBI offers customized schemes for specific customer segments designed to meet their loan requirements. Some of the popular products with their basic features are as follows:

SBI Maxgain

  • SBI maxgain home loan is taken for construction or to buy a house with an overdraft facility. This facility allows an option to deposit available surplus for any period in the overdraft account and reduce overall interest on housing loan.
  • SBI maxgain loan is provided as an overdraft account which allows regular withdrawals and deposits. This loan is suitable for self-employed businessmen or professionals with an uneven flow of income throughout the year. The interest rate as per this facility is charged only on the withdrawn amount. Thereby, the interest cost is reduced for the borrowers. To add more to the convenience factor, SBI Maxgain home loan provides cheque and online banking facility. The Maxgain home loan facility is highly beneficial for home loan customers who wish to manage their savings while dealing with a loan. To calculate the interest rate on SBI Maxgain home loan, one can use SBI maxgain home loan calculators.
Who is Eligible?
  • The loan can be availed by salaried, professionals, self-employed businessmen.
  • Salaried individuals are required to have a minimum income of Rs 25000 with at least 2 years of work experience.
  • Self-employed applicants require a minimum business experience of five years.
  • Applicants are expected to have a cibil score of 650 or above.
  • Customers who expect to have surplus income can opt for the loan.
Key Loan Terms
  • Home loan available at the age of 18 years to up to 70 years.
  • Loan amount that you can borrow ranges from ₹ 25 Lakh to ₹ 100 Cr
  • Option to apply for a maximum ltv of 90% of value of the property
  • Housing loan for a maximum period of 35 years

SBI Realty Home Loan

  • This loan is taken to purchase a plot or land to construct a home on the same.
  • SBI Realty home loan allows home loans customers to purchase a plot for the construction of a house. However, the construction of the house on this plot must be completed within five years from the date of loan sanction. In addition, Existing SBI home loan customers can also avail another home loan for construction of the house on the plot financed as per the SBI plot loan scheme. In such a case, outstanding in realty account will be first liquidated through disbursement from a home loan, and the remaining amount will be disbursed for construction of house in phases linked to the stages of construction.
Who is Eligible?
  • Home loan seekers with good cibil score of 650 and above can apply for this loan.
  • Applicants with a net annual income of up to Rs 2 lakhs can also apply, however, the EMI, in this case, should not exceed 30% of the income.
  • Customers who are willing to purchase a plot and to construct a house on it.
Key Loan Terms
  • Home loan available at the age of 18 years to up to 65 years
  • Loan amount that you can borrow ranges from ₹ 10 Lakh to ₹ 15 Cr
  • Option to apply for a maximum ltv of 90% of value of the property
  • Housing loan for a maximum period of 10 years

SBI Flexipay Home Loan

  • This scheme provides a higher loan amount eligibility of up to 20 percent for salaried borrowers and working professionals/ executives.
      • Salaried individuals who need a higher loan amount than their current income and are employed in high growth jobs, where their income is expected to step up in the next few years.
      Key Loan Terms
      • Home loan available at the age of 21 to 45 years
      • Loan amount that you can borrow ranges from ₹ 25 Lakh to ₹ 7 Cr
      • Option to apply for a maximum ltv of 90% of value of the property
      • Housing loan for a maximum period of 30 years

      SBI Privilege Home Loan

      • To provide loan to the employees of the Central or State government for purchase, construction, repair or modification of a house. Loan can be serviced post retirement period as well.
      • Extended repayment period upto an age of 75 years, however, tenure is capped at 35 years.
      • EMIs to be serviced post retirement term are capped at 50 percent of the current net monthly income.
      • Low interest rate without any processing fees or prepayment charges. SBI home loan interest rate 2019 for government employees is provided at a concession of 5 bps over the home loan card rates.
      Who is Eligible?
      • Should be an employee of Central / State Governments including PSBs, PSUs of Central Government, and other individual(s) with pensionable service.
      • Individuals who are employees of Central or State Government which includes PSBs, PSUs and who are looking for a loan tenure, in which loan servicing extends to their post retirement years.
      Key Loan Terms
      • Home loan available at the age of 18 to 75 years
      • Loan amount that you can borrow ranges from ₹ 25 Lakh to ₹ 7 Cr
      • Option to apply for a maximum ltv of 90% of value of the property
      • Housing loan for a maximum period of 30 years

      SBI Home Loan Top Up

      • SBI Home Loan Top Up is available for existing home loan customers who are looking for more loans to meet their financial needs.
      • SBI home loan top-up loan allows the existing home loan customers to borrow additional loan amount above their existing home loan. The top-up over a home loan can be taken to meet urgent financial requirements. The bank charges an interest rate of 0.25 to 1.00 per cent higher than the current rates on a home loan. The interest rates charged on home loan top-up is much affordable in comparison to personal loans.
      Who is Eligible?
      • Existing home loan borrowers are expected to have a satisfactory repayment track of at least one year.
      • Salaried and non-salaried home loan customers with a good cibil score can avail home loan top-up.
      • Home loan customers looking for additional loans can apply for SBI home loan top up.
      Key Loan Terms
      • Home loan available at the age of 18 to up to 70 years
      • Loan amount that you can borrow ranges from ₹ 2 Lakh to ₹ 10 Cr
      • Option to apply for a maximum ltv of 80% of value of the property
      • Housing loan for a maximum period of 30 years

      SBI Repo Rate Linked Home Loan

      • This loan product is designed to make the home loan process affordable and transparent for the customers.
        Who is Eligible?
        • The loan can be opted by all Individuals whether salaried, professionals, self employed businessmen.
        • Applicants require a minimum annual income of Rs. 6 lakh to apply for the SBI repo rate linked home loan.
        • The loan can be opted by new or existing home loan borrowers.
        Key Loan Terms
        • Home loan available at the age of 18 to up to 70 years
        • Loan amount that you can borrow ranges from ₹ 25 Lakh to ₹ 100 Cr
        • Option to apply for a maximum ltv of 90% of value of the property
        • Housing loan for a maximum period of 35 years

        SBI Pradhan Manti Awas Yojana

        The government of India has launched many affordable housing loan schemes to facilitate availing home loan at concessional rates to lower and middle-income groups. Some of the popular schemes are:

        a) PMAY or Home Loan Subsidy Scheme: Launched in 2015 to provide houses to the homeless. You can apply for PMAY at SBI if you fulfil the eligibility criteria. Know more about PMAY Scheme

        b) Pradhan Mantri Gramin Awas Yojana:  It focuses on homeless families and offers pucca houses with basic amenities.

        c) DDA Housing Scheme: It aims to provide houses to low, middle, and high-income groups.

        d) Tamil Nadu Housing Board Scheme: It started in 1961 to provide houses to varied income groups.

        e) Mhada Lottery Scheme: It's a lottery scheme launched every year for buyers of varied income groups.

        f) Rajiv Awas Yojana: Launched in 2009 with the aim of bringing illegal construction under the formal system and encouraging slum-free India.

        Each of these schemes has its conditions with respect to eligibility, the amount of loan that can be borrowed, and the rate of interest.

        Illustration on SBI Home Loan Interest Rate
        Maximum Annual Percentage Rate (APR)6.95% to 7.35%
        Representative example of the total cost of the loan, including all applicable fees
        Here is an illustration of the total cost of the loan:
        • Total amount borrowed: Rs. 1 Lakh
        • Time period: 5 years to 30 years
        • SBI Home Loan Interest Rate: 6.95% to 7.35%
        • Processing Fee payable to SBI: Upto Rs. 10,000. Current offer for processing fee is Nil
        • Fee payable to MyLoanCare: NIL
        • Total Monthly Cost – From Rs. 662 for a 30 years Rs. 1 Lakh loan at 6.95% (lowest rate, longest time period) to Rs. 1,997 for a 5 years Rs. 1 Lakh loan at 7.35% (highest rate, shortest time period). This is inclusive of principal repayment.
        • Total cost payable over loan tenure: Rs. 29,800 for 5 years loan to Rs. 1.48 Lakh for 30 years loan

        SBI’s terms and conditions as per loan agreement applicable. Short term loans/ pay day loans not available; minimum loan tenure: 5 years. Rate of interest depends upon income, job stability, loan amount, CIBIL score, credit profile, existing obligations, verification and other factors. Credit at sole discretion of SBI.

        SBI Home Loan during Coronavirus

        SBI has changed its Home Loan Interest Rate during the Coronavirus period with lowest rate starting at 6.95%. However, interest rate can be expected to come down post the RBI repo rate cut of 40 bps announced on 22nd May 2020. You may expect some delay in getting a loan from SBI during the COVID-19 outbreak due to social distancing norms.

        Frequently Asked Questions

        What is SBI home loan interest rate?

        SBI home loan interest rate ranges between 6.95% to 7.35%.

        What is the eligibility for a home loan of SBI?

        The eligibility to avail a home loan is set across the applicant’s age and income. The age of the applicant should range between 18-70 years. Further the minimum income of the applicant should be Rs 25,000 along with a good credit score of 650 and above.

        Does SBI home loan include registration fees?

        Various charges charged by banks on home loans include processing fee, registration fee, legal and technical fee, or MODT charges. These may vary across lenders.

        What is SBI home loan procedure?

        You can apply for a SBI home loan by contacting the bank directly or by applying through online marketplaces like myloancare.in. Availing a loan through an online marketplace improves the chances of getting the best loan rates, low processing fees and special offers in the form of cash backs. Once you approach the bank, they will collect your documents and initiate the loan process, which includes checking your CIBIL score, property valuation, technical and legal checks on the property, eligibility calculation. The bank will give a decision on your loan based on the evaluation results. You can also apply by visiting SBI home loan apply online portal and can check your SBI online home loan status by logging into your customer account with MyLoanCare.

        Why should I opt for balance transfer to SBI?

        SBI offers competitive home loan rates with the best EMI of ₹ 662 per lakh availed at a low-interest rate of 6.95% for a maximum tenure of 30 years. If you are paying an EMI more than ₹ 662 per lakh, you should consider the option for a loan transfer to SBI from your existing bank. EMIs can be calculated through SBI home loan EMI calculators.

        Which is better for home loan HDFC or SBI?

        Lowest HDFC home loan rate is 6.95%, while that of SBI is 6.95%, which makes HDFC Home Loan a better choice as per current rates. However, apart from interest rates, one must take into account other factors as well to decide the best choice of bank. If you are looking for a quick loan with convenient service, HDFC will score better. If you are looking for a loan from a government bank, then SBI is a better option.

        What is the maximum loan tenure I can opt under SBI house loan?

        SBI offers you a longer tenure of 30 years to repay your loan with the benefit of paying less EMI per month.

        Do I get tax benefits on a home loan from SBI?

        As per the Indian Income Tax Act of 1961, residents of India are eligible for tax benefits on the principal amount and interest components of a house finance under section 24 and section 80C of Income Tax Act.

        Can I foreclose my home loan? What are the charges applicable?

        Yes, you can foreclose your loan with Nil charges.

        Can I transfer my house loan from another bank to SBI?

        Yes, Bank gives you the facility to transfer your existing loan with a hassle-free process. Availing loan transfer to SBI can allow you to save interest, pay lower EMIs, and save money.

        Can I club the income of my spouse with mine and apply for joint home loan?

        You can club the income of your spouse to increase your home loan eligibility if the spouse is co-owner of the property or guarantor of the loan.

        What is the benchmark applicable for a housing loan?

        The benchmark applicable for home loan in SBI is RLLR .

        What is the effect of part prepayments on SBI housing finance EMI ?

        Part prepayments help you in reducing the outstanding amount of loan, which in turn will reduce the interest amount due. After making part payments, paying the same Home Loan EMI will increase your involvement towards the principal amount, which will help you in repaying the loan faster.

        How to increase my eligibility on SBI housing loan?

        If your spouse or family member is earning well, you can make your spouse or family member the co-applicant for your loan. The combination of both of your income will help you in increasing your eligibility to get a loan.

        How will SBI housing loan rate of interest change in the future?

        • SBI offers RBI Repo Rate linked home loan which starts at 6.95%. Current Repo Rate of RBI is 4.00%. Bank adds a mark up on RBI’s repo rate which is called SBI Repo Rate Linked Lending Rate (RLLR). RLLR can change with change in Repo Rate. An additional spread is applied on RLLR which remains the same throughout the tenure. Bank applies a premium of 2.95% to the Repo Rate to arrive at this rate.
        • When RBI increases rates, the bank may increase its Repo Rate linked home loan rates by the same basis points for all existing and new home loans. When RBI cuts interest rates, the SBI home loan interest rates will reduce the interest rates by the same basis points, which will be effective from 1st day of the following month.
        • For instance, if RBI slashes Repo Rate by 0.15%, then SBI Repo Rate linked home loan rate will cut from 6.95% to 6.8%.

        How much margin would I have to pay on loan?

        S. NO. Loan Amount Margin
        1Up to Rs. 30 Lacs10%
        2Above Rs. 30 Lacs to upto Rs. 75 Lacs20%
        3Above Rs. 75 Lacs25%

        What security do I need to provide?

        SBI property loan requires a registered mortgage of the property against which the bank will provide you the loan. In the case of under-construction property, additional collateral security is required.

        Am I eligible for top up on my existing SBI home finance?

        SBI allows you to top up your existing home loan up to maximum LTV of 90%.

        What is the current SBI home loan rate?

        The current SBI home loan rate starts from 6.95% with a processing fee of Upto 0.20%, Minimum ₹ 4,000 and Maximum ₹ 17,400.

        Is SBI good for a home loan?

        Yes, SBI has various home loan schemes like SBI Maxgain, SBI Flexipay Home loan, SBI Privilege Home loan, etc.

        Which SBI home loan is better?

        Each SBI home loan scheme is suitable for different purposes. For example, SBI Maxgain provides an overdraft facility suitable for those who want to pay interest only for the amount they use. Similarly, the SBI Privilege home loan is for the central and state government employees to construct, purchase, repair, or modify the house.

        Is PMAY applicable to SBI Maxgain?

        Yes, PMAY applies to SBI Maxgain.

        SBI Home Loan News - Jul 2020
        *Terms and conditions apply. Credit at sole discretion of lender subject to credit appraisal, eligibility check, rates, charges and terms. Information displayed is indicative and from collected from public sources. Read More
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