The largest and most popular lender, State Bank of India, has some attractive Home Loan schemes. Here’s all the information you may need. 
State Bank of India (SBI) is perhaps the most sought-after bank in India. This is not only because SBI is the largest lender, but also because of its service over the years. Another fact is that SBI offers the lowest rates and charges when compared to other lenders. They also run special schemes for women. Let’s take a look at the Home Loan terms and schemes offered by SBI.
What’s the eligibility criteria?
You can usually apply for an SBI Home Loan if you are over 18 years and less than 60 years, but note that it may vary for some schemes. You need to be a salaried or self-employed individual with a steady income. The minimum income for applying for the loan is pegged at Rs. 10,000 per month for salaried, and Rs. 16,500 per month for self-employed. You should also have a minimum work experience of two years if you are salaried, and three years if you are self-employed.
What are the documents needed?
You need to give a signed application form along with your photograph. Just like other loans, you need to give your identity proof and address proof. Also, provide your processing fee cheque along with your six-months bank statement. Salaried individuals need to submit their last three months’ salary slips and the last two years’ Form 16 or Income Tax Returns.
As a self-employed individual, you need to submit your certificates for education as well as proof of business. It is also mandatory to provide the last three years Income Tax Returns along with the computation of income. Self-employed individuals, in addition, need to give a Chartered Accountant certified and audited balance sheet along with their profit-and-loss statement.
Now that you know the basic criteria for applying for a Home Loan, here are the popular Home Loan schemes presently offered by SBI.
Additional Reading: Home Loan Handbook
SBI MaxGain Home Loan
This is a home-saver Home Loan. Under this scheme, your Home Loan account will double up as an overdraft account. You can withdraw and deposit money based on your cash availability. You will get internet banking access as well as cheque book facility with the MaxGain Home Loan account.
It works like this – when you deposit money into the account, it will be reduced from your principal and your interest amount will also decrease. However, note that the EMI will remain the same. This means that thanks to the excess funds, your overall interest outgo on the Home Loan will be less. The interest rate is usually the current SBI Home Loan rate plus 0.25%.
SBI Green Home Loan
As the name suggests, this scheme is to encourage people to go for environment-friendly homes. SBI will help identify green homes for the borrowers. The bank wants home buyers to consider housing projects which reduce carbon emissions and promote renewable energy.
SBI PAL
This is a pre-approved Home Loan offered by SBI. You can get a pre-approved Home Loan offer before choosing a home under the PAL scheme. You do not need to identify a property. Using this loan, you can negotiate with builders on the price of the property. The minimum loan amount will be Rs. 10 lakhs and also note that this loan offer will be valid only for four months.
Additional Reading: Why You Should Go For A Home Loan Now
SBI FlexiPay Home Loan
This scheme is for the young working class. Individuals between 21 and 45 years of age can opt for this scheme. You can avail a three to five-year moratorium. During this period, you need to pay only the interest portion of your EMI. After this period, SBI will step-up your EMI so that you can repay the loan quickly.
The basic idea behind the scheme is that individuals want to purchase a house early but are afraid of high EMIs. This scheme can help reduce the EMI burden in the initial years and the moratorium period offers time for borrowers to grow in their careers. The minimum loan amount for the scheme is pegged at Rs. 20 lakh.
SBI Repo-Rate Linked Home Loan
SBI is the first bank to introduce a Home Loan product that’s linked to the repo rate. The loan rate isn’t directly linked to the repo rate, but will be based on SBI’s Repo Linked Lending Rate (RLLR). This RLLR will be the repo rate plus a margin, and the loan rate will be the RLLR plus a margin. The loan rate will change every time the RBI changes the repo rate. SBI is offering a loan tenure of up to 35 years with a 2-year moratorium. For this loan, the minimum age of the borrower has to be 18 years and the maximum will be 70 years. The minimum salary required is Rs. 6 lakhs.
Additional Reading: 5 Most Popular Home Loans
The best part about SBI Home Loans is that they all come with zero pre-payment and zero foreclosure charges. You also don’t need a guarantor to get a Home Loan from this lender. Want better loans? Here are some awesome Home Loan offers for you.
Sir
Where I can register complaint against my delayed loan processing.
Thank you
Sajeev kumar
916381922764
Hi Sajeev,
We would advise you to first get in touch with your bank to resolve the matter. If your bank is not helping you with the matter, you can write to the Banking Ombudsman. Hope this helps.
Cheers,
Team BankBazaar
Bahut badhiya
Hi Taramani,
We’re glad you found our article useful. Keep reading our blog for more insights into the world of finance.
Cheers,
Team BankBazaar
respected sir
Me SBI green home loan Lena chahta hun.
Mera home branch code sbin0005417 h
Bank manager mujhe loan nahin de raha bataiye main kya Karu
Mera naam Rajkumar chaurasiya hai me railway employee hu.
Thanks
Hi Rajkumar,
You can apply for a Home Loan here: https://www.bankbazaar.com/home-loan.html.
Cheers,
Team BankBazaar
Sorry to say you,
It’s all about offers in reality or fact yours concern department officers may not proper deal with customers and if customer fulfilling all required documents than staff may not Co operate and make objection in the case.
I’m one of them, I am complaining this to main force or mail but I should not get positive response at till date.
Hi Deepak,
We’re sorry to hear about your experience. Please know that the approval of your loan application rests with the bank and not with us. Do let us know if we can be of any help to you otherwise.
Cheers,
Team BankBazaar
I am totally unconvinced with the SBI Maxgain Home Loan as it only reflects interest portion and not the principal portion out of EMI paid in the loan account statement.
Further, the available balance is the amount accumulated through customer’s amount paid through EMI but when withdrawn, it is added to principal amount thus customer has to pay interest over there.
Lian Accounts Statement should should mention Principal amount deducted and principal amount outstanding every month .
Hi Mahesh,
On BankBazaar, you have the option of choosing a lender based on your eligibility and preferences. You can opt for a different lender if you’re not convinced about another one: https://www.bankbazaar.com/home-loan.html
Cheers,
Team BankBazaar
Sir i want home loan m govt employe
Plz contact me on 7006153716
Hi Wakar,
You’ve come to the right place! Check out Home Loan offers best suited to your profile and preferences by clicking the link here:https://www.bankbazaar.com/home-loan.html.
Cheers,
Team BankBazaar
Dear sir/madam, what is the percentage of loan to be sanctioned by bank against negotiated cost of land and construction of home?
Hi Krishnamurthy,
Sorry but we won’t be able to help you with this query. Loan sanction is solely at the discretion of banks.
Cheers,
Team BankBazaar
I’m having the most horrible experience with SBI home loan. My loan application is pending since 8 months, started process before Covid crisis; even accounting for slowness due to the lockdown, this is an inordinate delay for a simple loan transfer application to SBI from another financial institution. As taxpaying citizens, my wife and myself (co-applicants, myself a senior citizen), with good credit scores and collaterals, are extremely distressed with the handling of our loan application by SBI and their processing centers in Mumbai and Bangalore. If they have to refuse loan to honest taxpayers, they should have not wasted 8 months of our time. They must give us proper explanation for the delay. Need intervention and prompt redressal by seniors in SBI.
Hi Ajay,
We’re sorry to hear this. We suggest you approach the higher-ups in the bank to get this issue redressed. You can also consider approaching the Banking Ombudsman for this. Else, you can refer to our site and apply for a Home Loan based on your eligibility and preferences here: https://www.bankbazaar.com/home-loan.html.
Cheers,
Team BankBazaar