SBI Home Loan Eligibility Criteria

Age of the Applicant

18 to 70 years

Eligible Salary

25,000 per month and above

Work Experience for Salaried

3 years and above

Maximum tenure

30

Minimum CIBIL Score

650

Maximum Loan on Property Value

Up to 90%

Eligibility with Co-applicant

Up to 3 earning family members may be added to get higher loan eligibility

check your eligibility

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About SBI Home Loan

Buying a home has always been a big step in every individual's life. It is a huge accomplishment for the person buying a house. With skyrocketing property rates, it is difficult to buy a home purely through your own savings. And, here comes the role of Home Loans, which allows the home buyers to buy their own home with ease and comfort without much burdening their own savings.

There are lists of public sector and private sector banks that offer Home Loans with minimum interest rates. State Bank of India (SBI) is one of the leading public sector banks that offer a range of Home Loan schemes with low-interest rates to help its customers buy their dream home. One can avail attractive benefits like no prepayment charge, low processing fees, long repayment tenure, and no hidden charges. These benefits will act as an added advantage for the person buying a home.

Home Loan Schemes by SBI

  • SBI Regular Home Loan
  • SBI Balance Transfer of Home Loan
  • SBI NRI Home Loan
  • SBI Flexipay Home
  • SBI Privilege Home Loan
  • SBI Shaurya Home Loan
  • SBI Pre-approved Home Loan
  • SBI Realty Home Loan
  • SBI Home Top Up Loan
  • SBI Bridge Home Loan
  • SBI Smart Home Top Up Loan
  • SBI Insta Home Top Up Loan
  • SBI Corporate Home Loan
  • SBI Home Loan to Non-Salaried - Differential Offerings
  • SBI Tribal Plus
  • SBI CRE (Commercial Real Estate) Home Loan

Every Home Loan scheme is different based on its purpose and benefits. One must thoroughly check SBI Home Loan eligibility as per the chosen scheme based on:

  • Monthly salary
  • Work experience
  • Age

Every applicant must adhere to these eligibility criteria and duly submit the required documents to avail the Home Loan.

SBI Home Loan Eligibility Criteria

There are different eligibility criteria one must fall under. The eligibility is calculated based on age, income, property value, and repayment capacity. It is always advised to add more earning family members as co-applicants, to increase your loan eligibility. It is extremely important and beneficial to check the eligibility criteria before applying for the SBI Home Loan.

Eligibility Criteria SBI Bank Home Loan

Age

Minimum 18 years at the time of loan application and Maximum 70 years at loan maturity

Resident Type

Resident Indian, NRI, and PIO

Profession

Salaried, self-employed, and business owners

Maximum loan-to-value

Up to 90% of the property value

Maximum repayment tenure

Up to 30 years

*Eligibility criteria may change based on the housing loan scheme applied for.

SBI Home Loan Eligibility Based on Age

Age plays a vital role when it comes to Home Loan eligibility. When you take a Home Loan at a very young age, the tenure to repay the loan increases, reducing the monthly burden. More age means lesser, thereby increasing your liability. The applicant is eligible for SBI Home Loan if they are 18 years or above at the time of applying for the loan. The tenure is maximum of 30 years for both salaried and self-employed borrowers.

SBI Home Loan Eligibility Based on Income

An individual's salary/ income from the business is also a deciding factor for Home Loan eligibility.  The amount that is left after deducting PF, ESI, Gratuity, and other medical expenses is what is considered eligible income for applying for a Home Loan. This will determine how much Home Loan EMI one is capable of paying after meeting all the expenses based on their standard of living.

Let us explain it with a simple example. For instance, if you are drawing a salary of 25, 000 per month, the amount of loan that will be sanctioned is 12,88,640 (assuming no other expenses, loan instalment to be paid) for the tenure of 30 years and at an interest rate 8.60%. Whereas if your salary is 75, 000, you will be eligible for 48,32,401, at same conditions, depending on the age at the time of applying for the loan.

Applicant's income, job/business stability, the sector one is indulged in, and repayment history will be checked before sanctioning the loan.

Co-applicant

It is always better to apply for a loan with a co-applicant because it increases your eligibility for Home Loan as it upsurges the repayment capacity. Also, the co-applicant should have an equally good income, low obligation, and a clear CIBIL record.

SBI Home Loan Eligibility Based on the Value of the Property

The bank will not finance the entire property's cost. The amount that will be funded for buying a house will depend upon the value of the property. SBI provides a maximum Loan to Value (LTV) of up to 90% of the value of the property. The borrowers have to arrange for the remaining margin (also known as cash down payment) on their own.

SBI Home Loan Eligibility Based on CIBIL Score

A CIBIL Score is an indicator of an individual's creditworthiness. It affects the individual's ability to borrow money from the bank. It is a barometer to scale one's past credit behavior. Hence, the CIBIL score plays an important role in defining one's eligibility to get a Home Loan. It also tracks payment on loans and Credit Cards. If the credit score is higher, chances of getting loan approval increases whereas if the CIBIL score is less, the chances decrease one's eligibility to get the Home Loan approved. Minimum credit score required to get the Home Loan approved is 650.

Here are a few factors which affect one's credit score:

  • Late payments:CIBIL score will adversely affect the current loan if the past loans were not paid on time and in full. It will reduce your chance of getting the loan. 
  • More unsecured loans:It is always better to maintain low unsecured loans, as it will later badly affect your credit score. So, it's always advised to keep a balance between secured and unsecured loans.
  • Credit limit usage:Credit score will be hampered if your Credit Card limit exceeds frequently because it shows financial stress, indiscipline on the part of the borrower. Hence, it is advisable to maintain good credit behaviour.
  • Multiple loan applications: If you apply for a loan at the same time with multiple banks, your credit score gets affected. If the loan is rejected, you need to improve the credit score and reapply for the loan.

SBI Home Loan Eligibility Based on FOIR

The fixed obligation to income ratio (FOIR) is an important parameter to determine one's loan eligibility. Fixed obligations like rent and current EMI will be taken into account while estimating one's eligibility. Minimum FOIR required to be eligible for SBI Home Loan is 0.65.

Eligibility Criteria for Different SBI Home Loan Schemes

There are special schemes for special customer segments, which caters to their specific loan requirements. Here are different types of Home Loan products offered by SBI with their eligibility criteria:

SBI Regular Home Loan

  • Profession: Salaried employees, self-employed individuals, and businessmen
  • Age: 18 years to 70 years

SBI Realty Home Loan

  • Profession: Salaried employees, self-employed individuals, and businessmen
  • Age: 18 years to 65 years

SBI Privilege Home Loan

  • Profession: Employees of Central/ State Governments like PSUs of Central Government, PSBs, and other individuals with pensionable service
  • Age: 18 years to 75 years

SBI Flexipay Home Loan

  • Profession: Salaried employees who require a higher loan amount
  • Age: 21 years to 45 years to apply for the loan and up to 70 years at loan maturity

SBI Balance Transfer of Home Loan

  • Profession: Salaried employees, self-employed individuals, and businessmen
  • Age: 18 years to 70 years

SBI NRI Home Loan

  • Profession: Salaried employees, self-employed individuals, and businessmen (NRIs and PIOs)
  • Age: 18 years to 60 years

SBI Shaurya Home Loan

  • Profession: Army and Defence Personnel of India
  • Age: 18 years to 75 years

SBI Pre-approved Home Loan

  • Profession: Salaried employees, self-employed individuals, and businessmen
  • Age: 18 years to 70 years

SBI Home Top Up Loan

  • Profession: Salaried employees, self-employed individuals, and businessmen who have an existing Home Loan/ Home Extension Loan/ Home Improvement Loan
  • Age: 18 years to 70 years

SBI Bridge Home Loan

  • Profession: Salaried employees, self-employed individuals, and businessmen
  • Age: 18 years to 70 years

SBI Smart Home Top Up Loan

  • Profession: Salaried employees, self-employed individuals, and businessmen who have an existing Home Loan/ Home Extension Loan/ Home Improvement Loan.
  • Age: 18 years to 70 years
  • Indian resident as well as NRI both are eligible
  • Minimum CIBIL score should be 550 or above
  • Applicant should have minimum 1-year of satisfactory repayment track record, after moratorium period.
  • No other Home Top-up/ Insta Home Top-up loan should be active

SBI Insta Home Top Up Loan

  • Profession: Salaried employees, self-employed individuals, and businessmen
  • Applicant should have an existing Home Loan/ Home Extension Loan/ Home Improvement Loan Existing Home Loan of minimum limit of 20 Lakhs with INB facility
  • Age: 18 years to 70 years
  • Minimum remaining tenure of Home Loan should be 5 years
  • Applicant should have minimum 3 years of satisfactory repayment track record, after moratorium period.
  • Minimum CIBIL score should be 550 or above
  • No other Home Top-up/ Insta Home Top-up loan should be active

SBI Corporate Home Loan

  • Profession: Existing borrower/ a debt free Company in the business for at least 3 years
  • Age: 18 years to 60 years
  • Should have Net Profit in consecutive last 3 years
  • If the Company has any existing loan account(s), it should be regular and shouldn't have been restructured during the past 3 years.
  • ECR of BBB & better for units with total exposure of 10 Crores or above
  • CRA of SB-8 & better for both existing SME/ C&I customers as well as new customers.
  • SPV/Subsidiary of any Corporate Entity is also eligible provided:
    • The Parent Company fulfils all the above-mentioned eligibility conditions
    • The Parent Company agrees to be a Guarantor for Home Loan
    • The estimated cash flow is sufficient to repay the instalments or the Parent Company gives an undertaking to repay the Home Loan.

Home Loan to Non-Salaried - Differential Offerings

  • Profession: Non-salaried individuals
  • Age: 18 years to 70 years
  • If the applicant is a partner in a Partnership Firm or proprietor of a Proprietorship firm or is the Director of a Company, the firm/Company
    • Should be in existence for minimum last 3 years
    • Must have earned profit in the last 2 years
    • If there is any existing credit facility availed, it should be regular
    • Wherever the proposed property is acquired jointly of the Proprietor and the Firm, the firm should be SBI's existing borrower/ a debt free entity.

SBI Tribal Plus

  • Profession: People residing in Hilly/ Tribal areas of India
  • Age: 21 years to 60 years

SBI CRE (Commercial Real Estate) Home Loan

  •  Profession: Salaried/ Self-employed/ Businessmen who already own 2 houses or more, and want a loan for their next home.
  • Age: 18 years to 70 years

How to Find Out Your SBI Home Loan Eligibility?

Home Loan eligibility needs to be checked before applying for the loan because this becomes easy to understand the Home Loan eligibility. Eligibility can be calculated on MyMoneyMantra, an online tool, which will help the individual whether or not, the person is eligible for the Home Loan. It's always advised to check the eligibility criteria before applying for the loan the main reason being it becomes easy to avail the loan and thus chances of loan getting approved increases.

MyMoneyMantra is an ideal eligibility calculator for a Home Loan, which will make application process hassle-free.

Documents Required for SBI Home Loan

Documents Required for Salaried Applicants

KYC Documents

  • Employer ID Card
  • Duly filled loan application form affixed with 3 recent passport-sized photographs
  • Identity Proof (any one): Passport/ PAN Card/ Driving License/ Voter's ID card
  • Proof of Residence (any one): Recent copy of Electricity Bill/ Water Bill/ Telephone Bill/ Piped Gas Bill/ Passport/ Driving License/ Aadhaar Card

Property Papers

  • Permission for construction (if applicable)
  • Registered Agreement for Sale (for Maharashtra only)/ Stamped Agreement for Sale/ Allotment Letter.
  • Occupancy Certificate (for ready to move property)
  • Share Certificate (for Maharashtra only), Electricity Bill, Maintenance Bill, Property Tax Receipt
  • Xerox copy of Approved Plan and builder's Registered Development Agreement, Conveyance Deed (if the property is new).
  • Bank Account Statement or Payment Receipts showing payments made to Builder or Seller

Account Statement

  • Bank Account Statements of last 6 months for all Bank Accounts of the applicant(s)
  • Loan Account Statement for the last 1 year if any previous loan(s) from another lender(s)

Income Proof

  • Last 3 months' Salary Slips or Salary Certificate
  • Last 2 years' copy of Form 16 or IT acknowledged by IT Department

Documents Required for Non-Salaried Applicants

KYC Documents

  • Employer ID Card
  • Duly filled loan application form affixed with 3 recent passport-sized photographs
  • Identity Proof (any one): Passport/ PAN Card/ Driving License/ Voter's ID card
  • Proof of Residence (any one): Recent copy of Electricity Bill/ Water Bill/ Telephone Bill/ Piped Gas Bill/ Passport/ Driving License/ Aadhaar Card

Property Papers

  • Permission for construction (if applicable)
  • Registered Agreement for Sale (for Maharashtra only)/ Stamped Agreement for Sale/ Allotment Letter.
  • Occupancy Certificate (for ready to move property)
  • Share Certificate (for Maharashtra only), Electricity Bill, Maintenance Bill, Property Tax Receipt
  • Xerox copy of Approved Plan and builder's Registered Development Agreement, Conveyance Deed (if the property is new).
  • Bank Account Statement or Payment Receipts showing payments made to Builder or Seller

Account Statement

  • Bank Account Statements of last 6 months for all Bank Accounts of the applicant(s)
  • Loan Account Statement for the last 1 year if any previous loan(s) from another lender(s)

Income Proof

  • Proof of business address
  • Last 3 years' IT/li>
  • Last 3 years' Balance Sheet and Profit & Loss Account
  • Business License Details (or equivalent)
  • TDS Certificate (and Form 16A, if applicable)
  • Qualification Certificate (for C.A., Doctor, and other professionals)

Documents Required for NRI/PIO Applicants

KYC Documents

  • Employer ID Card
  • Duly filled loan application form affixed with 3 recent passport-sized photographs
  • Attested copy of applicant's valid Passport & visa
  • Address proof showing the current overseas address
  • Copy of Continuous Discharge Certificate (if the applicant is employed in the merchant navy)
  • The Government of India issued PIO Card (for PIO applicants)
  • Documents may be attested by FOs/ Rep. Offices/ Indian Embassy/ Consulate/ Overseas Notary Public/ officials of Branch/ Sourcing outfits based in India.
  • Proof of Identity (any one): Passport/ Driving License/ PAN Card/ Voter's ID card
  • Residence Proof (any one): Copy of recent Electricity Bill/ Telephone Bill/ Water Bill/ Piped Gas Bill/ Driving License/ Passport/ Aadhaar Card.

Property Documents

  • Permission for construction (if applicable)
  • Registered Agreement for Sale (for Maharashtra only)/ Stamped Agreement for Sale/ Allotment Letter.
  • Occupancy Certificate (for ready to move property)
  • Share Certificate (for Maharashtra only), Electricity Bill, Maintenance Bill, Property Tax Receipt
  • Xerox copy of Approved Plan and builder's Registered Development Agreement, Conveyance Deed (if the property is new).
  • Bank Account Statement or Payment Receipts showing payments made to Builder or Seller

Account Statement

  • Last 6 months' details for overseas bank account(s) showing salary credits and savings and Indian account (if any).
  • If any previous loan from other Banks/Lenders, then Loan A/C statement for last 1 year

Income Proof for Salaried Applicant

  • Valid work permit
  • An English translated Employment Contract duly attested by employer/ consulate/ foreign office / Embassy if it's in any other language.
  • Last 3 months' Salary Slips/ Salary Certificate
  • Last 6 months' Bank Account Statement showing salary credit
  • Latest Salary Slip/ Salary Certificate in original & copy of ID card issued by the current employer
  • Acknowledged copy of last year's Individual ITR (except for NRIs or PIOs located in Middle East countries & Merchant Navy employees).

Income Proof for Non-Salaried Applicant

  • Proof of business address
  • Income proof in case of businessmen and self-employed professionals
  • Last 2 years' Audited/ C.A. certified Balance Sheet & P&L accounts
  • Last 2 years' Individual ITR (except for NRIs or PIOs located in Middle East countries)
  • Last 6 months' Statements of the Overseas Bank Account(s) in the name of individual and company/ unit.

How to Apply for SBI Home Loan on MyMoneyMantra?

MyMoneyMantra lets you apply for SBI Home Loan online seamlessly and instantly. You can compare and choose from various Home Loan offers of top lenders. The website gives you an option to review gamut of products under one single website before you zero down to one single product and scheme.

To apply for SBI Home Loan through MyMoneyMantra, follow the steps given below:

  • Visit MyMoneyMantra
  • Go to the Home Loan section under Loans
  • Enter/ select the details required
  • After you enter your email ID and phone number, associates from MyMoneyMantra will contact you for assistance on various loan-processing requirements.

FAQs on SBI Home Loan

How will interest rate on SBI housing loan change in future?

The floating rate on SBI housing loan is linked to its 1-year MCLR that is 8.50% as updated on 10.04.2019. If the RBI increases/decreases its base rate due to some market circumstances, the bank will also have to increase/decrease its MCLR, leading to an increase/decrease in the interest rate on the Home Loans of existing and new borrowers.

Can I club the income of my spouse with mine and apply for joint Home Loan?

Yes, you can club the income of your spouse with yours to increase your SBI Home Loan eligibility.

What security do I need to provide for securing SBI Home Loan?

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

Do I get tax benefit on Home Loan from SBI?

As per the Income Tax Act of India, 1961, under section 24 and section 80C, residents of India can avail the tax benefits on principal amount (up to 1.5 Lakhs annually) as well as on interest (up to 2 Lakhs annually) on Home Loan. This is done to encourage more purchasing of homes and give maximum benefits to the citizens.

What should be the registration document's language?

The registration document's language must be the one which is prominently used in the applicant's district. The registration of your document can be declined if it is presented in a language not commonly used in the concerned district.

Can someone else be authorised to register my property if I grant them a Power of Attorney?

Yes, by executing a Special Power of Attorney, you can get your property registered by someone else.

What is a Power of Attorney?

A Power of Attorney enables a person to grant the right to make decisions to another person regarding the person's assets, finances, and real estate properties.

Power of attorney can be of two types - General Power of Attorney and Special Power of Attorney.

What is the procedure to register my property?

Property's registration includes stamping, paying registration fees for a sale deed, and getting it recorded at the office of sub-registrar of the concerned jurisdictional area. If the purchased property is the second or third one, it involves a duly stamped & registered transfer deed. The property registration process is completely computerised in most states nowadays.

SBI Home Loan - Latest News

10.04.2019: SBI raises reduces its MCLR by 5 basis points 

State Bank of India has reduced its rate on Home Loans by 5 points. The new rates start at 8.60% for women borrowers and 8.65% for other borrowers. The changes in rates are due to the decreased MCLR. The bank has reduced its MCLR by 5 basis points (8.50% from 8.55%) as on 10th April 2019. The reduced interest rate will lower the EMI amount on Home Loan.

01.04.2018-12-31: SBI offers special home loan schemes for government employees

State Bank of India, India's biggest lender offers special Home Loan schemes for government employees named SBI Privilege Home Loan and SBI Shaurya Home Loan. These housing loan schemes come at low-interest rates, cheap EMIs, and zero processing fees.

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