SBI Plot Loan

If you are looking for a plot loan to finance your investment in real estate, opt for the highly affordable SBI plot loan. The loan is available at a reasonable interest rate of just 7.50 onwards and is available for up to 10 years. You can procure a maximum of 15 crores in loan for land purchase SBI. Read on to find out all about your SBI loan eligibility and more to get started.  

SBI Plot Loan Details

A plot loan is granted by banks and several other financial institutes to customers who utilise the loan to buy vacant lands to build their dream home. You can buy a residential plot with the help of a plot loan to build your home. Plot loans and home loans are different.

Home loans are granted to buy an already constructed house or apartment. At the same time, a plot loan is only granted to buy vacant lands. SBI plot loan is given to the eligible applicants based on their credit history, financial and personal details.

SBI is known for offering great loans at low-interest rates to customers based on their demands. If you intend to take out a plot loan from the SBI, here are all the details you need before applying for the loan.

Also Read - What is a Home Construction Loan and How is it Different from a Plot Loan?

SBI Land Loan

Plot loans are also known as land loans since these loans help customers buy lands to build their houses in the future. SBI land loan offers its customers to select a tenure of up to 10 years at their convenience. However, the construction of the unit must be completed within the first five years after the bank grants the loan. SBI plot loan offers up to 15 crores to the borrowers. 

Land loans are huge amounts that you have to repay along with an added interest rate within a selected tenure. It is a long process that can often be overwhelming for some borrowers. If you want to take a plot loan, make sure you use an SBI land loan EMI calculator before applying for a land loan. An online EMI calculator will help you make informed decisions in the future regarding your expenses and personal finances. Compare and analyse different interest rates and learn plans before you apply for a land loan.

Building your dream home does not have to be intimidating. It takes time and a lot of financial and mental preparation. Make a solid strategy to manage your finances before you apply for the SBI land loan.

SBI Plot Loan Interest Rates

SBI land loan interest rate is affordable and allows the borrowers to be able to build their homes at an easy pace at their convenience. The rates for plot loans offered by the State Bank of India are quite competitive in the market, for they offer great loan plans from around 7.50%.

Take a look at the chart to compare the rates and figure out which loan plan fits your budget properly and fulfils your demands at the same time.

Interest RateLoan Amount
7.50%Up to 30 Lakh
7.60%40 Lakh - 75 Lakh
7.70%Above 75 Lakh

SBI plot loan interest rate differs from one customer to the other based on the entire principal amount they take out from the bank and their credit history. If you take out a loan of up to 30 lakh, an interest rate of 7.50% will be applied. The higher the principal amount goes, the interest rate increases along with it. Before you apply for a plot loan, use the SBI loan EMI calculator to figure out which plan is the best for you.

Also Check - SBI Home Loan Interest Rates

Features of SBI Plot Loan

The major features that make the SBI plot loan unique and feasible are listed below.

  • The repayment period can go up to 10 years depending on your demands and affordability
  • For women employees, a concession on the interest rate while they apply for plot loans.
  • No hidden charges are there to worry about.
  • The loan comes at a low processing fee to make your experience even smoother
  • If you decide to make a prepayment in the middle of your tenure, you do not need to pay extra charges for the procedure.

Make sure you keep these points in mind while comparing the SBI land loan with other loans offered by other banks at the moment.

Also Read - Plot Loan or Flat Loan: Which is a better option?

Benefits of SBI Plot Loan

The loan for plot purchase by SBI is known to be one of the most valuable loan deals offered by the bank in contemporary times. It comes with a lot of benefits, such as

  • A plot loan does not usually provide customers with any sort of tax benefits. However, if you take the loan for land purchase SBI, it can give you a certain percentage of tax discounts.
  • The SBI loan can help you design and create your own space at your convenience. It helps you fulfil your specific needs related to the construction of your home.

  Unlike the SBI home loan, it caters to the specific needs of the borrowers.

  • This loan is comparatively more affordable than the other plot loans offered by other banks and financial institutes in contemporary times. SBI does not charge any processing fee for the plot loans. Any prepayment charges are not applicable when it comes to the plot loan as well.
  • The eligibility criteria are simple. Anyone who has a credit score of 650 or more can apply for the SBI land loan easily.
  • You can take your time and repay the loan for 8-10 years, depending on your affordability.

This loan on land purchase offered by the State bank of India is one of the most affordable and easily available land plants that you will come across in the contemporary time. They offer affordable interest rates along with longer tenures compared to other banks and financial institutes.

Also Read - 15 Lakh Home Loan EMI Interest Rate

SBI Land Loan Purchase Eligibility

If you are intending to build your dream home soon, this problem can make your life easier with the benefits and perks it offers. However, before you apply for the plot loan, make sure you check the SBI loan eligibility criteria to ensure you are eligible to apply for the loan in the first place.

  • You must be an Indian resident in order to apply for this loan.
  • To apply for the SBI home loan or the land loan, you have to belong to the age group of 18 years to 65 years.
  • You can only repair your entire loan amount and the interest within the maximum duration of 10 years. Check the SBI plot loan calculator to determine whether or not it fulfils your demands properly.
  • You must have a CIBIL score of 650 or above in order to be eligible to apply for the plot loan offered by the SBI.
  • If you have a net annual income of up to 2 lakhs, your monthly EMI should not exceed 30%.

Make sure you are aware of all the eligibility terms before you decide to apply for the SBI land loan.

Documents Required for SBI Plot Loan

The essential documents that you will need to keep ready in order to apply for the SBI land purchase scheme are listed below:

  • A properly submitted application form for the loan
  • Identity proof- voter card, passport, PAN card, driving license (anyone)
  • Bank statement from the last six months
  • Three passport size photographs
  • Address proof- the electricity bill, tax reports, passports, telephone bills, voter ID.
  • Identification signatures from your current bank
  • Your income tax receipt
  • An identification card from your employer
  • Utility bills- postpaid mobile charges, electricity, water bill etc.
  • Driving license 
  • A valid rent agreement 
  • In the case of self-employed individuals, the proof of their business must be provided to the bank
  • In the case of salaried applicants, salary statements from your current employer

Apart from these essential documents, the bank may also ask for your recent sale-purchase agreements and receipts when you apply for the SBI land loan.

Also Read - Documents Required for SBI Home Loan

SBI Plot Loan Compared with Other Banks

Several leading banks in India offer plot loans to customers starting from an interest rate of 6.50% to 7.50%. If you want to take a plot loan soon, make sure you go through all the interest rates that are being offered by the banks in contemporary times to figure out which loan fits your budget properly. 

Take a look at the chart to compare and analyse the interest rates so that you end up applying for the right plot loan that will help you build your ideal home in the future.

Bank NamesInterest Rate for Plot Loans
State Bank of India7.50%- 7.70%
ICICI Bank Plot Loan7.0%-7.80%
Federal Bank Plot Loan7.65%-7.80%
Karnataka Bank Plot Loan10.89%-12.9%
Maharashtra Bank Land Loan6.95%-7.25%
HDFC Bank Plot Loans7.05%-7.95%
PNB Housing land loans8.55%-10.55%

The State bank of India and the ICICI bank offer similar interest rates when it comes to plot loans. The SBI loan offers other benefits such as low processing and prepayment fees as well.  Other leading banks such as Federal Bank, HDFC Bank, Maharashtra Bank and PNB offer an average interest rate of 7.8%_8% depending on the customers’ credit score and other details.

Make sure you go for the right plan that will make your repayment duration ideal and easy to manage.

Also Read - Tax Benefits on Home Loan

Other Loans offered by SBI Bank

Apart from the SBI land loan, the other loans that are offered by the bank are

  1. Auto loans- SBI offers car loans for an interest rate of 7.25% to 7.95% based on your credit history and other details.
  2. SBI also provides educational loans to students at an interest rate of 8.65%. It is not a fixed interest rate and can change at any time.
  3. Home loans are also offered by the SBI bank. The SBI home loan is offered at an interest rate of 7.50% to 7.70%.
  4. SBI also offers several personal loan schemes for an interest rate of 9.60% and onwards. Personal loans of up to 20 lakh are offered to customers by the bank.
  5. SBI also offers home loan balance transfer schemes to customers who want to shift their home loans lenders in the middle of a repayment tenure to the SBI bank.

These are the major loan schemes that are offered by the State bank of India at the moment. Check out all the details, such as the interest rates, tenure, processing fees, and benefits, before you apply for an SBI loan.

Also Read - Types of Home Loans Offered by SBI

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SBI Plot Loan FAQs

✅ What is the processing fee for an SBI land loan?

The SBI does not charge any processing fee when it comes to land loans.

✅ What is the turnaround time on SBI Realty Home Loans for purchasers of plots?

SBI takes around 3 to 7 business days to grant a loan. When you take an SBI plot loan, you are expected to construct the house within five years from the date the bank grants your loan.

✅ What is the maximum loan amount I can avail of under SBI Plot Loan?

You can take a plot loan of up to 15 crores, depending on your affordability.

✅ How will my interest rate for SBI Realty Home Loan be decided?

The interest rate for your SBI realty home loan will depend on the amount you take. For up to 30 lakhs, an interest rate of 7.50% will be applied. For 30 lakh - 45 lakh, an interest rate of 7.60%, and for up to 75 lakh, an interest rate of 7.60% will be applied.

✅ How much concession is offered to women borrowers?

For women borrowers, SBI offers a 05 bps concession when it comes to the SBI plot loan.