SBI Home Loan Interest Rates
HOME LOANS – INTEREST RATES With effect from 01.10.2016
|Borrowers’ category||Home Loan interest rate, irrespective of loan limit||EMI per Lac for 30 year Tenor||Maxgain above Rs. 20 lacs & upto Rs. 1 crore||Maxgain above Rs. 1 crore||CRE Maxgain, irrespective of loan limit|
|Women||20 bps above the MCLR i.e. 9.25% p.a||Rs. 823||30 bps above the MCLR i.e. 9.35% p.a.||55 bps above the MCLR i.e. 9.60% p.a.||75 bps above the MCLR i.e. 9.80% p.a.|
|Others||25 bps above the MCLR i.e. 9.30% p.a.||Rs. 826||35 bps above the MCLR i.e. 9.40% p.a.||60 bps above the MCLR i.e. 9.65% p.a.||80 bps above the MCLR i.e. 09.85% p.a|
- Woman should be the sole applicant or one of the co-applicants for Home Loan, and also
- The woman should be the sole owner or one of the co-owners of the property proposed to be financed by the Bank
Loan Against Mortgage of Immovable Property.
|Loan Against Property||Under MCLR (One Year)||Spread Over MCLR||Effective Rate (1 Year Reset)|
|Upto 1 Cr.||9.15%||1.60%||10.25%|
|Above 1 Cr. upto 2 Cr.||9.15%||2.10%||11.25%|
|Above 2 Cr. upto 5 Cr.||9.15%||2.60%||11.75%|
What is Home Loan Interest Rate?
Home Loans have become the best medium to buy homes. Banks and NBFCs offer various home loan schemes and alluring interest rates that attract the home buyer. The key deciding factor for a customer to avail home loan from a particular financial institution is determined by the interest rate. The interest rate is charged on the principal loan amount.
What is SBI Maxgain Product and How Is It Useful.
SBI MAXGAIN : HOME LOAN AS AN OVERDRAFT
- An innovative and customer-friendly product enabling the customers to earn optimal yield on their savings by reducing interest burden on Home Loans, with no extra cost.
- The loan is sanctioned as an Overdraft with added flexibility to operate the Home Loan Account like SB or Current Account. Bank also provides Cheque Book/Net Banking facility for the purpose.
- The product enables customers to park their surplus funds/savings in SBI Maxgain (with an option to withdraw whenever required), especially in the wake of low yields on other Deposit/Investment products.
Minimum Loan Amount : Rs.20 lacs
Maximum Loan Amount : No Cap
What determines interest rates on your Home Loan?
It is the bank that decides their lending rates. This depends on their cost of funds and NIM or Net Interest Margin which the banks need to earn to earn a profit and cover their operation cost.
An important point to note here is that home loans to salaried employees are offered at a lower rate as compared to those who are working in the unorganized sector; the prime reason for this the stability of income of salaried employees.
The home loan interest rates calculation by the nationalized banks is presently based on MCLR or Marginal Cost of Lending Rate method. To this rate, the spread is added and then the final interest rate is mentioned to the customers or borrowers. And the NBFCs use Prime Lending Rate (PLR) calculation method.
Types of Home Loan Interest Rate.
There are two kinds of home loan interest rate:
- Fixed Interest Rate Loan- This rate of interest remains fixed and the borrower has to pay a fixed EMI during the home loan tenure. The market fluctuations don’t impact the home loan rate. A major point of concern when it comes to fixed home loan rates is they are 1-2.5% higher than the floating rate of interest. If a borrower has fixed home loan then he/she doesn’t get the benefit if the home loan rates go down. Their EMI remains unaffected by it.
- Floating Interest Rate Loan– As the name indicates, floating rate loans have interest rates that change with the market condition. The are highly susceptible to market fluctuations. If the base rate changes, the floating rate also gets changed along with it. They are usually cheaper than the fixed rates but being highly influenced by the market condition they may vary as the RBI changes the rates.
Factors affecting home loan interest rate
- Credit score
- Location of the property
- Loan amount
- Type of loan
- Loan tenure
- Type of interest rate
- Employment type
- On-going promo offers
All the banks and HFCs offer lucrative and competitive interest rate on the home loan, here is
The list of banks and HFCs and their interest rate.
|Banks and HFCs associated with Loanyantra||Home Loan Interest Rate|
|SBI||9.25% – 9.3%|
|ICICI||9.4% – 9.7%|
|HDFC||9.4% – 9.95%|
|DHFL||9.65% – 10.25%|
|Indiabulls||9.4% – 11.75%|
|Standard Charted Bank||9.35% – 9.4%|
|Aditya Birla Housing Finance||9.40% to 9.55%|
|Banks and HFCs not associated with Loanyantra||Interest Rate|
|PNB Housing Finance||9.55%|
|LIC Housing Finance||9.8%-117%|
|Bank of Baroda||9.65%- 10.65%|
|Dena Bank||9.45% to 9.7%|
|Bank of India||9.7%-9.95%|
|Federal Bank||9.59% to 9.84%|
|Union Bank of India||9.5%-9.55%|
|Bank of India||9.7%-9.95%|
|Bank of Maharashtra||9.6%-10.35%|
Discount on home loan interest rates by LOANYANTRA
Loanyantra is a one stop shop for all kind of home loan services. You process your loan with us and get 0.10% discount on the interest rate for one year. Also, manage your loan by the services provided by loanyantra. Get door-step service for the collection of documents and submitting them. Get updates about the process till disbursal. The first priority is to understand our customer profile and then suggest them the best home loan which will match their requirement perfectly. Get connected with us today to know more about home loans.