SBI Mortgage Loan Interest Rate, Required Documents, Eligibility, and More

SBI Mortgage Loan Interest Rate

SBI mortgage loan interest rates vary depending on the amount of the loan and the type of income. For loans up to Rs. 1 crore, the interest rate is different based on whether more than 50% of the income comes from salary or other sources like business or rental income.

For amounts above Rs. 1 crore, the interest rates also differ, with rates generally being higher for loans where the income is primarily from business or rental sources. These rates are calculated by adding a percentage to the 1-year MCLR (Marginal Cost of Funds Based Lending Rate), which is reviewed annually.

The table below summarizes the interest rates based on loan amount and income type:

SBI Mortgage Loan Documents Required

Here are the documents required for an SBI mortgage loan:

1. Application Form: Duly filled and signed loan application form.

2. Photographs: Recent passport-sized photographs of the applicant.

3. Proof of Identity: Valid government-issued photo ID, such as an Aadhaar card, passport, PAN card, or voter ID.

4. Proof of Address: Residential address proof, such as an Aadhaar card, utility bills, rent agreement, or other valid documents.

5. Income Proof:

• For Salaried Individuals: Salary slips, Form 16, and bank statements for the last 6 months.
• For Self-Employed Individuals: Audited financial statements, and income tax returns for the last 3 years.

6. Bank Statements: Statements for the last 6 months to a year to verify financial transactions and creditworthiness.

7. Property Documents:

• Property title deed.
• Sale deed.
• Previous chain of documents.
• Property tax receipts.

8. Property Valuation Report: An assessment of the property's current market value.

9. Business Proof (if applicable): Proof of business ownership, financial statements, and other relevant documents for self-employed individuals.

10. Employment Proof (if applicable): Employment verification letter and salary slips for salaried individuals.

SBI Mortgage Loan Eligibility

The eligibility criteria for an SBI mortgage loan typically include:

Age

Applicants must be between 18 and 70 years of age.

Residency

Must be a resident Indian. Non-resident Indians (NRIs) are also eligible if they own residential property in India.

Income

• Salaried Individuals: Must have a minimum net monthly income of Rs. 25,000 (or Rs. 3 lakhs per annum).
• Self-Employed Individuals: Must provide certified financial statements for the past 3 years and demonstrate a stable income.

Employment

• Salaried Individuals: Should be employed with a reputed organization or government entity.
• Self-Employed Individuals: Should be running a business or professional practice and have a stable financial track record.

Property

• Type: The property to be mortgaged should be non-agricultural, non-encumbered, and compliant with SERFAESI norms. It can be residential or commercial.
• Location: The property should be located in a municipality or urban area. Loans are not available for properties in rural areas with a population of up to 1 lakh.

Credit Score

A good credit score is essential for loan approval.

Co-Borrowers

The income of co-borrowers (such as a spouse, children, parents, or siblings) can be considered to increase the loan eligibility.

How to Apply for SBI Loan Against Property Online?

1. Visit SBI's Official Website:

Go to the State Bank of India's official website.

2. Navigate to Loan Section:

Find and select "Loan Against Property" under the loans or personal banking category.

3. Click ‘Apply Now’:

Start the application process by clicking the "Apply Now" button.

4. Fill Out Application Form:

Enter your personal, financial, and property details in the application form.

5. Upload Documents:

Scan and upload required documents, including proof of identity, proof of address, income proof, and property documents.

6. Review and Submit:

Check all entered details and document uploads before submitting the form.

7. Receive Confirmation:

Obtain a confirmation or reference number after submission.

8. Bank Verification:

A bank representative will contact you for further verification and additional documents if needed.

9. Document Submission:

Provide any additional documents requested by the bank either online or at a branch.

10. Approval and Disbursement:

After approval, the loan amount will be disbursed to your account according to the bank’s terms.