Steps to Understand the Process of SBI Home Loan

State Bank of India is one of the largest facilitators of home loans in the country. It provides a range of home loan products to suit the needs of its customers. The bank offers very lucrative interest rates for home loans with a tenure period ranging up to 30 years. Some of the best features of SBI home loan are:

a.) Special discount for women borrowersb.) Flexible payment optionsc.) No hidden charges or administration feesd.) Exclusive packages depending upon individual needs of customers

With thousands of branches spread across various geographical locations, SBI has become one of the most accessible banks to obtain a loan from.

Step-By-Step process You can avail SBI home loans both online as well as offline. It is an easy and hassle free process to avail home loans from SBI Bank.

Here are the steps to avail a home loan from SBI Bank online:

Step 1: Check eligibility: Borrower can use bank’s eligibility calculator to decide how much loan he would like to borrow and for how long. Post this, he is required to fill an easy online application form which contains personal and loan related details.

Step 2: Offers for you: On the basis of the borrower’s details, an exclusive offer will be provided to him by the bank with the complete details of the loan amount, interest rate, and tenure.

Step 3: Complete application: Fill out an online application form which contains your personal and professional details.

Step 4: Upload documents: Upload all the required documents online. Post this, the bank’s representative will call you for the verification of property. Once verified, you will receive a sanction letter from the bank.

Step 5: Hand over property documents: The sanctioned amount will be credited to your bank account. Once done, you need to hand over the original property documents to the bank.

The process of applying for a home loan offline can be described in the following steps:

Step 1: Keeping the property related documents ready: Get all your property-related legal documents from the builder, before applying for a home loan from SBI. It usually comprises of the booking receipt as well as the copy of the cheque.

Step 2: Taking legal opinion: Once all your legal documents are ready, go to an advocate who is a part of the SBI panel and get them verified. The advocate will need to verify the Sales Agreement & Construction Agreement. He may also ask the customer to submit Encumbrance certificate and receipt of the tax paid till date. As this step could require a lot of documents from various sources, this could take the longest time.

Step 3: Valuation of property: After the legal stage, the property needs to be evaluated by a property valuator from the SBI panel. After the valuation of the property, a letter is given to the borrower.

Step 4: E-stamping or franking of agreement: To obtain a home loan from SBI, it is mandatory that the Sales and Construction agreement is e-stamped or franked. The value of e-stamping may differ based on the value of the property. While franking can be done at the register office, e-stamping is done at select register offices, post offices and syndicate banks.

Step 5: Submission of application: Once the above steps are completed, the borrower must visit the SBI bank along with all the required documents and the application form. The documents that need to be submitted are the legal opinion, valuator statement and others.

Step 6: Wait period: The waiting period for the approval of the loan may vary from person to person. The special home loan branch can disburse the loan within three days.

Step 7: Documentation: As soon as the loan is sanctioned, the borrower gets a call from the bank’s representative asking him/ her to submit some more documents.

• Two e-stamps worth Rs 400, where you are the first party and SBI is the second party.- E-stamp worth Rs 200, where the parties are same as above.- E-stamp worth Rs 200, where first party is the guarantor and SBI is the second party.- All documents submitted while loan application.- Cheques in favour of SBI.

Loan applicant along with the guarantor needs to be present at the bank for the documentation.

Step 8: Loan disbursement: Once the loan is sanctioned by the SBI, borrower must attain the following documents from the builder:

• NOC stating that the property is not mortgaged at any other bank.- Tripartite agreement, if the property is under construction.
• Demand note from the builder. Make sure whatever demand note they make is matching the payment schedule.

Step 9: Registration: Before the registration process, verify the stamp duty and inform the bank of the same. Once the registration process is complete, an officer from the SBI bank visits you to hand over the DD to the builder or even you may be asked to collect it from your branch.

Conclusion: Availing a housing loan from SBI Bank is a hassle-free process. The bank also offers lower EMIs at an affordable and attractive rate of interest. In addition, there are no hidden charges or administration fees.

A passionate finance writer loves to write about banking and loan services.