Home Loans from offered by State Bank of India are built on a robust foundation of transparency and trust. With its low interest rates, affordable processing fees and no hidden costs, the SBI Home Loan is an ideal choice for borrowers. You can avail SBI Home Loan from over 15,969 branches in the country.
The process of applying for a home loan can be described in the following steps:
You must have all the legal documents related to your property from your builder, in hand, before you apply for the home loan from SBI. It usually comprises of the booking receipt as well as the copy of the cheque.
With all the required legal documents, you must go to an advocate who is a part of the SBI panel and get them verified. He will need to verify the Sales Agreement & Construction Agreement. Sometimes the document such as Encumbrance certificate, receipt of the tax paid till date, is required. As this step could require a lot of documents from various sources, this could take the longest time.
After the legal valuation is complete, the property needs to be evaluated by a property valuator belonging to the SBI panel. Once he valuates the property, a letter is given to you.
It is mandatory for a SBI Home Loan that the Sales and construction agreement is franked or e-stamped. The value of e-stamping may differ based on the value of your property. Franking can be done at the register office, while e-stamping can be done at select register offices, post offices and syndicate banks.
Once the above steps are complete, along with the documents and the application form, the borrower must visit SBI. The documents that need to be submitted are the legal opinion, valuator statement and others, as per the bank requires you to.
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. However, periodic follow-ups are required, asking for the inspection to be done and other things that accelerate the process.
SBI will give you a call as soon as they sanction the loan. You will then be asked to submit some more documents including the following:
You as well as your guarantor needs to be present at the bank with all the above documents.
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, matching the payment schedule.
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 sometimes, even you may be asked to collect it from your branch.
SBI Home Loans are a great choice for home loan borrowers as there is no prepayment penalty and you can decrease your interest by prepaying the loan without a worry.