How to Get an SBI Home Loan
- 1). Decide on why you need the SBI home loan -- for home improvements, a wedding ceremony, vacation, medical expenses or something else. If you need to borrow more than Rs. 25.00 Lakhs (hundred thousand pounds), which is equivalent to Rs. 2,500,000, the loan has to be specified and agreed that the money will not be used on equity shares or real estate.
- 2). Calculate your loan amount. The minimum amount to be borrowed is Rs.25,000 and the maximum Rs.1 crore (10,000,000). The loan amount can be calculated as 24 times net monthly income or 2 times net annual income. Agree on a repayment term of 5 to 10 years.
- 3). Check to make sure you fit the eligibility of the home loan. You must be employed, self employed, or involved with allied and/or agricultural activities. Your monthly income must be more than Rs.12,000 or more than Rs.1,50,000 annually, and you must be aged 60 or under.
- 4). Fill in the online form that can be found on SBI's website and be sure to read about the documents that will be required to complete your home loan application.
- 5). Collect all the required documents, including 3 passport sized photos, proof of ID, proof of address, bank account statement, signature identification, and your liabilities and personal assets statement. Also required from your present employer is an original salary certificate, form 16 completed with Tax Deducted at Source (TDS) certification, or the financial details covering the last two years of Information Technology returns, granted by the Information Technology department.
- 6). Identify if you require a guarantor to secure the home loan. A guarantor is used as extra security, especially on a huge loan. In the eventful case of the loan falling into arrears, the guarantor will cover the shortfall by entering into the Deed of Guarantee. A guarantor will be required to supply two passport-sized photos, a statement displaying liabilities and personal assets, proof of ID and address, business address, and finally, signature identification.
- 7). Gather these documents together if you are self-employed: Authorized copies of 3 years of IT assessment orders/returns and photocopies of the challan 280 form detailing the payment of Advanced Income Tax.
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