Finally…. You have made a choice to avail a home loan. Great Though!!! But have you ever wondered what are those crucial aspects that you need to keep in mind? If not, don’t worry as we are here to help you. Today, in this article, we are going to discuss SBI home loan interest rates, giving you more clarity on the subject. So without keep you waiting for so long, let’s just come to the point straight.
Talking about State Bank of India, there is no denying the fact that it is no doubt country’s largest lender, worldwide famous for offering the varied financial products and services to one and all. And, home loan online is one such division where SBI rules the roost.
Currently, the lender is offering this credit facility at the home loan interest rates of 8.30%- 8.60% per annum. As you can see the rates offered by the lender are lower,which means you are going to have the affordable EMIs and Interest Outgo. Hence, less burden will be on your shoulders when it comes to loan repayment.
Just in case you are not aware with the fact that the lower rates you have, the better it is for you in the long run as it is directly related to your monthly installments and Interest Outgo. With higher rates, more burden will be on your shoulders to repay the loan as your EMIs and Interest Outgo will also increase.
Let’s have more clarity on the same by comparing two different scenarios in the article below.
Ankit Gupta, a Sales Manager by profession is looking for an HL of ₹40 Lakh to buy a new house in New Delhi. He has sent the applications in many banks and after checking his home loan eligibility, SBI decided to offer the loan at the home loan interest rate of 8.30% per annum for a tenure of up to 30 years. So, as you can see the rates are lower here, thus it would be interesting to know what would be the EMI and Interest calculations here. Curious to know the same? Take a look at the article below:
Interest Outgo:₹ 68,68,897
Total Amount Payable:₹ 1,08,68,897
Rashmi Aggarwal, a PHP Developer by profession is interested in availing a loan of ₹40 Lakh in order to buy an expensive home in Mumbai. To get the required loan amount for the same property, he has sent the applications in few banks. Finally, Rashmi meet the SBI home loan eligibility criteria and had given the loan at an interest rate of 8.60% per annum for a tenure of 30 years. Now, in this particular case, it is equally important to know what gonna be the EMIs and Interest Outgo that Rashmi will pay while repaying her loan. Remember, the rates are higher here! So, let’s check out the monthly installments and Interest Outgo here.
Total Amount Payable: ₹1,11,74,569
If we compare both the scenarios, it is easy to find out that there is a marginal difference of ₹849 in EMIs, thus this difference of monthly installment won’t affect a much to the applicant. But if you look at the Interest portion, there is a huge difference that you can observe here. Well, the difference comes out to be of ₹3,05,672, which is huge.
So what do you think which is that thing that has created the difference here? Well, it’s undoubtedly the SBI home loan interest rates that played the major role in lowering the EMI and Interest burden. Hope, now you have a better clarity on home loan interest rates online. Why they are considered to be the deciding factor that can either make or break the situation for you.