Searching for that one home loan which can bring a smile on your face? Well, you have a nice headache as there are many lenders waiting to take you on board. From public to private lenders, all are busy luring customers with attractive offers.
Of the lenders, State Bank of India (SBI) attracts the most including you, right? Apart from the attractive home loan offers, the bank has a vast network of branches that total to around 25,000 across the country. This further drives an individual towards SBI.
Even though SBI’s offers and presence seem attractive, you can’t take off your eyes from the EMI calculator, which gives you an estimate of the repayment lying ahead. Knowing the repayment summary in advance can help manage your month-on-month expenses and generate the much-needed savings. So, let’s read SBI Home Loan EMI Calculator and its utilities in this article.
How Does SBI Home Loan EMI Calculator Perform its Operations?
The calculator performs its operations in a simple and hassle-free manner. But it needs your hands on the keyboard of a computer or a mobile to compute the repayment future. Yes, you guessed it right! You need to enter the loan amount, interest rate and tenure, offered by SBI, in the calculator to check the outgo of EMI and interest over the course of a home loan.
What is SBI Home Loan EMI?
The EMI, which stands for Equated Monthly Installment, is a combination of interest and principal amount payable each month. The installment must not be more than 30%-40% of the net monthly income. If you manage to strike a deal with SBI to keep the EMI in the said range, your home loan would be comfortable. How can you strike an effective deal? And for that matter, what is an effective deal? Yes, I hear the clamour for a lower interest rate offers.
How to Grab the Best Interest Rate Deal from SBI?
The points on which you can negotiate and grab the best interest rate deal is by keeping your credit score higher, greater income and a good repayment potential. If you have the last two, but lagging on the first one. Then, you may not get the desired rate offers. So, it’s vital to keep the credit score in top notch. How can you do so? Well, it can be done by maintaining a good credit behaviour. So if you are already servicing a loan or credit card, make sure to pay the EMI and dues on time. This will not only increase your credit score but also eliminate levies like late payment charges, which when happens, pinch your wallet and disturb your finances.
SBI Home Loan Interest Rates
SBI Home Loan Interest Rates vary according to the quantum of finance as well as the gender of an individual. Women borrowers can avail a loan of up to ₹30 lakhs at an interest rate of 8.30%-8.40% per annum. Other borrowers, though, would have to service the same amount of loan at 8.35%-8.45% per annum.
The interest rate offered to women borrowers on a loan above ₹30-75 lakh ranges from 8.30%-8.50%. For the same loan amount, others would need to pay the EMIs at an interest rate of 8.30%-8.50% p.a. Loan above ₹75 lakh would come at 8.40%-8.50% and 8.50%-8.60% for salaried and non-salaried borrowers, respectively.
So, lower the interest rates would be lesser would be the pinch on your wallet. The lower interest rate deal can help save a significant chunk over a home loan tenure that goes for as long as 30 years. At the moment, the interest rates are falling down constantly and the same may continue for a fair length of time, the time is ripe to opt for a home loan, and particularly, from SBI, which offers the lowest rates. After grabbing an interest rate deal, make sure to check its effect on the repayment using SBI Home Loan EMI Calculator.