The State Bank of India has revised its home loan rates, increasing it by 25 basis points/ 0.25% which brings it to 6.95% from 6.70%.
As per information posted on SBI official website, the new rate effective from 1st April 2021. The hike in the home loan rate by SBI is likely to prompt other lenders to follow suit.
Additionally, the State Bank of India will now impose a consolidated processing fee, which will be 0.40% of the total loan amount plus applicable GST, subject to a minimum of ₹ 10,999 and a maximum of ₹ 30,000 plus GST.
The EBLR, which is linked to the RBI’s repo rate, is currently 6.65%. This would mean that home loans are available at 7%. However, the bank is still offering special privileges to women applicants, and a loan application where a woman is one of the applicants is entitled to a 5bps discount, which makes it 6.95%.
SBI last month announced a special offer on home loans, under which, SBI was offering home loans starting @ 6.70% interest rate and in addition to this SBI had also waived home loan processing fees. However, these offers were valid only till 31st March.