State Bank of India, on Tuesday, slashed its home loan rates by 0.15 percentage points for loan seekers of Rs.75 lakh and above with effect from August 26.
“It has now been decided to offer uniform interest rate on home loans with effect from August 26, 2014, irrespective of the loan amount,” said SBI in a press release. With this, the loan seekers for Rs.75 lakh and above will be benefited as their interest rate will now be 10.15 per cent against the earlier 10.30 per cent.
The present interest rate for clients who are taking loans up to Rs.75 lakh will remain the same at 10.15 per cent. However, for women borrowers, the bank said that the interest rate would be lower by 5 basis points compared to others. In this category, women would be the sole applicant or the first of the co-applicants and also the sole or the first of the co-owners of the property.
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“We would like to push our market share in high value loans of above Rs.75 lakh and, therefore, we are having a uniform rate for both below and above Rs.75 lakh,” said Jayanty Lakshmi, Chief General Manager, Real Estate, Habitat and Housing Development of SBI, while talking to The Hindu.
As on March 31, 2014, SBI had a market share of 26.02 per cent in the housing loan segment among all scheduled commercial banks and was expecting an 18 per cent growth in this segment in the current financial year.