Browsing on Internet, walking into SBI Branch and you will see - Loan in just 5 days*
The biggest bank is working towards speedy clearance however it is not that simple for non-approved projects.
Planning - key to ensuring you get your home keys if ready to move.
Keep 2 weeks to get legal and Valuation reports from SBI Bank approved panel. Do keep in mind, your sanction loan amount depends on the Valuation report in addition to your financial eligibility.
Once reports are received, please keep one photocopy or scan on mobile with good scanning software like Kagaz Once reports are submitted to Bank, it will be a very lengthy process to get for photocopy, may not get it.
Post your loan submission and you receive a message that your loan is sanction and do visit RACPC Center for documentation.
In addition to Margin money, please keep the following additional costs in mind.
1. Home Protection insurance - It is essential and good to enroll for SBI which I found cheapest and best as it increases your home value year on year. You can opt for 10 years' insurance.
2. Mortage charges - keep in mind this is 0.5 to 1% based on flat / home cost. If your loan is around 60 L, do consider around 23K as charges. It is always good to do it along with registration. You can save time else you will have to visit the sub-registrar office
You can always use Govt. Stamps and Registration sites to get overall cost using the Stamp & Registration duty calculator.
In case you are in Karnataka, use the following link
https://kaverionline.karnataka.gov.in/StampDutyCalculator/StampDutyCalculation
Now if you have completed registration however not mortgage property then what?
Your amount will not be disbursed by Bank. Do not worry. You will need 1 day to complete mortgage formalities and the bank will disburse the amount via original DD.
Note, your property gets registered with Original DD Photocopy provided by Bank only with appropriate stamp and signature.
Post loan is approved, DD is issued to a builder, now go on the Internet or talk to your insurance adviser and get Term Insurance instead of loan protection insurance. Loan Protection insurance is slightly costlier, many will ask you to pay the single or limited premiums and insurance coverage is equal to your outstanding loan amount. On another side, Term insurance gives you full coverage for the entire tenure and works out reasonably with some insurance companies like Bajaj Allianze gives you Premium back on completion of tenure for a young home buyers. Other good term insurance is from ICICI Pru life IProtect smart.
