South Indian Bank Home Loan Interest Rate

The South Indian Bank Limited is a private sector bank based in Thrissur, Kerala, India. South Indian Bank has 802 branches distributed throughout more than 26 Indian states and associated regions. It has installed 933 ATMs across India. SIB provides you with alluringly calculated Home Loans.

To learn more, consider some of the fundamental loans provided below to get appealing solutions.

What are the South Indian Bank Home Loan Interest Rates?

South Indian Bank provides house loans with competitive South Indian Bank home loan interest rates beginning at 8.25% p.a. It provides home loans for a variety of objectives in order to satisfy the demands of its consumers.

A home loan can be obtained by both salaried and non-salaried individuals, both residents and non-residents.

Characteristics of the Housing Loan from the South Indian Bank

Loan Purpose: South Indian Bank Home Loans can be used for any of the following purposes-

  • Purchase of a ready-to-move-in house/flat or repurchase of a house/flat older than 20 years.
  • Purchase of land for the purpose of building a house on it.
  • Purchase of a pre-construction flat or villa in a bank-approved housing development.
  • In addition to a house or apartment.
  • House/flat renovation/reconstruction/repair
  • Reimbursement of expenses incurred on a flat/villa under construction, as well as the purchase of a ready-to-occupy flat/villa within two years.
  • The acquisition of an existing mortgage loan.
  • Margin: A minimum of 10% of the project cost is required. The loan amount is up to 90% of the project cost. However, the income quotient is also taken into account when determining the maximum loan amount. A spouse with a stable salary might be added as a co-borrower to raise the loan amount.
  • The bank offers a minimum payback duration of 5 years and a maximum repayment period of 30 years. The entire loan must be returned before the applicant reaches the age of 75. If the applicant receives a pension upon retirement, the payback time may be extended.
  • Processing fee: 0.50% of the loan amount, with a minimum of Rs. 5,000 and a maximum of Rs. 10,000 plus taxes.
  • South Indian Bank housing loan interest starts as low as 8.25% p.a.
  • Loan amount: The smallest loan amount is Rs. 2 lakhs, and the maximum loan amount is Rs. 15 crores.
  • Security: Security in the form of a mortgage on the property for which the loan was obtained.
  • If income proof is not available, the assessment is based on the annual balance in the SB Account for the previous 12 months.
  • Existing customers and takeover accounts are eligible for a top-up loan of up to 20% of the home loan sanctioned, or Rs. 25 lakhs, but their track record must be strong.

The Processing Fee of the Home Loan from the South Indian Bank

The processing fee for the home loan is 0.50% (excluding the GST)

South Indian Bank Home Loan Interest Rate 2022

South Indian Bank's house loan interest rate is closely tied to the External Benchmark-based Lending Rate (EBLR), also known as the Repo Rate, which is now at 4.40%. The actual interest rate on a house loan is the sum of the Repo Rate and the Spread.

The table below compares the interest rates that are offered by South Indian Bank to various programs.

Loan Scheme

South Indian Bank Housing Loan Interest Rate

Home Loan Scheme (Salaried/SEP/NRIs)

8.25% - 10.50%

Home Loan Scheme (Others)

8.60% - 11%

Types of South Indian Bank's Home Loans

There are varied schemes to cater to the different requirements-

1) SIB Home Loan

This is a regular house loan scheme that is open to all eligible salaried and self-employed individuals.

2) New HL Borrowers Scheme

This scheme is for meeting expenses such as the purchase of home articles, white goods, electrical items, computer equipment and peripherals, furnishings such as modular kitchens, furniture, and so on in a new residential building/unit, or a mix of these requirements.

3) Existing Housing Loan Scheme for Customers

This scheme is for meeting the costs of replacing the aforementioned things.

Who is Eligible for the South Indian Bank Home Loan Scheme?

  • South Indian Bank provides home loans to the following individuals: 
  • Salaried individuals: Employees of PSUs, MNCs, the government, publicly traded firms, and reputable public and private limited companies.
  • SEPs (self-employed professionals): Engineers, CAs, Architects, CSS, and ICWAs
  • Manufacturers, wholesalers, retailers, traders, and service providers are examples of self-employed non-professionals (SENP).
  • Senior Citizens/Retirees
  • Agriculturists
  • NRIs
  • The bank has set an age limit of 21 to 75 years.
  • The applicant must have an account with South Indian Bank in order to apply for a home loan.
  • If the plot is purchased and construction begins later, the borrower must give a declaration stating that he or she wants to build a house on the relevant plot using bank financing.
  • The property for repurchase should not be older than 20 years.
  • To analyze the applicant's income stability, various metrics have been specified for salaried individuals, self-employed professionals, and non-professionals. Salaried individuals must have been confirmed in service, whereas self-employed professionals and business owners must have been in that business for at least a period of two years.

What are the Documents Required to Apply for a Home Loan from South Indian Bank?

The basic documents that are needed while applying for a home loan from the South Indian Bank are-

  • ID proof
  • Address Proof
  • Income proof
  • Passport Photos
  • Tax Proof

What is the Application Process for a Home Loan from the South Indian Bank

The application process for a house loan from the South Indian Bank is simple, and the steps to do it online are mentioned below:

Step 1: You will have to visit the official portal of the bank.

Step 2: You can then visit the page of loans and click on the home loan.

Step 3: The bank will let you know if you are an eligible applicant, and when you are, you can easily apply for the loan by filling in the details as instructed.

Step 4: Once you have filled in your details, you will be asked to attach the documents.

Step 5: Once the documents have been attached and verified, you can submit the application. 

The bank will contact you later on your home loan application.

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