India's largest lender State Bank of India is providing home loans at an interest rate of 6.8 per cent per annum. The bank is also completely waiving off processing fee in SBI-approved projects till March 2021. SBI has reached a milestone of crossing Rs 5 lakh crore in its home loan segment, and continuing to remain the leader.
The bank said it is working on themes like focussed development of Home Loan business, refined analytics for boosting growth and easing home loan journey for customers.
As much as 34 per cent market share in the home loan segment is commanded by the SBI. Around 1000 home loan customers are onboarded per day on an average by the bank.
The bank has also issued nearly 2 lakh home loans under the Pradhan Mantri Awas Yojana (PMAY) till December 2020. SBI is the designated central nodal agency for processing PMAY subsidy. The bank said that it has sanctioned 1,94,582 home loans under PMAY as of December. It said that it was the only bank designated by Ministry of Housing and Urban Development as central nodal agency.
The bank's real estate and housing business unit (REHBU) has grown five times in the last 10 years with an asset under management (AUM) of Rs 89,000 crore in 2011 to Rs 5 lakh crore in 2021. "This extraordinary feat is a testament to customers' continuous trust in the bank. We feel that combining technology with personalised service is the key in the current scenario," SBI chairman Dinesh Khara said.
SBI aims to achieve home loan AUM of Rs 7 lakh crore by FY2024.
The lender forayed into the home loan business in 2004 with a total portfolio of Rs 17,000 crore. A separate REHBU came into being in 2012 with a total portfolio of Rs 1 lakh crore.
Also read: Why SBI share rose 42% in seven sessions
Also read: SBI to charge customers for failed ATM transactions; Here's all you need to know