Reasons for Rejection of Sbi Home Loans: Criteria & Procedure

By Dickson Osas

A public sector bank having more than 100 branches spread out over India is the State Bank of India (SBI). It is a sizable financial organization offering loans to people and companies. In this post, we’ll go through why SBI home loan applications are turned down and how supplying the correct information might improve your chances of being accepted.

Home Loan Requirements

The minimum age is 21.
The maximum age is 65.
The minimum educational requirement is a 10th-grade pass or equivalent in any stream (passed out from an institute with minimum qualifying marks).
A postgraduate degree or an equivalent is the minimum level of education required.
Maximum monthly income limits are Rs. 1.5 lakh for people seeking an SBI home loan and Rs. 75,000 for self-employed persons; however, these limits are subject to alteration based on your current business activity and financial situation.

Credit Score

It is crucial to comprehend your credit score if you intend to apply for an SBI Home Loan but have never taken out one before. Your credit score quantifies your likelihood of repaying debt on time. Your interest rates on loans will increase when your credit score declines.
SBI cannot accept your home loan application if your credit score is poor.


You must be between the ages of 21 and 65 to apply for a house loan. If you are an SC/ST, OBC, or female candidate, you are eligible to apply for the loan up to the age of 70.
Except for SCs and STs, who can only use this benefit until 60, the maximum age restriction is 70 for all classes.


Your income should exceed your EMI. The monthly loan amount, additional costs, and the EMIs should all be covered by the Borrower’s consistent and enough income. The Borrower must maintain open bank accounts with at least two critical financial institutions that are not currently closed or suspended by any banks.

Job Security

Job security is the next aspect to take into account. We must be certain that you are in a position to repay the loan and retain your employment before we can approve your application. It examines an applicant’s length of employment and present job situation (i.e., full-time or part-time).
They also want to know whether there have been any gaps in their job history. Let’s say a borrower took time off before acquiring a home loan because they were fired or had another temporary leave of absence from their job. In such a scenario, it’s possible that our underwriters won’t find this acceptable for approval.

Income of Co-Applicant

The income of the co-applicant is not considered for determining eligibility. It will, however, be considered for the loan amount you receive.
If two co-applicants are in a loan application and one earns more than Rs 25 lakh per year, that person will only be awarded up to Rs 20 lakhs and can apply for another loan after finishing the current one, whether it is approved or not.

Ability to Repay by the Applicant

The applicant’s credit score and repayment capacity should be strong. They need to be able to pay back the loan on schedule without making any mistakes.

 Legal Issue With the Property

The State Bank of India must get all original property paperwork when you apply for an SBI home loan (SBI). since the security for the mortgage is your property. The SBI Home loan will be declined if the required paperwork is missing or if legal action is being taken against the property.
As a precaution, it is advisable to confirm all the paperwork and specifics of the property before making a purchase. Additionally, you may go to the sub-office registrar to verify that there are no legal issues with the property or whether any government plans cover it.

Calculator for Sbi Home Loan Emi

A useful tool that might assist you in calculating your monthly EMI is the SBI Home Loan EMI Calculator. In addition to calculating your monthly interest payments, this calculator also displays the down payment needed to qualify for a mortgage.

How Do I Figure Out My Sbi Home Loan EMI?

The SBI Home Loan EMI calculation procedure is simple and fast. The calculator needs the following information entered:
-Loan Quantity (Principal)
Rate of Interest (%)

Benefits of the Sbi Home Loan Emi Calculator

The SBI Home Loan EMI Calculator is quite user-friendly and has a number of advantages. First off, any house loan from the State Bank of India can be aided by this calculator. Second, the calculator displays your monthly interest payment as well as your overall loan repayment amount.


Although SBI Home Loan rejection is typical, you may prevent it by taking the aforementioned actions. Contact SBI’s customer service professionals if you believe your application was denied for one of the aforementioned reasons. They will walk you through the procedure and assist you in receiving approval quickly.