The State Bank of India (SBI) on January 8, 2020 launched a ‘residential builder finance with buyer guarantee’ (RBBG) scheme.
The Scheme aims at giving a push to residential sales and improve homebuyers’ confidence.
Under the scheme, the lender would refund the entire principal amount if the developer fails to deliver the project within the assured deadline.
The SBI will issue a guarantee for completion of select residential projects to customers who have availed home loans from it.
It will focus on affordable housing projects priced up to 2.50 crore rupees in 10 cities initially.
Under the scheme, the guarantee would be given by the bank till the project gets the occupation certificate (OC).
The guarantee will be available for RERA registered projects and a project will be considered stuck after it crosses the RERA deadline.
