Home Loan Eligibility
Home loan eligibility criteria has common parameters across all banks and Non-Banking Financial Companies (NBFCs). However, there could also be specific criteria that is applicable for each lender according to their requirements.
It is essential to understand the criteria that is required to be eligible for a home loan. It helps to ensure that the process of application becomes smoother and easier for you.
Eligibility Criteria for Home Loan
Employment Status Salaried or Non-Salaried
Loan Amount Decided by the Lender
Residence Type Permanent resident or Non-resident Indian (NRI)
Property Type Completed /Under Construction Project, Land/Plot, build on own Land, Buy Land and Build Home
What are the Factors Affect Home Loan Eligibility?
Age Limit: The limit of age foremost factor a lender/ financier considers when one applies for a housing loan. Normally, financial institutions attempt to limit the house loan term to the primary applicant's age of superannuation.
Income: The applicant falls into, a steady and regular source of income is a must. Basically, there are fewer risks in loaning money if the applicant is an earning individual.
Rate of Interest: Home finance eligibility is always inversely proportional to the rate of interest. If the rate is higher, eligibility will be less and vice versa.
Loan Term: If you opt for a longer tenure, your eligibility will improve. EMIs too will be lesser and manageable. But the downside to this is, that you will end up paying more interest.