If you are planning to get a home loan to get your home, you need to go through a long process. Due to the increasing demand for home loans across the nation, multiple banks offer home loans at a low-interest rate to eligible customers.
Both public and private banks offer home loans with particular requirements and have different conditions for loan approval. But you need to know whether you are eligible to apply for a home loan from the particular bank or not. You can contact leading loan distributor companies to get guidance and proper help for getting your home loan approved seamlessly and faster.
Eligibility Criteria
The eligibility criteria of every bank or financial organization are different from each other. But in general, some of the eligibilities are common for any borrower looking to get a loan to buy their new home.
- The borrower must be employed in some particular organization, and your job must be secured enough so that you are eligible to pay the debt back with interest.
- You can be a self-employed person as well. In that case, you need to provide relevant documents supporting your claim of income rate.
- You must be an Indian by nationality, or an NRI can apply for a home loan in Indian banks.
- If you are looking for a higher duration of the loan, your eligibility for getting the loan increases simultaneously.
- Whether a salaried employee or self-employed, your income has to be above 25,000/- to qualify for the loan.
- Your business needs to be at least 3 years old and running well to make you eligible for the home loan.
- For salaried employees, you must have been serving the organization as an employee for the last 24 years without any break and should have worked at the same place for a long time in the future.
- You have to be quite careful to ensure that your loan is completely new and you don’t have any other liabilities or loans to return. If you also have other loans, your eligibility rate gets minimized up to 50%.
- Every bank or financial organization’s credit score is the most important part of the eligibility process. Your credit score has to be around 750 to make you eligible for any home loan.
- Banks can offer you a good amount of home loans depending on the total cost of the property. Some banks even offer up to 90% of the total price. But for that, your credit score is the ultimate factor. The better your credit score is, the higher amount you can get as a loan.
Both private and public banks offer home loans to borrowers with the mentioned eligibility criteria. Private Banks even ensure the borrower gets the payment sooner than public banks. For example, HDFC home loan is very customer-friendly. You don’t need to wait for months to get the approval. Once you are assured about your eligibility for a home loan, go ahead and apply for it to get the best out of it.