Purchasing a home of your choice is the dream that many people see, but only a majority of them realize. As compared to earlier times when people used to save all their lives to buy a home, things have improved much as a Housing Loan is available.
Yes, a Home Loan is a handy financial product that lets you avail the home of your dream if you have the required Home Loan eligibility criteria. When you fulfil the required eligibility criteria, it becomes easier for lenders to sanction loans at a lower rate.
In the same context, let’s see some of the Housing Loan eligibility criteria that you should know if you have a Housing Loan to avail.
Home Loan eligibility criteria – A quick look!
The Home Loan eligibility is defined by various factors at a lenders’ end for borrowers. Have a look!
- You should be an Indian citizen
- You should be in the age bracket of 25-58 years of age
- You should be a salaried individual with a work history of at least 3 years
- The minimum amount that you can avail is Rs.30 lakh and maximum limit is Rs.10 crores
Documents required for Home Loan
You should also have some vital documents required for Home Loan ready to submit to your lender for your House Loan application to approve smoothly such as:
- Duly filled application form
- Latest photographs
- ID proofs – (anyone – Voter’s ID Card, Driving License, PAN Card, Aadhaar Card, Job Card issued by NREGA)
- Address proof – (Anyone – Passport, Voter’s ID Card, Aadhaar Card or Driving License)
- Income details – Latest salary slips/Form 16
- Bank account statements – last 6 months
Here’s how you can improve your Home Loan eligibility
If you think you are just falling short of your Housing Loan eligibility, follow the below points and improve it easily.
- Improve your CIBIL score
The first thing that lenders see is if you have the required creditworthiness to avail a House Loan. As a result, if you have a good credit score, you will pass the first step to get your House Loan approved.
- Settle all debts
If you have too many existing debts, lenders may not sanction your Housing Loan thinking that you may not be able to take the burden of an extra loan and reject the application. Hence, try to settle all debts before applying for an online Home Loan.
- Combine all incomes
If you live in a family where the source of income is divided, make it a point to combine all while applying for a House Loan. Suppose if you are applying for a housing loan for Rs.40 lakh but meet the Housing Loan eligibility for Rs.20 lakh only, combining all incomes would help you get the Housing Loan approved.
- Include bonuses and perks
While calculating the loan EMIs, you should include other income sources as well such as a performance-linked bonus. It will help you improve your Home Loan eligibility in the long-run.
The Bottom Line
Now that you know about the Home Loan eligibility criteria, documents required for a Home Loan and eligibility enhancement tips, apply for a Housing Loan online. Fulfilling the discussed Housing Loan eligibility will help you buy the home of your choice!