Buying a home for the first time or even subsequent, means a lot for families or for anyone involved. To help you in the process, here’s a quick list of Home Loan eligibility criteria, which you must take care of to avail the home loan of your choice.
Eligibility Factors to Acquire a Home Loan:
1. Age - applicant’s age must be between 25-58 years of age.
2. Income - consistent employment/ job which means that you can easily pay off the loan.
3. Credit Score - a good credit score of 750+ is highly beneficial to acquire a home loan
4. Tenure - a longer tenure means your EMIs will be lesser while shorter tenure will result in higher EMIs. Also, opting for a longer tenure will help you pay off the loan easily and improve your credit score.
5. Debts - clear all existing debts to ensure you get the desirable loan amount
6. Co-applicant - applying with a co-applicant with a good source of income will help you acquire a higher loan amount
7. Make payments on time - before applying for a loan make sure to clear off your credit card outstanding and any other bills due, as it will help you avail quick approval.
8. Documentation - you can apply with minimal documentation, however, even for first time buyers it is very important to have all documentation prepared in the form of identity proof, income proof, bank statements, to have a smooth sailing process.
Reference Read: All You Need to Know About Home Loan Eligibility in India
Aman Khanna is an experienced financial advisor who is well known for his ability to foretell the market trends as well as for his financial astuteness. He has an MBA in finance from Toronto University as well as years of experience delivering seminars on sound financial practices and debt management.