Check the factors which decide your home loan eligibility

Basic Parameters that describe your Home loan entitlement & home loan endorsement

• Your Salary/ITR.
• Property Check.
• Your Profile, Academic & Professional Background.
• Total work experience.
• Your credit/default profile.
• Family Credit History.

Salary/ITR-
Higher the salary of an individual more is the chances for greater eligibility of a loan amount.

Property/Check-
Banks check whether the property selected by you is ideal according to the technical & legal norms. Most importantly, they check the authorities have sanctioned property or not. Therefore, before deciding the property do check the property has approved sanctioned plans & complies with legal & technical aspects of the property.

Your Profile, Academic & Professional Background-
Banks credit manager decisions are leveraged on your profile, academic & professional qualification. As it is a long-term commitment with the bank, they analyze on potential growth in your career graph, industry you are working in & kind of profile you are into. Like, Call centers/BPOs are not treated at par with other profiles, as they tend to have high attrition rates. Banks generally want an applicant with stable job hence check for current & total work experience. Doctor’s, engineer’s, CA, Mgmt etc., sway banker’s decisions as they see the potential growth in their careers.

Your Credit/default profile-
Banks verify whether you have defaulted any or previous loan repayments. This is done against both internal systems and plus third party systems like Cibil/Satyam. So now, it is tough to have bad debts with one bank & take loan from other bank.

Family Credit History-
Banks also verify the financial records of your blood relation with the help of Cibil/Satyam. If they have defaulted then you are in a fix. You need to get to unnecessary hassles so, it’s always advised to have clean record with the banks.

Generally, banks check these things before giving loans. Basically, they check your ability to pay, assess your intention to pay & the property they are funding is safe or not?

Therefore, when you are shopping for home loan remember what are your advantages & disadvantages and negotiate accordingly with your bank.

Even you can check your Do’s & Don’ts at our MUSTREAD Section for more updates as knowledge enlightens.

Hope the above mentioned information is useful to you & we will strive to impart knowledge on latest in loan industry through our medium.

Your suggestion/feedback is valuable to us. Do write us at contactus@deal4loans.com or customercare@deal4loans.com.