After a tiring day at work, one can only get peace of mind with a blend of eternal happiness once they enter their home. Buying a house is not only a provision of shelter on one’s head but also a symbol of pride and prestige. But we all know how hard it might be to own the house of your dreams! It requires capital, abundant savings and much more to buy a new house. Well, this dream of yours can come true! Now with the various home loan schemes available in the market, you need not lose hope as home loans can make this dream of having your own house turn into reality.

Important factors During Evaluating Home Loan Eligibility?

Nature Of Your Job
Most housing finance companies and banks have a list of ‘negative’ professions. This can cause a lot of hassles for an individual before being able to get the loan amount if they come from such professional backgrounds.

Location Of The Property
Banks and finance companies have ‘negative area lists’. Any individual applying for the loan to get a home in such areas may not be granted the loan by them. The same is the case with properties falling outside the geographical limits of the city, as defined by the housing finance institutions. You should also look for projects which are pre-approved by the banks and housing finance companies.

Personal Details Of Individual
Housing finance companies consider details like the number of people financially dependent on the individual, the individual’s credit repayment history if any, and his savings habits.

What Can You Do To Build Your Home Loan Eligibility?

  •  Club all your incomes to get the best deal. Always try to have co-applicant such as spouse or parents who have an income so that higher loan amounts can be granted.
  • You can club your spouse’s income, additional incomes like perks, rent, and any other income that your immediate family earns as well. This may help you move to a higher eligibility bracket easily.
  • Have a good credit rating. Lenders will be happier if you can show them good credit history. Show them that you are not overburdened by credit card bills, mortgages, and other loans.

Every Borrower Who Wants a Home Loan Must Take Care of 3 Important Factors

  1. He should evaluate his requirement and choose the appropriate type of loan like a home construction loan, home improvement loan, primary home, etc.
  2. The borrower should calculate his income and repayment capacity before deciding the loan amount.
  3. The borrower should be clear about the calculation of interest rate, monthly payment amount, and the different kinds of fees (if any) that he has to pay.
Owning a house might sound difficult but if you keep these points in mind and invest smartly then it’s as easy as a cakewalk. So go ahead and plan your housing loan to make your dream come true sooner.

About the Author
Prasheel Singh is a Banking & Financial Services Expert who has been in the industry since 2015. Mr. Singh is the co-founder of Dekredix.

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