Find out the answer to that, before even selecting your dream home. Usually most people scrutinize on the requirements of their dream home. The proximity to the city or other facilities, the type of construction, the vastu! but little do they realize that they are taking their loan application for granted. As a loaner, it is your responsibility to first assess if your bank is going to accept your loan application i.e. by checking your loan eligibility.
Income flow :
Banks do not accept the loan applications if you have irregular incomes or if your income is below the lower limit than what the banks can accept, higher incomes can entail you to loan eligible as well as tax benefits, which is possible if you can apply for a joint loan with your spouse.
Credit report :
Banks do not lend loans to those loaners who have any bad credit score, the information of which, is provided by CIBIL(Credit Information Bureau of India Ltd) . You too can avail your credit score. If incase you find any kind of faults in your credit score, you can approach your lender and try to rectify the mistake.
Leveraging :
Avoid over leveraging. If incase you have other EMIs payments to be made, then your loan application will not be considered since your salary will be diversified towards their payments. So it is also advised to repay your loans and opt for a new loan so that your chances of getting a loan will be more and your debt burden will be reduced.
Documentation:
Before applying the loan application, you need to arrange documents required fo its approval by the lending institutions like the NOCs, title deeds, property construction papers etc. Try asking your bank, beforehand, as to what are the documents required by you before applying for a home loan
.