Home Loan

Eligibility Criteria for a Home Loan in India

Required Documentation for Home Loan Application

A home loan is a secured financial product that allows individuals to purchase, construct, or renovate residential or commercial property. With growing urbanization and real estate value in India, more people are turning to home loans for affordable financing options. Whether you're a salaried professional or self-employed, home loans come with flexible EMIs, competitive interest rates, and long tenures.

1. Minimum Age – 21 Years

The applicant must be at least 21 years old at the time of application. Most lenders consider this the minimum legal and financial maturity age for loan responsibility.

🔹 Why it matters: Ensures the borrower has sufficient working years ahead for loan repayment.

2. Maximum Age – 60 Years

The upper age limit for a home loan is usually 60 years, especially for salaried individuals, so the repayment tenure ends before retirement.

🔹 Why it matters: Reduces the risk of income loss due to retirement during the repayment period.

3. CIBIL Score – 700 & Above

A CIBIL score of 700 or higher is generally required to qualify for a home loan.

🔹 Why it matters: A good credit score improves the chances of approval and may lead to lower interest rates.

💡 Tip: Check and improve your CIBIL score before applying to increase your eligibility.

4. Minimum Loan Amount – ₹5 Lakhs

Most banks and NBFCs offer home loans starting from ₹5 lakhs, depending on your income and property value.

🔹 Why it matters: This ensures the loan is suitable for meaningful property transactions.

5. Eligible Property Types

You can apply for a home loan in India for various property categories including:

• Development Authority Registered Properties

• Society Registered Units

• Builder Allotments

• Resale Properties

• Balance Transfer Cases

• Single Unit Construction

• Purchase + Construction

• Awaas-Vikaas Scheme Units

• Araazi (Registered Land)

• Industrial/Commercial Purchase

🔹 Why it matters: Broadens your buying options, whether residential or investment-based.

1. KYC Documents

• Aadhar Card

• PAN Card

🔹 Used to verify your identity and prevent fraudulent applications.

2. Income Proof

For Salaried Applicants:

• Last 3 months' salary slips

• Form-16

For Self-Employed Non-Professionals (SENP):

• Last 3 years’ ITR computations

• Audited financial statements

🔹 Helps assess your income stability and repayment capacity.

3. Bank Statement

• 6 months to 1 year of bank statements

🔹 Used to verify regular income credits and monitor financial behavior.

4. Property Proof

• Title Deed

🔹 Confirms legal ownership and eligibility of the property for financing.