These days, it is impossible to buy a home without taking a home loan. Property prices have increased drastically over the last few years and it is impossible for people to buy a house solely with their savings. Further, people are also growing more and more comfortable with the concept on loans. Most people have multiple loans and do not find it difficult to repay these loans. However, with increasing home loan applications are also increasing cases of home loan application rejection. Home loan rejections lead to a borrower’s credit score going down and their chances of availing of a loan in future going down as well.

Thus, borrowers are advised to apply for a home loan only when they meet the home loan eligibility criteria. Before we discuss the step-by-step process to determine one’s home loan eligibility, let us look at what makes up home loan eligibility and what are the qualifying criteria lenders have for home loans.

Home Loan Eligibility Requirements 

If you want to avail of a home loan, most lenders would require you to meet the following eligibility requirements: 

– The home loan applicant must be a resident citizen of India. 

– They must be between the age of 23 and 65. Home loan age requirements vary from lender to lender and also depend on whether you are self-employed or salaried. So, it’s best to check with your lender before applying. 

– The applicant must be able to show a stable source of income. Salaried applicants must be able to show at least 3 years of work experience with a reputed company and self-employed individuals must be able to show at least 5 years of business experience  and profitability. 

– The applicant must have an excellent credit score. 

Home loan eligibility requirements vary from lender to lender. So, it’s best you go to your lender’s website and check their qualifying criteria for a loan before beginning the home loan application process.

Step-by-Step Process to Check Your Home Loan Eligibility 

Use the following steps to calculate your home loan eligibility with a home loan calculator. 

–  To start with, select the city in which you live. 

– During the next step, the calculator will ask you to provide your date of birth. 

– After this, you will be required to disclose your monthly income. 

– Once you have entered your income, the home loan eligibility calculator will ask you to disclose your monthly EMI obligations. 

– After you have entered all the required information, the home loan eligibility calculator will give you the home loan amount you are eligible for. 

Home loan eligibility calculator are easily available and borrowers can use them without paying any fee. Just search for them on the internet or simply go to your lender’s website and look for one. Home loan eligibility calculators are quick and tell you within seconds what is the loan amount you can afford to take. Applying for a loan amount you qualify for ensures quick loan approval as well as beneficial loan terms and conditions. So, use this calculator to your best advantage.