Purchasing a residential property will entail applying for a home loan. Due to the large sum of money involved, even the loan applications are carefully scrutinized before approval. Naturally, the lender would prefer to give loans with a low risk of a payment default.


Simply put, to meet the eligibility criteria for a home loan, an individual should not have any bad debts. They must also be able to display their financial capacity to repay the loan EMIs on time. However, even minor errors can result in the rejection of a home loan application. Worse, it will impact your credit score and will raise a red flag for other lenders.


Below are six pointers to help you get your home loan approved:


Ability to repay

Examine your finances to gain a better understanding of your ability to repay the loan. Several lenders have minimum salary requirements that vary by city. The minimum salary requirement for Mumbai or Delhi might be Rs.50,000 per month. While that for Bangaluru or Pune might be Rs.45,000 per month.


Make a higher Down Payment

Making higher Down Payments on the property reduces the amount you need to borrow. This will make lenders treat you as a low-risk customer. It will improve your eligibility for a home loan and get you lower rates of interest. It would be ideal to pay at least 20% of the property value as a down payment.


Good CIBIL Score

Checking your CIBIL score is the quickest way for a lender to determine your creditworthiness. This is a great way to boost your home loan eligibility criteria. To maintain a clean financial record, you need to clear all outstanding debts and pay off your credit cards. Submitting multiple home loan applications also affects your Credit Score. Hence choose your lender wisely and make an application only when you are sure of receiving approval.



You can get your parent or spouse to be a co-applicant on the home loan. This will boost your chances of getting approval, especially if the co-applicant earns a sizeable income. Banks allow the clubbing of the net incomes of the co-applicants. This is quite a helpful feature when your income alone is not enough to get the home loan approval.


Be thorough

Pay attention to the fine details while filling out the loan application forms. It would be pretty pointless to have your application rejected for a silly reason. Going through the application carefully will also help you spot hidden clauses which might catch you off guard in the future. Check your account information and salary details carefully while entering them into the application.


Check for errors on your Credit Report

Any discrepancy in your credit report can hamper the processing of your home loan application. You should check your credit report beforehand and get the errors rectified before making the home loan application.


It is important to honestly disclose all the relevant information while applying for a home loan. Providing complete and accurate information and responding quickly to lender requests will expedite loan processing approval.