Home Loan Approval: How to Get Home Loan Approved Faster

Buying a home is one of most people's biggest investments in India. Many still wonder, “When is the right time to buy a house?” In the past, people usually waited until they were 45 or older and more financially secure. But things have changed. Today, banks offer home loans with low interest rates, long repayment periods, easy EMIs, and tax benefits, making it easier for younger people to take the plunge.

Even though getting a personal loan for a home is easier now with benefits like flexible repayments, up to 90% funding of the property value, and minimal paperwork, you still need to meet the lender’s eligibility requirements. That’s why planning ahead is key. If you’re thinking of applying for a home loan, here are some helpful tips from Lendvia to boost your chances of getting approved. 

Understand Your Eligibility Criteria

Lenders follow strict eligibility rules. Income, age, employment type, and credit score play key roles. Meet the minimum income bracket. Maintain a stable job history. A salaried employee with 2+ years of work is preferred. Self-employed applicants need solid financial records.

Check and Improve Your Credit Score

A credit score above 750 increases your chances. Check your score before applying. Pay off outstanding debts. Don’t max out your credit cards. Clear past dues to boost your rating. Avoid multiple loan applications at once.

Keep All Documents Ready

Prepare your ID, address proof, income slips, bank statements, and tax returns. Having updated documents avoids delays. Organize them properly. This speeds up the verification process.

Apply with a Co-Applicant

Adding a co-applicant improves approval chances. Preferably, choose a working spouse or family member. Their income adds strength to your profile. It also increases the eligible loan amount.

Choose the Right Lender

Research various banks and NBFCs. Each has different criteria. Compare interest rates, loan terms, and processing times. Some lenders offer pre-approved home loans. Choose one with faster processing and lower documentation needs.

Pay a Higher Down Payment

A larger down payment reduces loan risk. It shows commitment. Aim for at least 20% of the property value. Higher down payments improve loan-to-value ratio. This impresses lenders.

Avoid Job Changes During the Process

Frequent job switches create doubt. Lenders prefer consistency. Changing jobs during the application might delay or reject the loan. Wait until your loan is sanctioned.

Use a Pre-Approved Loan Offer

Pre-approved loans are quick. These are based on your credit profile. They save time and require fewer documents. Check with your bank for available offers.

Maintain a Low Debt-to-Income Ratio

Keep your monthly EMI burden below 40% of your income. Lenders check if you can handle additional debt. Pay off other loans before applying. A low ratio means you manage finances well.

Provide Accurate Information

Any error in your form causes delays. Always double-check your details. False info can lead to rejection. Be transparent with income, employment, and property details.

Conclusion

Fast home loan approval depends on preparation. Boost your credit score, choose a reliable lender, and submit all documents on time. Be transparent, stay financially disciplined, and plan wisely for the best results.