Top 5 Ways To Increase Your Home Loan EligibilitySeptember 18, 2017
A home is every one’s dream. Whether you are building a brand new one or buying a house, the emotion behind it stays all the same. Nonetheless, raising finance for a home is a strenuous task for many. And they turn to home loans to help realize their dream. But banks does not approve home loans for every applicants and the criteria for eligibility can be difficult to achieve at times depending on the income and other financial factors.
Here are top 5 ways to increase your home loan eligibility.
1. Combine Incomes
When apply for a home loan, it is better to combine income of the applicant with that of a family member to improve maximum loan eligibility. One can add a working spouse or a parent as a joint application to increase the credibility as the liability is shared.
2. High tenure
Monthly repayment capacity or EMI is decisive in calculating home loan eligibility. For higher tenures or as the time period increases, EMI will be smaller and this also lightens the burden of repayment.
3. Pay off existing liabilities
Loan eligibility is higher for those who does not have any pending loan repayments. Banks consider existing loans as a decrease in monthly savings and thus reduces the chance for more loans.
4. High credit score
Maintaining a high credit score is vital for acquiring a home loan. High CIBIL score of 700 or beyond are ideal for qualifying for a loan and to extend the loan limit.
5. Variable pay
Include variable components of your income such as bonus and incentives as these are helpful in determining the repaying capacity for higher credits.
Ladder Kerala, one of the top builders in Calicut is offering home loans at an interest rate of 4.99% after analyzing the existing home loan reforms and to assist in owning their meticulously designed flats.