FIVE EASY WAYS TO CALCULATE ELIGIBILITY FOR A HOME LOAN
Before you can buy your dream home, you need to consider many financial and practical aspects. Of these, the most important is determining if you are eligible for a home loan.
Applying for a home loan can be daunting and the uncertainty of being rejected at any point can be disappointing and discouraging. It is wise, therefore, to understand and be prepared for a bank’s approval process by doing the following:
• Review the eligibility criteria used by the banks to determine your eligibility
• Plugging in details in an online home loan eligibility calculator to determine your eligibility status and loan amount
First, look through these five eligibility criteria to check if you qualify for a loan:
• Are you a salaried employee and have been employed for at least two years in the current job?
• If self-employed, do you show savings of a minimum of five years of your total earnings?
• Are you between 20 to 60 years and gainfully employed? A bank’s home-loan calculator favours younger applicants who are employed and in this age range.
• Do you have a good credit rating?
A good credit rating increases your chance of getting the loan with more flexibility on the amount, EMI, tenure, as well as interest rates. Outstanding loans create a negative impression and may result in the bank immediately dismissing the loan request.
Place of Employment:
• Do you work for a Multinational Corporation (MNC), a high-profile marketing company, or a well-established reputed company?
Jobs in these types of workplaces are favoured by banks and improve your chances of getting the loan approved.
• Do you show a record of having steady and stable finances?
Financial stability influences interest rates, loan amount, and loan tenure.
Plugging in details in an Online Home Loan Eligibility Calculator: Determine Eligibility Status
If you have met the earlier-mentioned eligibility criteria, you can next check your eligibility status with an online home loan eligibility calculator which asks for these standard details:
• Length of time at current place of employment or business
• Monthly salary or income
• Loan amount being requested
• Annual rate of interest
• Total monthly EMIs
It then processes all the details you have entered and displays whether you are eligible or not for the loan and the loan amount for which you are approved.
In just 5 easy steps an applicant can calculate his or her eligibility for a home loan against the monthly salary earned by him.
These online calculators provide one with the basic idea of how likely they are to be approved or disapproved for a loan.
Follow the 5 steps below and calculate your eligibility for home loan.
1. Search online for home loan eligibility calculator.
2. Fill in all the basic details about your income and current finances.
After processing the details, the calculator will give you an EMI figure that fits your budget.
3. The applicant also has to enter the number of years for which they are considering to take the loan.
4. The calculator also asks for the rate of interest against that amount. Please fill in this detail.
5. One may pay the EMI suggested or decrease it a bit to reduce financial burden. But under no circumstances one should exceed the suggested EMI figure.
Finally the home loan eligibility calculator will display the suitable loan amount that the individual may request for in the bank.
Alternatively, just walk into our office wherein our finance team will guide you to the various banks, where our project is approved and will be glad to help you in getting an agreed amount disbursed for you to be a proud owner of an outstanding apartment.