Everyone who gathers a substantial fund after employment for a particular period aims to buy that dream house for themselves.

But, investment in a home may burn a large hole in one’s pocket. Therefore, applying for a home loan becomes an ultimate solution. While the Home Loan disbursement process might be tedious for some, one must first have an assessment of his/her eligibility for application.

Availing a home loan is easier when the borrower is already pre-qualified.

What do you need to get pre-approved for a home loan?

The whole point of this exercise of pre-qualifying is to find out the ultimate amount that a financial institution shall ultimately lend out to a prospect and at what rate.

There are a few parameters for assessing people for their eligibility. Some lenders, like Bajaj Finserv, have a home loan eligibility calculator. Such a calculator aids borrowers in determining their eligibility by furnishing specific details.

However, there are certain checkpoints that lenders would consider while approaching a prospect for a home loan.

• Income

An assessment of funds that would be backing loan repayments is necessary. Any lender would want to ensure itself of the fact that prospects would be repaying their loans at regular intervals.

Therefore, an estimate of the income and thereby source of income of prospective borrowers is necessary to determine his/her eligibility for granting home loans. This is also, one of the elementary steps in the home loan disbursement process.

• Savings

Apart from financing the installments, which come much later, the initial funding for the property has to be considered. This funding, termed as down-payment, requires substantial savings for a lump sum payment.

Down-payment is dependent on the type of loan to be availed. However, keeping a significant fund for this purpose is definitely advisable to smoothen the home loan disbursement process.

Another notable point is that pre-approved home loan processing fees also depend on the final loan amount.

• Credit history

Needless to say, a borrower’s credit history is a powerful factor that affects the disbursement of a loan. A CIBIL rating of over 750 speeds up the home loan disbursement process due to the borrower’s strong creditworthiness.

Noteworthy past credit records assure lenders of steady repayments. In cases of prior default, it is advisable to pay those outstanding debts off as soon as possible.

There are a number of lenders in the market who offer home loans. However, it is up to the borrower to first have a fair assessment of the lenders who provide home loans at most favorable terms.

For starters, as mentioned earlier, they have a home loan eligibility calculator that assists borrowers during their evaluation. In addition to this, they provide the required knowledge that a borrower needs for initiating an application in the first place.

Furthermore, the following facilities further make the institution favorable for opting for a home loan.

• A customized property dossier that guides applicants through the vital aspects of applying for home loans.
• Minimal documentation, to speed up the home loan disbursement process.
• Relief from paying EMIs for 3 months.
• Facilities like, Flexi Hybrid Home Loans, Balance Transfer, and Top-up loans, to help investors further improve their dream house.

NBFCs offers pre-approved offers for personal loans, home loan, business loans, and other financial products. This helps you avail instant financing and save a lot of time.