Home construction loan Eligibility
If you decide to construct your home rather than buy a new house, then you can pledge for a home construction loan. It is a short-term loan. Basically, construction loans are opted by home buyer customer building or builders. This loan is for those who own land and require financial aid to build up their home. The borrower can get a maximum loan amount of up to 90% of the property value.
Eligibility criteria for home Construction loan
Eligibility criteria depend on several factors such as business or sales turnover, creditworthiness and repayment history.
- The borrower can be self-employed or salaried.
- The borrower’s age must be between 18 to 60 years of age.
- Credit score of applicants should be above 750
- Nationality should be Indian.
- Work Experience should be a minimum of 3 years and 1 organization in current organization.
Factors affecting home construction loan eligibility
Borrower’s Income: - Each bank sets a limit of minimum income criteria. The annual income of an applicant decides the total loan amount that can be approved. You can get up to 3.5 crore as a home loan amount.
Age limit: - Minimum age of applicant should be 18 years and maximum should be 60 years of age to pledge for home construction loan from banks or financial bodies.
CIBIL Score: - A CIBIL score must be 750 or above which has a direct impact on the interest rate of home loans offered by banks.