PNB Housing Finance Home Loan Eligibility

The repayment capacity of the applicant is gauged with the net monthly income, i.e. salary or income received after deducting PF, ESI, gratuity, etc. The net income helps to assume the capacity of the applicant to pay the monthly EMI after meeting the current expenses and other obligations. For example, if the salary of an applicant is Rs 25,000 and he wishes to buy a house of Rs 40 Lakh. The maximum Home Loan amount will be Rs 26.04 Lakh to Rs 41.69 Lakh at the rate starting from 8.50%. But if the salary of the applicant is Rs 75,000 for the same property the eligible Home Loan amount will be Rs 52.09 Lakh to Rs 83.38 Lakh. 

Nature of Employment: Likewise, the nature of employment and source of income is very important to determine the capacity of the applicant to pay monthly EMI. The years of experience and job stability is viewed while reviewing the Home Loan application. The minimum income history and job stability of 2 years are a must for salaried employees to apply for the Home Loan at PNB Housing Finance; similarly, for the self-employed individuals, it is 5 years.

Age is one of the most important and basic factors that affects the Home Loan eligibility of an applicant. The minimum age required to be eligible for the Home Loan at PNB Housing Finance is 21 years. The maximum Home Loan tenure at PNB Housing Finance is 30 years. However, the applicant's age must not exceed 70 years (for salaried and self-employed) at the time of maturity of the Home Loan.

PNB does not finance the entire property value. The maximum Home Loan eligibility amount depends on the Loan to Value ratio of the property. PNB provides maximum Home Loan up to 90% LTV ratio. The borrowers have to fund the remaining on their own. If the borrowers cannot fund the remaining margin money, they can apply for LTV Loans that come at a higher rate of interest.

The CIBIL Score is determined by taking into account the applicant's past payment history for previous Loans and Credit Cards. It is the most important factor that determines the Home Loan eligibility of an applicant. Lower the CIBIL score, lower are the chances of an applicant to get the Home Loan from PNB Housing Finance. The CIBIL Report will also have information of all your past and current loans. The PNB HFL will study the CIBIL report of the applicant thoroughly before processing the Home Loan application further. The minimum CIBIL Score of 650 and above is a must to be eligible for the Home Loan at PNB Housing Finance.

Below mentioned are some of the factors that can affect Credit Score of a Home Loan applicant.

• Late payments-Any delayed payments of the existing and past loan can lower the CIBIL score; thus, reducing the chances of getting Home Loan from PNB.
• High number of Unsecured Loans- Having more Unsecured Loans can also decrease the CIBIL score. It is a must to maintain a balance of Secured and Unsecured loans.

The FOIR is Fixed Obligation to Income Ratio. FOIR is used to determine Home Loan Eligibility. For the purpose, PNB Housing Finance will take into consideration all of your current obligations such as EMIs, rent etc to estimate your Home Loan eligibility. This estimation plays an important role in determining the repayment capacity of the applicant. The minimum FOIR of 0.65% is a must to get approval for the Home Loan at PNB Housing Finance.

There are various Home Loan schemes offered to customers at PBN Housing Finance to meet varied needs and requirements of the customers. Followings are some of the popular Home Loan products by PNB Housing Finance along with their features:

Unnati Home Loan

The Unnati Home Loan at PNB Housing Finance is specially designed for the lower and middle-class segment. The loan aims at providing them with power to buy their dream house at very affordable and easy EMI options. This Home Loan aims to help the lower and middle-class people fulfill their dream of buying an own house. The Unnati Home Loan is provided on 90% of the property value. The loan procedure is also simple with minimum documents' requirement for the loan application. The rate of interest under Unnati Home Loan is affordable too.

Who is Eligible?

• Any salaried, self-employed professional/ non-professional, individual with Professional Degree/ Diploma/ Post Graduate Degree/ ITI and a minimum salary of  10,000 per month can apply for this loan.

Key Loan Terms

• The maximum age of a salaried employee to get this loan is 70 years, and for a self-employed individual, it is 65 years.
• The loan amount ranges from  15 Lakh to  10 Crore.
• An applicant can apply up to 90% of the value of the property.
• The maximum Home Loan tenure is 30 years.

Pradhan Mantri Awas Yojana

PNB Housing Finance for Middle Income Group (MIG), Lower Income Group (LIG) and Economically Weaker Section (EWS) categories offers credit linked subsidy scheme under the Pradhan Mantri Awas Yojana (PMAY).

The customer can enjoy interest subsidy on the construction, purchase or improvement of a house under the Pradhan Mantri Awas Yojna. PM Narendra Modi introduced this scheme.

Features

• For LIG and EWS, women ownership is a must when buying a new house.
• The interest subsidy is calculated for a period of 20 years.
• The advantages can be availed for purchase of the first property.

Eligibility

• This scheme can be availed by individuals only.
• The applicants must be above the age of 18 years to apply for the loan under this scheme.
• For EWS and LIG categories, the annual income of the applicant can be up to 6 Lakh. The annual income of applicants belonging to MIG 1 can be between 6.01 Lakh and 12 Lakh. The annual income of applicants belonging to MIG 2 can be between 12.01 Lakh and 18 Lakh.
• All applicants must be from same family including unmarried children, spouse, and self.
• The beneficiary including all his/her family members shall not have a pucca house anywhere in India.

PNB Housing Finance Home Loan Eligibility for Women

The eligibility criteria for women applicants are the same as other applicants, except for the concession of 05 basis points.

The applicant can increase the Home Loan eligibility amount by adding a co-applicant. This increases the repayment capacity of the borrower. The co-borrower should have good CIBIL score, limited obligation, and good income. The income of the co-applicant is also considered while calculating the Home Loan eligibility.

Documents Required:  

For Salaried employees:

• Duly filled Home Loan application
• Two photographs in passport size.
• Last 2 years' ITR records
• Identity Proof: Applicant's Passport/ PAN Card/ Voter ID/ Driving License
• Residential Proof: Registered Rent Agreement/ Leave & License/ Utility Bill of at least three months/ Passport
• Income Proof: Last six months' salary slips, Form 16 of two years, Bank statement of at least last six months that reflects salary being credited or EMI being debited.

All the legal, property-related documents like past title chain like conveyance deed, allotment letter, sales deed, latest property tax receipt, possession letter, copy of the approved plan of construction or extension.

For Self-Employed:

• Duly filled application form for Home Loan.
• Two photographs of the applicant in passport size.
• Proof of identity such as the applicant's Passport/ PAN Card/ Voter ID/ Driving License
• Proof of Residential Address such as Registered Rent Agreement/ Leave and License/ Utility Bill of at least three months/ Passport
• Proof of Business like - VAT/ service tax registration/ company's incorporation details Address proof of the business, accounts and balance sheets showing profit and loss statements which have been certified by a CA, the proof of the business's existence a copy of the partnership deed and business profile

All the legal, property-related documents like past Title Chain, Conveyance Deed, Allotment Letter, Sales Deed, Latest Property Tax Receipt, Possession Letter, copy of the Approved Plan of Construction or Extension.

PNB Housing Finance Home Loan eligibility is determined by the factors given below:

• Applicant’s age
• Applicant’s credit score
• Applicant’s salary or income source
• Indian citizenship status