A first-time buyer’s guide to home loans
Most home buyers fund part of their purchase through a bank or housing finance loan. The exact terms — interest rate, eligible loan amount, tenure — vary by lender and by your own profile, so this guide sticks to the general process rather than numbers that change often.
What lenders typically look at
- Income and employment stability (salaried or self-employed, with supporting documents).
- Existing loans and credit history.
- The property itself — its legal clearances, RERA registration and approved plan.
- Your own contribution (down payment) toward the purchase price.
Typical steps
- Get an informal sense of your eligible loan amount from one or more lenders before you finalise a project.
- Once you choose a unit, the lender will ask for the project’s legal documents (title, approvals, RERA registration) for their own verification.
- On approval, the lender usually disburses the loan in stages linked to construction progress, rather than as one lump sum, for an under-construction property.
- Compare offers from more than one bank or housing finance company — interest rates, processing fees and other charges vary.
Loan terms, rates and eligibility criteria change and vary by lender. Speak to your bank or a home loan advisor for current figures relevant to your situation. This page is general information, not financial advice.