IDFC FIRST Bank Home Loan Eligibility

Offered to both salaried and self-employed individuals aged between 23-70 years, IDFC FIRST Bank home loans offer the most comprehensive combination of features and substance. With a competitive rate of interest and low EMIs, IDFC FIRST Bank home loan becomes the obvious choice. Check the IDFC FIRST Bank home loan eligibility conditions to get the most affordable home loan deal!

Eligibility Criteria for IDFC FIRST Home Loan

Following are IDFC FIRST Home Loan eligibility criteria:

  • Who can apply: Salaried individuals, self-employed professionals, partnership firms, sole proprietors, and MSMEs.
  • Minimum age required: 23 years or above at the time of applying for the loan. 
  • Maximum age required: 70 years or retirement (whichever is earlier) when the loan matures.
  • Work experience required for salaried applicants: Minimum 3 years.
  • Business experience required for self-employed applicants: Minimum of 3 years with a positive net worth. 
  • Other criteria: The applicant’s payment record of past loans and statutory payments must be clean, and they should have a good credit score. 

IDFC FIRST Home Loan Features & Benefits

The key features and benefits of IDFC FIRST Home Loan are mentioned below:

Loan amountMinimum Rs. 5 Lakhs and maximum Rs. 5 Crores
Interest rate8.25% - 15.75%
Tenure of repaymentUp to 30 years for salaried & 25 years for self-employed
Lowest EMI Rs. 751 Per Lakh
Processing feeUp to Rs. 10,000
Benefits
  • Loan-to-value (LTV) up to 90%
  • Loans available in 57+ locations in India 
  • Interest subsidy benefit (with PMAY) of up to Rs. 2.67 Lakhs
  • Multiple income & surrogate programs to fit your requirements.
  • Minimum turnaround time 
  • Simple & hassle-free processing 
  • Pre-approved loans available with zero hidden charges
  • Balance Transfer facility available
  • Debt consolidator facility to consolidate payments of multiple loans into one single EMI. 
  • Top-up loan available
  • Document Custodial Facility
  • Assessed income programme
  • No income and high equity programme

Factors Affecting IDFC First Home Loan Eligibility

There are several factors that may negatively impact your chances of getting a home loan from IDFC First Bank. We review some of the reasons why your application may have been unsuccessful in the past.

  • Bad credit score: If you have a bad credit score or no credit history at all, your chances of getting a home loan are less. Banks and financial institutions look for the credit history/ credit score before lending you money for any purpose. Banks look for the repayment cycle and the payments defaults, if any.
  • Outstanding debts: Outstanding debts left unpaid have a way of lowering your credit score thereby rendering your application unattractive to the bank. If you owe one or more debts and your score is below 750, you need to pay off those debts to raise your score up to the approved level.
  • Age: Another factor that may affect your IDFC FIRST Home Loan Eligibility to receive this loan is your age. Based on current policy, the bank only issues loans to applicants who are at least 23 years of age and above. Furthermore, the applicant must not be above 70 years of age before the expiration of the loan tenure.
  • Low income: Your income is a major factor that may make your chances of getting this loan. If your income is low and does not meet the income threshold expected of borrowers, your application will most likely be denied.
  • Property legalities: Only properties that meet certain legalities qualify for this loan. Therefore, if the property you want to acquire has an existing legal issue or there isn't sufficient documentary evidence to prove original ownership, IDFC First Bank will not issue a loan for it.
  • Number of dependents: The number of dependents you have may also be a factor. If the bank considers their number to be too high to place a strain on your finances, they may not issue you the loan.
  • Interest rate: The prevailing interest rate in the industry may also affect your Home Loan Eligibility since a high-interest rate will increase the cost of the loan.

Tips to Increase IDFC First Home loan Eligibility

Now that you know the potential factors that may harm your chances of getting a home loan what can you do to remedy them in case you are affected. All hope is not lost as there are smart and legal ways to increase your eligibility for IDFC First Bank' home loan. Here are some ways to improve your chances.

  • Update your credit report: If you notice any errors in your credit report, make sure you correct them by taking appropriate action. An updated credit report makes you a transparent applicant and the lender will be able to verify your profile when your application is being processed.
  • Pay your debts: To raise your credit score to the acceptable level of 750, make an effort to pay all your creditors what you owe. If you are not sure of their number or you are not certain about how much you owe you can consult your lender or check your credit report for guidance. A high credit score will increase the chances of getting the loan you have requested for.
  • Do personal evaluations of your capability: How you plan to pay back the loan should be the most important thing to keep in mind when applying for a home loan. A monthly EMI will be charged on the loan and you need to be sure how much the sum will be and if it is a sum you can afford to pay. Applying for a loan with a high EMI will not do your application any good as the bank will likely reject it. To be on a safe side, use MyMoneyMantra' online EMI Calculator to calculate the EMI on the loan amount you are about to apply for. Only apply for a loan you can comfortably pay from your monthly income.
  • Apply jointly: If you realize that the financial strain on your income will be too great to bear, you can do a joint application with your spouse, parents, or children. This will increase your income bracket and reduce the financial burden on you alone. IDFC Bank only accepts parents, children, and spouse as joint applicants.
  • Do a detailed verification of the property: Before the bank carries out their own verification of the property you need to do so yourself. Make sure there are no legal issues associated with the house or plot in question. As for the documentary requirements, consult the document section of this article for a comprehensive list of required property documents.
  • Seek professional advice: A final step you may take to increase your eligibility for a home loan is to consult loan finance experts to help you through the process. MyMoneyMantra can be of help to you as you seek ingenious ways of making sure that your next application is approved.

About IDFC First Bank Home Loan

IDFC First Bank formerly known as IDFC Bank is one of India's private sector banks with an international headquarters in Mumbai. IDFC as a banking institution commenced operations in October 2015 after receiving a universal banking license from the Reserve Bank of India in July of the same year. Since then, the bank has continued to provide financial service solutions to private and corporate customers across different sectors of the Indian economy. Following a merger with Capital First Ltd in December 2018, the bank is now known as IDFC First Bank Ltd.

One of the services offered by IDFC First Bank to both customers and non-customers is their Home Loan scheme. This loan scheme is specially designed to provide people with the financial resources to build or buy residential properties. This financial service is offered to the public because many families, especially those in the low-income bracket are not able to afford their own living quarters because their income is either too low, rising costs of housing, or both. To help this segment of society fund their own home acquisition, IDFC First Bank has come up with several product packages under their home loan scheme. They are:

  • Simple Home Loan Scheme for the Purchase, construction or renovation of a house.
  • Short and Sweet Home Loan for short term financing of home procurement or construction.
  • Booster Home Loan to provide borrowers with additional funds to complete their home project.
  • Max Saver Home Loan to provide savers with financial support as they save towards owning a house of their own.

Why Use a Home Loan EMI Calculator?

An online EMI calculator is used by borrowers to calculate the monthly-equated instalment they are liable to pay for a home loan.  Arriving at an accurate figure can be a complex task even for the brightest of mind so this is why this calculator comes in handy. With a Home Loan Eligibility Calculator, you will avoid the possibility of applying for a loan amount you will be unable to repay. The key details you should concern yourself about when calculating your EMI are the principal amount, the loan tenure and the interest rate at which the loan is issued. You also need to keep in mind that interest amount will be less with lower tenure but interest amount increases with an increase in the tenure.

The formula for calculating EMI is stated below:

E= P.r.(1+r)^n/((1+r)^n-1)

In this equation, E is a representation for EMI, P stands for the principal amount, R stands for the interest rate, and N stands for the loan tenure.

What are the Benefits of Using an EMI Calculator?

  • Arrive at a suitable interest rate
  • Calculate Home Loan Eligibility accurately without going through the complex calculation process.
  • Use the EMI figure to evaluate your repayment capacity
  • Identify a principal amount you can afford to repay
  • Ascertain your amortization schedule
  • Track your financial commitment based on your prior calculation

How to Use MyMoneyMantra EMI Calculator?

MyMoneyMantra's IDFC FIRST Home Loan Eligibility Calculator is specially designed to provide users with accurate EMI projections. This calculator is very easy to use and users have come to rely on it when deciding on a loan amount to apply for at specific interest rates.

To arrive at a suitable EMI figure, just follow these easy steps to use our EMI calculator:

  • Visit MyMoneyMantra website by logging into www.mymoneymantra.com
  • On the home page, head to the "Financial tools" section and click on "EMI Calculator"
  • You will be redirected to the "EMI Calculator" page and enter details like loan amount, loan tenure and the home loan interest rate
  • Now click the "Calculate" button and wait a while as MyMoneyMantra works out your EMI based on the details you have provided
  • In a matter of minutes, the calculator will display the EMI that will be charged for the lo amount as well as the accrued interest

What makes this EMI calculator a very helpful tool is because you can change the loan amount, tenure and interest and recalculate as many times as you wish until you arrive at a suitable EMI figure.

Best Value Home Loans

MyMoneyMantra is India’s largest phygital loan distributor. With trust of 70 lakh customers, we assure hassle free access to the best Home Loans up to 10 crore for housing loan borrowers in India. Our service is 100% free. We use latest technology and AI to serve customers across the length & breadth of our diverse country. Check Eligibility & Apply.

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IDFC First Home Loan Eligibility FAQs

What criteria will the bank consider in deciding my eligibility?

There are quite a few but the major ones are:

  • Income eligibility
  • Age eligibility
  • The obligation of the applicant to his or her dependents
  • The income stability and continuity of the applicant
  • The title deed of the property and other documents
  • The value of the property

At what interest rate is IDFC Bank home loan issued and what is the loan tenure?

The interest rate starts at 8.25% onwards. As for the loan tenure, it is subject to the applicant’s age at the end of the loan contract. The maximum tenure for self-employed is 25 years and 30 years for salaried employees.

Does this loan attract any prepayment or foreclosure charges?

Currently, IDFC First Bank does not charge fees for prepayment or foreclosures.

Can a customer pre-pay a booster loan?

While you can pre-pay a booster loan, you will not be charged any fee should you choose to take up this option.

How is interest calculated on my home loan?

The EMI you will be charged for this loan has two key components, which are the principal sum and the interest. Based on the principal sum you have been issued, interest will be calculated on a reducing balance basis for the outstanding loan amount monthly.

Can I begin to pay EMI on a loan that has been partly disbursed?

Yes, you can commence EMI payment on a partly disbursed loan. The EMI you will be charged will reflect how much of the loan has been issued to you.

Can I transfer a previous loan issued by a lender to IDFC First Bank?

Yes, you can transfer a loan to IDFC First Bank. However, do note that such a transfer is subject to charges from your previous lender.