Shriram Housing Finance Home Loan Eligibility

Avail Shriram Housing Finance home loans up to Rs. 10 crores. Whether you are employed with the organised sector or the informal domain, get a fast and hassle-free home loan from Shriram Housing Finance. The specially designed Shriram Housing Finance home loan eligibility conditions consider every borrower valuable. Check your Shriram Housing Finance home loan eligibility today!

Shriram Housing Finance Home Loan Eligibility in India 2021

Eligibility CriteriaShriram HousingHome Loan
Eligible Age of Borrower21 - 70 years
Minimum Eligible Income₹ 25,000 and above
Work Experience for Salaried2 years
Business Stability for Self Employed3 years

 

Shriram Housing Finance Home Loan Eligibility based on Salary

Your net take-home salary helps lender to decide your loan quantum. The eligible amount is quoted as per your net take-home salary and debt to income ratio stipulated by the lender. Before applying for a Home Loan, you should ensure that the net take-home salary is sufficient to provide for the required Home Loan EMI.

Furthermore the job stability and security are also measured to ensure timely payments of EMIs. The lender will consider employer’s reputation before approving loan application. An applicant who is employed in a Government Organisation/ PSU/ any of the reputed Companies/ MNCs is considered more secure than the one who is employed with a private organisation or is self-employed. Next, the work experience with the present employer is considered for income stability.

Shriram Housing Finance Home Loan Eligibility Based on Age

The maximum tenure for repayment of the loan is 25 years. While fixing the repayment period, the age of retirement is considered in case the applicant is salaried and the age on the date of maturity of the loan is considered, when the applicant is self-employed. A younger applicant will get a longer repayment period. In longer tenure, EMI will be lower and more affordable.

Shriram Housing Finance Home Loan Eligibility based on the Value of the Property

Loan to Value ratio is also a factor that decides the Home Loan quantum. If the property has a good market value, then the eligible home loan amount also will be proportionately high. The loan quantum will be 75% to 90% of the market value of the property to be pledged for the loan. 

 

Shriram Housing Finance Home Loan Eligibility Based on CIBIL Score

Your entire credit history such as the number of loans & credit cards, types of loans, the repayment pattern & so on, are indicated in the credit report. The timely repayment of the loans and Credit Card dues is one of the important factors affecting your credit score. The discipline in credit repayment will result in a good credit history. You will hence be considered as a low-risk borrower. Low-risk borrowers are preferred by the lenders and thus it will not be difficult to get an approval if the credit score is good. Also, you will enjoy additional privileges like better interest rate, concession in charges, higher loan amount, and so on.

Shriram Housing Finance Home Loan Eligibility Based on FOIR

FOIR is Fixed Obligation to Income Ratio i.e. debt to income ratio. A lender will consider FOIR before sanction the loan request. Besides your Income/ Salary the lender will assess existing EMIs, Credit Card bills, and approx monthly expenses as a ratio to your net income. The FOIR should be not be more than 50 %. With higher than this parameter, the loan interest rates and terms will be more stringent. 

Eligibility Criteria for Different Shriram Housing Finance Home Loan Schemes

Shriram Housing Finance offers a range of housing loan products to help you buy, construct, renovate, and renovate the residential properties. These loans are flexible and customised to suit the borrower’s needs. The types of Home loans offered by Shriram Housing Finance include:

Purchase of Property

Purpose

Home Loans for purchase of resale property, ready to occupy property or under construction property

The property can be purchased from MHADA or other government-authorised projects and also from private developers.

Loan AmountRs 1 Lakh to Rs 75 Lakhs
Loan to Value (LTV)Up to 80% of the property's value
TenureUp to 20 years

Plot Purchase Plus Construction

Purpose Purchase of a plot, followed by construction on it
Loan AmountUp to 50 Lakhs
Loan to Value (LTV)Up to 80% of the cost of the project
TenureUp to 20 years

Self-Construction

PurposeConstruction of a house on a plot that you own or plot allotted by Development Authority
Loan AmountUp to 75 Lakhs
Loan to Value (LTV)Up to 80% of construction's value
TenureUp to 20 years

House Extension

PurposeHome extension  
Loan AmountUp to 25 Lakhs
Loan to Value (LTV)Up to 70% of the project's cost
TenureUp to 20 years

Balance Transfer with or without Additional Finance

PurposeTo transfer existing Home Loan with other lender to Shriram Housing Finance
Loan AmountUp to 75 Lakhs
Loan to Value (LTV)Up to 75% of the property's value
TenureUp to 20 years  

Renovation/ Repair

PurposeHome improvement, including tiling or flooring, outdoor and indoor painting or plastering, and so on
Loan AmountUp to 25 Lakhs
Loan to Value (LTV)Up to 70% of the project's cost
TenureUp to 20 years

Pradhan Mantri Awas Yojana 2021

Pradhan Mantri Awas Yojana (PMAY) is a Credit-Linked Subsidy Scheme (CLSS) by the Indian government that aims at providing affordable housing to all.

  • The CLSS scheme is available under the Pradhan Mantri Awas Yojana URBAN Housing for all
  • You can avail loan for purchase, construction, extension and improvement of homes.
  • The interest subsidy is credited upfront to your loan account through Primary Lending Institutions, reducing EMI and effective housing loan.
  • The Net Present Value of the interest subsidy as of now will be calculated at a discount rate of 9%
  • Beneficiary family's Aadhaar number(s) are mandatory for MIG category
  • You can avail the interest subsidy for maximum loan tenure of 20 years
  • Eligibility for these loans is under the discretion of the Government of India solely
  • The scheme details are as follows:
CLSS SchemeEligibility Household IncomeInterest SubsidySubsidy Applicable on Maximum Loan ofWoman Ownership
EWS and LIGUp to  6 Lakhs6.5% 6 LakhsMandatory
MIG 1 6 Lakhs to  12 Lakhs4% 9 LakhsNot Mandatory
MIG 2 12 Lakhs to  18 Lakhs3% 12 LakhsNot Mandatory

Shriram 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.

Shriram Housing FinanceHome Loan Eligibility for Co-Applicant

The co-owners of property for which you are seeking financial assistance can become co-applicants. Although it is not necessary that the co-applicants are co-owners, but the co-applicants should be blood relatives. Usually the loans are co-applied by husband-wife, father-daughter, and mother-son. Max 4 co-applicants can be added.

Factors Affecting Shriram Housing Finance Home Loan Eligibility

Key factors that affect Shriram Housing Finance home loan eligibility are:

  • Age of the applicant: Before sanction the loan terms, such as loan amount tenure, the lender will assess age of the applicant. The maximum tenure for repayment of the home loan issued by SHFHL is 25 years. A younger applicant will get a longer repayment period.
  • Credit Score: Your credit score determines your creditworthiness. With good credit score you become eligible for the best loan terms such as competitive interest rate, concession in charges, higher loan amount, and so on.
  • Income: Your net take-home salary is the quotient that will decide your loan quantum. The lender will assess debt to income ratio before approving the loan.
  • Property value: The loan amount is approved as a percentage to property value. In most cases, your loan to value will vary from 75% to 85%.
  • Employment/ Stability: Furthermore lender will assess reputation of your employer, your industry and continuity of business/job before sanction the loan.

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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Shriram Housing Finance Home Loan Eligibility FAQs

When should you apply for a Home Loan?

At Shriram Housing Finance, you can apply for a Home Loan even before deciding on the property. You will get an in-principle sanction based on your income and your repayment capacity which will give you an idea of the eligible loan amount. With an idea of the available funds by way of a Home Loan and your available sources, you can plan the property and the other expenses associated with the property accordingly.

What is the Home Loan approval procedure in Shriram Housing Finance Ltd?

You can apply for a Home Loan at Shriram Housing Finance Ltd either by visiting the nearby branch and submiting the loan application along the prescribed documents or apply online through MyMoneyMantra. Online process is faster, easier and more affordable.

  • Share accurate details as required in the loan application.
  • Upload the required documents to complete the loan application process.
  • The assessment is done based on the details shared.
  • The credit team of Shriram Housing Finance Limited will evaluate the repayment capacity and appraise the property.
  • The credit underwriting team of the Company will give the credit decision.
  • If the loan is approved, the necessary loan documents have to be executed.
  • The loan will be disbursed as per the agreed terms and conditions.

What are the documents required for signing a Home Loan at Shriram Housing Finance Limited?

The documents required for a Home Loan at Shriram Housing Finance Limited are:

  • KYC documents like Aadhar Card, Pan Card, Voter's ID Card, Driving Licence, Utility Bills, etc.
  • Income documents for salaried individuals like latest salary slips (3 months), Form 16 and ITR for the past 3 years and bank account statement for the last 6 months.
  • Income documents for the self-employed like ITwith income computation for the last 3 years, financial statements like audited balance sheet and profit and loss account for the last 3 years, bank account statement for the last 12 months.
  • Business Vintage proof for the self-employed like the GST Registration Certificate, Certificate of Registration under Shop Act, etc.
  • Property documents

The above documents should be submitted along with the application form for a Home Loan and two passport size photographs.

Who can be the co-applicant for a Home Loan?

Family members, i.e., parents, children or spouse with a stable income and a good score can be co-applicants for a Home Loan.