{"id":11806,"date":"2023-04-11T12:26:54","date_gmt":"2023-04-11T12:26:54","guid":{"rendered":"https:\/\/www.homebazaar.com\/knowledge\/?p=11806"},"modified":"2024-11-20T09:42:24","modified_gmt":"2024-11-20T09:42:24","slug":"5-ways-for-faster-approval-of-home-construction-loan","status":"publish","type":"post","link":"https:\/\/www.homebazaar.com\/knowledge\/5-ways-for-faster-approval-of-home-construction-loan\/","title":{"rendered":"Home Construction Loan 2025: Get Loan Approval Faster"},"content":{"rendered":"Home Construction Loan Overview<\/b><\/h2>\n
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Home construction loan is a kind of home loan that helps get a loan for constructing a home rather than buying a flat. Over the progress of work, the lender provides you the money in particular stages.<\/span><\/p>\nIf you are dedicated to seeking a home construction loan, you are required to provide a detailed & realistic construction timetable, an estimated construction plan & the expected budget for the construction to the lender.<\/span><\/p>\nOnce the construction loan is got approved, the loan amount will be provided in stages considering the demand of the construction stage. The lender will inspect the construction site to note the work progress.<\/span><\/p>\nTypes Of Home Construction Loan<\/b><\/h2>\n
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The 3 types of home construction loan options available are<\/span><\/b><\/p>\n\n- \n
Self Construction Loan<\/b><\/h3>\n<\/li>\n<\/ul>\n
If you have bought a plot or already have one in your name & you require funds to build a house then you can choose a self-construction loan.<\/span><\/b><\/p>\n\n- \n
Plot + Construction (P+C) Loan<\/b><\/h3>\n<\/li>\n<\/ul>\n
If you have not purchased a plot & require funds to buy a plot & for the construction of a house as well, then a Plot + Construction loan will be the best option for you.<\/span><\/p>\nYou need to know that if you want funds to purchase a plot & not have the plan to build a home then applying for a loan against property or a personal loan is the best option.<\/span><\/b><\/p>\n\n- \n
Home Extention Or Renovation Loan<\/b><\/h3>\n<\/li>\n<\/ul>\n
You can opt for a home extension loan if you want money to construct an extra floor or room to the existing house.<\/span><\/p>\nAnd you can also seek a home renovation loan – if you have a plan for major repair work, repainting your home, etc.<\/span><\/p>\nHome Construction Loan Eligibility Criteria<\/b><\/h2>\n
The following are the home construction loan eligibility criteria for salaried & self-employed individuals.<\/span><\/p>\n\n\n\n| Eligibility Criteria<\/b><\/td>\n | Salaried Individual<\/b><\/td>\n | Self-Employed Individual<\/b><\/td>\n<\/tr>\n\n| Age\u00a0<\/b><\/td>\n | Minimum Age: 18 yrs<\/span><\/p>\n Maximum Age: 65 yrs<\/span><\/td>\n | Minimum Age: 18 yrs<\/span><\/p>\n Maximum Age: 65 yrs<\/span><\/td>\n<\/tr>\n\n| Resident Type<\/b><\/td>\n | Applicant must be:<\/span><\/p>\n\n- Resident Indian<\/span><\/li>\n<\/ul>\n
OR<\/span><\/p>\n\n- Non-Resident Indian<\/span><\/li>\n<\/ul>\n<\/td>\n
Applicant must be:<\/span><\/p>\n\n- Resident Indian<\/span><\/li>\n<\/ul>\n
OR<\/span><\/p>\n\n- Non-Resident Indian<\/span><\/li>\n<\/ul>\n<\/td>\n<\/tr>\n
\n| Employment<\/b><\/td>\n | Individuals should be earning a salary. And he\/she must be working for a minimum of 1 year under the present employer.<\/span><\/td>\n | Individual must be<\/span><\/p>\n\n- Self-employed professional<\/span><\/li>\n<\/ul>\n
OR<\/span><\/p>\n\n- Self-employed Non-professional<\/span><\/li>\n<\/ul>\n<\/td>\n<\/tr>\n
\n| Residence<\/b><\/td>\n | Individual must be\u00a0<\/span><\/p>\n\n- A permanent resident<\/span><\/li>\n<\/ul>\n
OR<\/span><\/p>\n\n- Rented resident. He\/she must have resided for a minimum of 1 year prior to applying for a loan.<\/span><\/li>\n<\/ul>\n<\/td>\n
Individual must be<\/span><\/p>\n\n- A permanent resident<\/span><\/li>\n<\/ul>\n
OR<\/span><\/p>\n\n- Rented resident. He\/she must have resided for a minimum of 12 months prior to applying for a loan.<\/span><\/li>\n<\/ul>\n<\/td>\n<\/tr>\n
\n| Credit Score<\/b><\/td>\n | Good credit report having a score of a minimum of 750 or more gained from a credit bureau.<\/span><\/td>\n | Good credit report having a score of a minimum of 750 or more gained from a credit bureau.<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n Home Construction Loan Documents Required<\/b><\/p>\n Documents required for salaried individuals to apply for home construction loans are mentioned below.<\/span><\/p>\n\n\n\n| Identity Proof (Any One)<\/span><\/td>\n | Residency Proof (Any One)<\/span><\/td>\n | Income Proof<\/span><\/td>\n<\/tr>\n\n\n\n- Voter ID Card<\/span><\/li>\n
- PAN Card<\/span><\/li>\n
- Aadhaar Card<\/span><\/li>\n
- Driving License<\/span><\/li>\n
- Valid Passport<\/span><\/li>\n<\/ul>\n<\/td>\n
\n\n- Aadhar Card<\/span><\/li>\n
- Valid Passport<\/span><\/li>\n
- Utility Bills<\/span><\/li>\n
- Employer ID card<\/span><\/li>\n
- Voter ID Card<\/span><\/li>\n<\/ul>\n<\/td>\n
\n\n- Latest Form 16 & Income Tax Returns<\/span><\/li>\n
- Salary slip of last 3 months<\/span><\/li>\n
- Last 6 months salary credit account statements.<\/span><\/li>\n<\/ul>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n
\n\n\n| Property Documents<\/td>\n | Other Required Documents<\/td>\n<\/tr>\n | \n\n\n- Title Deed of Purchased Plot<\/li>\n
- Encumbrance Certificate<\/li>\n
- Estimation of construction by an architect or civil engineer<\/li>\n
- Local authorities sanctioned plan (photocopy)<\/li>\n<\/ul>\n<\/td>\n
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