When it comes to buying your dream home, getting the home loan approved is a crucial step. But did you know that even if your CIBIL score is perfect and your income is stable, your loan can still be rejected?
Yes — if your property type or location isn’t eligible, banks and NBFCs might decline your application.
📌 Why Property Eligibility Matters for Home Loans
Lenders don’t just assess you — they also assess the property you’re buying. This includes:
- ✅ Type of property (under construction, resale, self-constructed, etc.)
- ✅ Legal status (clear land titles, proper approvals)
- ✅ Location (some areas or layouts are red-flagged by banks)
- ✅ Builder reputation (especially for under-construction flats)
If your property doesn’t meet the bank’s internal guidelines, your loan might get stuck or even rejected.
🔍 What Types of Properties Are Commonly Rejected?
Banks and NBFCs often avoid funding:
- Properties with disputed ownership
- Homes in gram panchayat layouts or unauthorized colonies
- Buildings lacking occupancy certificates or BBMP/BDA approvals
- Locations with legal encumbrances or ongoing litigation
🛡️ How to Check If Your Property Is Loan-Eligible?
- ✔️ Legal Verification – Check the legal documentation with a lawyer.
- ✔️ Bank Panel Check – Some banks maintain internal lists of blacklisted layouts/areas.
- ✔️ Technical Inspection – Ensure the construction meets approved building norms.
- ✔️ Ask Shivafinz – We offer a free property eligibility check.
💡 Pro Tip: Do This Before You Apply
Before submitting your home loan application, get a pre-check done on your property. This helps you avoid:
- Rejection after processing fees are paid
- CIBIL score drop due to rejections
- Time lost searching for new property options
📞 Get a Free Eligibility Check from Shivafinz
At Shivafinz, we help you:
✅ Validate your property for loan eligibility
✅ Suggest the best banks/NBFCs for your case
✅ Improve your approval chances with the right paperwork
📩 Reach out to us today and make your home loan journey stress-free.