Step-by-Step Guide to Applying for a Home Loan Online with L&T Finance

Owning a home is a major milestone, but for most people, buying a house without financial assistance isn’t easy. A Home Loan can help turn your dream into reality by providing the necessary funds.

Thanks to digital advancements, you no longer need to visit multiple banks and fill out endless paperwork to secure a loan. Applying online is quicker and more convenient, and it lets you check your Home Loan eligibility calculator before proceeding.

If you’re planning to apply for a Home Loan with L&T Finance, this step-by-step guide will simplify the process, ensuring you understand everything from checking eligibility to loan disbursal.

Step 1: Check Your Eligibility

Before applying, you need to assess whether you qualify for a Home Loan. L&T Finance provides an online Home Loan eligibility calculator, allowing you to enter basic details like:

• Monthly income
• Existing loan obligations (if any)
• Property cost
• Loan tenure preference

The calculator gives you an estimate of the maximum loan amount you may be eligible for. This helps set realistic expectations and saves time by avoiding rejections due to ineligibility.

Eligibility Criteria for a Home Loan

Most lenders, including L&T Finance, consider the following:

• Age – Between 23 to 70 years (salaried) and between 25 to 70 years (self-employed).
• Income – A stable monthly income is necessary to ensure repayment ability.
• Credit Score – A score of 750 increases approval chances and can get you better interest rates.
• Employment Type – Salaried individuals, self-employed professionals, and business owners can apply.
• Work Experience – Salaried applicants should have a minimum of 2 years of experience while self employed/non-professionals should have a minimum of 3 years of experience.

If you meet these criteria, you can move forward with the application process.

Step 2: Submit the Required Documents

Submitting correct and complete documents speeds up the approval process. Generally, you’ll need:

• Identity Proof – Aadhaar Card, PAN Card, Passport, or Voter ID
• Address Proof – Aadhaar Card, Utility Bills, or Rental Agreement
• Income Proof – Salary slips (for salaried), IT returns (for self-employed)
• Bank Statements – Last 12 months account statements
• Photographs – Recent passport-size photos

a) List of documents for Salaried individuals

• Salary slips for the last 3 months
• Bank statements for 1 year
• Latest Form 16

b) List of documents for Self Employed: Professionals

• Latest two ITRs (personal and business) with computation of income
• Advance tax challans (if available)
• Latest two years of P&L accounts and balance sheets (with schedules), certified by a CA (both personal and business)
• Bank account statements (current and savings accounts) for the last 1 year
• Qualification Proof of professionals

c) List of documents for Self Employed: Non-Professionals

• Latest 2 years ITRs with computation for individual applicants and co-applicants (if borrower is an individual)
• Bank account statements (current and savings accounts) for the last 1 year
• Latest 2 years of audited/CA-certified profit & loss accounts and balance sheets of the firm/company (if borrower is a firm/company)
• Proof of Business (GST / Shop Establishment/Udayam Aadhar, etc.)
• MOA & AOA & Certificate of Incorporation
• For Partnership Firm-Partnership Deed

L&T Finance’s online application process lets you upload scanned copies of these documents, reducing paperwork and processing time.

Step 3: Provide Property Details

Once you qualify for a Home Loan, submit your property details to get a digitised sanction of your Home Loan. For this purpose, you need to submit the property documents that include sale agreement, property title deed, or allotment letter. 

Step 4: Receive Sanction Letter

Once you submit the property documents, you’ll receive a sanction letter that includes:

• Approved Loan Amount
• Interest Rate (Fixed/Floating)
• Loan Tenure
• Repayment Terms

Step 5: Verification & Credit Assessment

After submission, L&T Finance conducts a verification process to ensure authenticity. This involves:

• Document Verification – Checking KYC documents, income proof, and property details.
• Credit Score Assessment – A high credit score (750 ) improves approval chances and lowers interest rates.
• Employment & Income Check – Salaried individuals’ job stability is reviewed, while self-employed applicants’ business financials are assessed.
• Property Evaluation – The lender verifies the property’s legal status and market value.

If everything checks out, you’ll receive a provisional sanction letter outlining the loan amount, tenure, interest rate, and terms.

Step 6: E-Mandate and Loan Approval

Once verification is completed, you need to complete the eMandate process and secure official approval.

After getting approved for the loan, the final step is loan disbursement. Once disbursed, your EMI repayments will begin as per the agreed schedule.

Conclusion

Applying for a Home Loan with L&T Finance is a hassle-free process when done online. By using the Home Loan eligibility calculator, keeping your documents in order, and understanding the loan terms, you can secure financing for your dream home with ease.

Follow this step-by-step guide to complete the process smoothly and get one step closer to homeownership.