What is the maximum age for home loan?
Home loans are a long-term financial commitment and therefore require careful consideration before making a decision. Before applying for a home loan, it is essential to evaluate your repayment capacity and determine the loan amount you can comfortably repay.
What is the maximum age limit for a home loan?
The eligibility criteria for availing a home loan in India varies from lender to lender. However, some of the common criteria include age, income, credit score, employment history, and the value of the property.
A salaried applicant must be between 23 years to 67 years* and a self-employed professional must be between 23 years to 70 years*.
*The upper age limit is considered as the age at the time of loan maturity.
Advantages of taking a housing loan
- Tax benefits: One of the biggest advantages of a Housing Loan is the tax relief it offers. Borrowers can claim deductions on both the principal amount repaid and the interest paid, helping reduce their overall tax liability each year.
- Improved credit profile: Making timely EMI payments shows financial discipline. Over time, this positively impacts your credit score, which can make it easier to get future loans or credit cards on better terms.
- Better use of savings: With steady income and accumulated savings, borrowers are often able to make a higher down payment. This reduces the loan amount required and lowers long-term repayment pressure.
- Reduced interest burden: A higher upfront contribution can help you secure a lower interest rate, cutting down the total cost of borrowing across the loan tenure.
- Long-term stability: A settled career and personal life provide clarity about housing needs. This makes it easier to plan property ownership in line with future goals, including retirement.
As the age of 60-65 coincides with retirement for most people, lenders treat this as the maximum age limit for home loans in India. Age determines the borrower’s capacity to earn and so, younger applicants can get a long repayment window, whereas older applicants may have to settle for a limited home loan tenure.
Apart from the maximum age, home loan eligibility criteria also include the minimum age for valid applications.
In addition to the age factor, the CIBIL score and your income are equally important parameters while applying for a home loan.
Additional read: How to calculate home loan eligibility?
Conclusion
Choosing the right home loan requires a clear understanding of loan terms, repayment capacity, and long-term financial commitments. Evaluating affordability at the outset helps avoid stress later and ensures smoother repayments. Home loans from Bajaj Finserv are available for amounts up to Rs. 15 Crore* and cater to a wide range of financial needs. They come with competitive interest rates, flexible and extended repayment tenures, and the option to choose between fixed and floating interest rates. Individual borrowers opting for floating rates also benefit from zero prepayment and foreclosure charges, making repayment more convenient.
Additional read: How to calculate home loan eligibility?
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Frequently asked questions
Yes. In India, even a senior citizen can apply for a home loan at the age of 65. As per the home loan eligibility criteria of various financial institutions, the maximum age limit is 70 years. However, you must not be older than 70 by the time the home loan matures. You may have to pay higher EMIs, as the repayment period will be five years or less.
Yes. You can apply for a home loan at the age of 50. However, it is important to remember that the loan tenure decreases with an increase in the age of the applicant. If you are applying for a home loan at the age of 50, you will have 10-20 years (depending on the lender’s policies) to repay the loan.
Yes, a 55-year-old person can get a home loan subject to fulfilling various eligibility criteria. Age is one of the factors that determine the loan eligibility, but it is not the only determining factor. Lenders will consider other factors such as income, credit score, repayment capacity, property value, and other financial obligations before approving a home loan.
Yes a retired person can get a home loan, however the loan term will be short depending on the age of the applicant.
