3. Existing Loans

The presence of already existing loans can act as a road-bump in your home loan application. This is so because such a presence indirectly indicates that your repayment capacity will get lowered as you have to pay other loan installments as well. People going for home loans should try and clear those loans which are smaller in volume prior to getting a home loan. A few such areas can include – vehicle or credit card loans. This will increase the chances of your application getting sanctioned. Still, if you have a good credit history, this can act as an added factor while getting home loans.