Does my employment history affect my eligibility for a home loan?

Yes, your employment history and stability in your career have a direct bearing on home loan eligibility.

Financial institutions prefer salaried applicants who have a minimum of 2-3 years of continuous service with the current employer. Those with frequent job changes may be considered higher-risk applicants.

For self-employed individuals or businessmen, financial institutions look for stability of income and business continuity of 3-5 years at least when assessing loan eligibility.

Applicants with longer tenure, especially in the same profession or line of business are viewed more favourably as it represents a steady income flow to service the long-term home loan.

Additionally, your designation, growth trajectory and income rise over the years also matter. Higher positions assume greater stability and better future income visibility.

While start-ups may lack longevity, higher qualifications and skills also positively impact eligibility