pnb housing
May 2nd, 2022

How Much Time Will It Take For A Home Loan To Get Approved?

How Much Time Will It Take For A Home Loan To Get Approved?

When we talk about some of the biggest and most important financial commitments of life, then purchasing a home is often always at the top of the list. The majority of people avail the facility of a home loan to fulfil this life-long dream. However, getting a home loan is not a one-day process. It involves a lot of steps, right from sending a home loan application to assessment to disbursal. One misstep can make the process even longer.

While many lenders do provide pre-approved home loans, home loan approval time depends on the selected mode of application: digital and traditional. Compared to traditional paper-based applications, digital application processes take less time as these are automated and require minimal manual intervention.            

However, there are multiple factors involved. In this blog, we will take a look at how much time it takes for a home loan to get approved and what are the various factors that affect it.

Must Read: How Much Minimum Down Payment is Required for Home Loan?

Home Loan Approval Time

So, what is the time taken for home loan approval on average?

The answer depends from one application to another. Typically, for salaried professionals, it takes about 4-5 business days. In contrast, for self-employed individuals, the process may take up to 7-10 business days.      

Here are a few other pointers that would help you understand the nuances of why it takes time to get a home loan approved:

  • Home loan approval delays are common. They could happen for many reasons, such as misplacing documents, missing information, issues with the property under question, or poor eligibility of the applicant, due to a low CIBIL score.
  • The lender cannot proceed without completing its due diligence and verifying everything submitted by the applicant.
  • As mentioned earlier, issues with the property could be a reason for the delay. This is mostly due to faulty credentials such as a lack of approval for the builder to sell it or the absence of a clear title.
  • Other delays could be due to not being able to produce valid income tax returns during document submission. This is especially important for self-employed applicants.
  • One way you can help speed up the process is by learning what documents are required. You can contact the relationship officer and customer care, and check the lender’s website to assess the prerequisites.                

All in all, the entire home loan approval timeline takes into consideration the various stages of a home loan approval process:

  1. First, an applicant submits a duly filled loan application form, along with documents required for home loan assessment.
  2. Along with the application, one also has to pay a home loan processing fee.
  3. Next, the bank officials perform a thorough verification of the submitted documents.
  4. The home loan terms and conditions are put into the discussion as well.
  5. Once everything is verified, the lender issues the home loan approval letter.
  6. The lender then performs property, legal, and technical verification. 
  7. With all conditions met satisfactorily, the applicants sign the Loan Agreement.
  8. Finally, the lender disburses the home loan.

Note that the process might and the overall home loan approval timeline may vary from lender to lender. Naturally, if your home loan eligibility is strong and all the documents are complete, then the time taken for home loan approval will be quick and hassle-free. However, if there are issues with your eligibility or the documents are not up-to-date or missing, then the timeline for approval will stretch further. Hence, it is always prudent to check one’s eligibility using the home loan eligibility calculator tool online.

Must Read: What is The Good CIBIL Score for Home Loan?


Thanks to internet banking facilities, the entire home loan approval process has become faster and more efficient in general. If you are an existing member of a financial constitution, getting a home loan approval from that lender would be quicker as they already have a lot of your KYC documents with them. Additionally, it is always better for applicants to understand the entire home loan process before applying for a loan so that they can minimise delays, keep everything on hand and speed up their home loan approval.

At PNB Housing, we specialise in offering quick home loan approval and disbursal with state-of-the-art approval processes and hassle-free doorstep service. 

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