Can senior citizens get home loans?


The senior citizens are the ones who have crossed the age of 60 years. So the senior citizens are the ones who usually tend to retire from their jobs after attaining the age of 60 years. And the new beginning of life begins post 60. Most organizations have a retirement age of 60 years; however, it may vary as somewhere 58 or even 62 or 65 years. In the case of the government employees, pension begins to the senior citizens who are like a retirement bonus been obtained by the people for working for a long time. To be eligible for the pension, the individual should serve for at least 20 years in a government job to get a lifelong pension. Senior citizens are eligible for pension only in case if they have a source of income. The pension can be one of the sources of income, or else if the individual is self-employed and due to that there are no retirement ages, then, in that case, the loans can be sanctioned. The maximum tenure for which the loans can be sanctioned is up to 75 years of age. The individuals who are private company employees and thus do not have a pension are not eligible for home loans after 60 years.


Self-employed people are fortunate enough to avail of a loan from a bank as they have consistent income even after becoming senior citizens. The self-employed category of individuals includes the ones who are professionals like doctors, architects, or practicing charted accountants. At the same time, the unprofessional self-employed are like shopkeepers, restaurant owners, chemists, construction contractors. etc. The individuals who seek loans should have a profitable business while obtaining loans. The individuals should submit the records of the transactions of business and should be able to provide profit and loss statements to the bank before applying for the loans. The pensioners should submit the pension proof and the record of the amount being credited into the bank account, based on which the loans can be sanctioned to the applicant. The applicant can get loans according to the pension the individual draws. The higher the pension higher is the loans approved to the applicant. The tenure for the pensioner can be until the age of 75 years, for which home loans can be approved.

Conditions for the approval of home loans

  • Income should be running post-retirement:

Home loans can be granted to the people who are either professionally or unprofessionally self-employed or the ones who are pensioners. The loans can be granted for the duration until the individual attains the age of 75 years. Also, the pensioners who draw a considerable amount of pension can avail loans from the banks. In case of no income, the bank does not approve the loans of the applicant.

  • Joint loans can be taken with the younger applicant:

If one of the borrowers is a senior citizen and the other is amongst the younger ones, and the one who has active income running can avail loans from the bank as a joint co-owner of the property. The joint co-owner can contribute from their past savings and avail loans with the joint owner.

  • Considerable income should be there to avail loans:

Some pensioners draw a meager pension while others draw a higher amount of the pension. The pension of the individual depends upon the seniority of the position at which the individual has retired. Thus accordingly, a pension is granted to an individual. Thus the ones who draw meager pensions cannot avail of loans. The ones who draw a high amount of pension can only avail loans of the borrower.

  • Fitness of the applicant:

The applicant should be fit and fine while applying for the loans. The bank may ask for the physical fitness test of the applicant in the case of a senior citizen and can only approve the loans in case the person is found to be physically fit, failing which the bank may reject the loans of an individual.

  • Guarantor for the loans:

Having a guarantor for the loans is better as the chances of getting the loans approved increases in spite of being a senior citizen. The borrower can keep their son or a daughter or in-laws as guarantors for the loans if the borrower’s sudden death happens.

The pensioners amongst the government jobs or the self-employed ones can avail loans even after the age of 60 years. The tenure can be extended for loans until the applicant turns the age of 65 years. Also, joint loans can be availed with the family members who are amongst the younger generations, this can give a surety of the loans getting approved.