One of the common doubts related to bank loans is "how can a self employed person get a home loan?. An Employee may get the loan easily by showing his salary slips to the bank. But in the case of self employed or small business owner, there are no salary slips to show. This is the major difficulty in obtaining the loan from the bank. In this article, I'll tell you how can a self employed person get a home loan?

how can a self employed person get a home loan?- Loan approval process for small business owner- documents required for home loan

Before lending loan a bank or a company makes sure that a loan taker can repay the loan?. To get approval for the loan a self employed or a small business owner may have to show the following documents to the bank/loan company ..


A Loan lending company or a bank wants to know the present financial condition of business of a self-employed person. So before approving the loan they will see the profit/loss sheet of the business.
They want to know approximate income of yours.

2. GST returns 

For further confidence, Bank may ask GST returns of a Business

3.Income tax returns

Income tax returns are useful to know income & the potential of a business. Bank/lending company  may ask your income tax returns of previous year.

In addition to above, A Self employed person should submit identity proof, address proof of the business, utility bills and bank statement.

Are you already in debts???  

If you are already in debts, Bank may lend lesser amount. They may divide your income and EMI amounts you are paying.


Most of the banks or lending companies approve the loan with 20 year tenure.