A home loan is one of the best options, to arrange the funds needed for buying a home. Generally, it is easy to avail of a home loan, if the applicant has all the documents in place and has a good credit history. However, banks may still reject a home loan application. Some important reasons for rejection are:

1. A bad credit score: Credit score is a significant deciding factor in sanctioning home loan. Make sure you have a good credit score in place before applying for the loan.
2. Bad credit history, which may include a loan settlement in the past that is reflected in the credit report.
3. The project is not approved by the bank.
4. The home loan application, is made for a project that falls in a restricted area.