Most banks do not accept GPA (General Power of Attorney) properties for home loans because GPA does not legally transfer ownership of the property. A GPA simply authorises another person to act on behalf of the property owner, but the legal title remains with the original owner. With legal checks, some NBFCs and private lenders might take them into consideration.
Which Banks Accept GPA Property for House Loans?
Because of lack of clear ownership, banks consider GPA properties risky collateral and usually reject home loan applications based only on a GPA document.
Large public and private banks such as State Bank of India, HDFC Bank, ICICI Bank, Axis Bank, and Bank of Baroda typically require a registered sale deed and clear title documents before approving a home loan.
If the property ownership is based solely on GPA without proper registration, these banks usually decline the loan because the lender cannot legally enforce the property as collateral if the borrower defaults.
In some situations, lenders may still consider financing if the GPA property is supported by additional legal documents, such as a registered agreement to sell, development agreement, or builder documentation.
For example, when NRIs purchase property in India, they often appoint a representative through a Power of Attorney to sign documents or manage loan formalities. In such cases, banks may process the home loan application, but the property itself must still have a legally valid ownership structure.
If the property is strictly a GPA-only property, borrowers usually need to approach NBFCs or private finance companies, which sometimes offer loans against GPA properties with stricter conditions.
Institutions such as Bajaj Finserv, LIC Housing Finance, and certain local cooperative banks or NBFC lenders may consider such cases, but they often charge higher interest rates and offer lower loan-to-value ratios due to the legal risk involved.
This is all about which banks accept GPA property for home loans.
Get Fast Approval and Quick Disbursement of Home Loan on GPA Property via NoBroker Home Loan Service.Your Feedback Matters! How was this Answer?
Shifting, House?
✔
Lowest Price Quote✔
Safe Relocation✔
Professional Labour✔
Timely Pickup & Delivery
Intercity Shifting-Upto 25% Off
Check Prices
Intracity Shifting-Upto 25% Off
Check Prices
City Tempo-Upto 50% Off
Book Now
Which Banks Accept GPA Property for Home Loans?
anubhav
35 Views
1
20 days
2026-03-21T09:30:54+00:00 2026-03-21T09:30:56+00:00Comment
Share