What Is the APF Number of a Real Estate Property? Know What It Is and Why It Matters

January 25, 2024
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APF Number: Breaking Down the Real Estate Jargon

With the APF full form being ‘Approved Project Financial’, APF number is a unique numerical code that is assigned to a developer’s property by a licensed lender, housing finance corporation (HFC), or a bank it is associated with. Any infrastructural or real estate development must come under the scope of these funding institutions, or they must offer housing loans. For example, be it our own residential property L&T Veridian at Emerald Isle, or any other property developed by us or by even another builder, all housing projects must have APF numbers assigned to them by one or more lenders.

Why the APF Approval Matters

Whether you’re a prospective homebuyer or just a curious reader, you are probably wondering what is APF in real estate contexts. When a housing project is affiliated with an APF number, it indicates the lender’s confidence in the particular undertaking. Besides, it is also a sign that important official documentation of the project has been approved. Therefore, no residential project can receive its distinct APF number without acquiring the faith of the financiers. Banks are allowed to verify this at any point thereafter too. Funding institutions confirm a project’s legality through intense scrutiny, and only then grant it the necessary KYC (Know Your Customer) approvals. With an APF number, the home loan application process becomes much more streamlined, which protects borrowers from the hassle of time-consuming paperwork.

Understanding How an APF Number Is Generated

Submission of Documentation

Builders must produce all relevant documents to the lender, to show them that their housing project has the requisite approval and permits. These papers encompass NOCs, government clearances, approved plans, sale deeds, title deeds, and leasehold/freehold paperwork. Moreover, developers have to present documentation of approvals obtained from the fire, forest, pollution, and electric departments.


Following the submission of documents to the lender, the proposed project as well as the documents submitted will be thoroughly examined and scrutinised to ensure that they meet all legal and financial codes, as well as any required construction and environmental guidelines.

Approval Process

Once the lender or other relevant authority has completed its examination of the documents that have been provided, and is satisfied with the proposal, the project is then granted an approval. This approval process entails the institution allocating a unique APF number to the project, which serves as an essential certification.

What purpose does the APF number serve?4
It is an authentication symbol that is indicative of timely delivery of apartments as per schedule. The APF number also reaffirms the developer’s reputation and credibility, ensures that their project was meticulously inspected, and that the loan repayment is secure.

What is the Eligibility Criteria for Becoming APF Approved Projects?

  • Most of the banks consider builders with at least a 5 year presence in the real estate industry, as well as a track record of timely project delivery. Alternatively, they should have minimum 3 projects certified by the ISO, or they should be a member of the Chamber of Housing department in any state or union territory of India.
  • The building quality is also a major factor that goes into consideration.
  • The housing project must also have the approval of a few other reputed banks or institutions.
  • The square footage of under-construction real estate projects must be specified.
  • Builders featured on the Reserve Bank of India’s ‘negative list’ are not considered by banks.

Post-examination, the builder and the HFC or the bank sign the agreement. These authorities also demand provision of details describing the things to be done after the building period is over. They may have other requirements, based on the builder’s project history.

Tips for Homebuyers

  • You must never forget to request the APF number from the realtor, as it can help you know if their property or project is registered or not, or whether or not it has the approval of a housing finance company or a recognised bank.
  • Verify that the project has all regulatory clearances and that the APF number corresponds with the pertinent authority’s data. Ensuring adherence to legal and financial requirements is the aim of this phase.
  • To make sure that you fully comprehend the legal ramifications of the APF number, consult legal professionals. Obtaining legal advice can shed light on the project’s validity.
  • Examine the developer’s past track record. Reputable developers are more likely to follow legal requirements and give authentic details about the APF number.
  • While doing your due diligence, double-check project documents, including the APF number. Make sure the documentation appropriately reflects all legal and financial standards.

Tips for Developers

  • Maintain a level of openness and financial transparency at all stages of the development process. This involves supplying precise financial data during the submission of the APF application.
  • Strictly respect all relevant building codes, safety rules, and environmental requirements to the letter. In addition to guaranteeing project compliance, this also enhances a developer’s reputation in general.
  • Organise and keep track of the project’s approvals and finances. This promotes confidence and makes the application process for the APF number a lot easier.
  • Inform any prospective purchasers of the value of the APF number. Customer confidence can be greatly increased by providing clear information regarding the regulatory clearance procedure and the significance of the unique APF number.

How Can Homebuyers Find a Project’s APF Number?

Before making an investment in a property, it is imperative for home buyers to verify the APF number of the property in question. But you’re probably wondering how to find the APF number for a project you intend to invest in, but it is actually quite simple. Nowadays, every construction project gets its own dedicated website, which will also provide the property’s APF number. If the developer is working on several different projects, you can visit your website, pick the one that piques your attention, and find the APF number.
While this is a relatively less common occurrence, a lot of banks and home finance businesses also post their authorised projects together with their respective APF numbers on their website.

Importance of Checking APF Number Before Buying a Property

As mentioned earlier, it is vital that homebuyers verify the APF number of a property prior to making a purchase. As an indicator of regulatory approval, the APF number of guarantees that the real estate project has been carefully examined for compliance and financial feasibility. Homebuyers might feel a lot more confident in the project’s stability, openness, and compliance on all legal fronts by checking the APF number.
The APF number might also be considered a just as important factor from the perspective of homebuyers when it comes to home loans. You might be unsure about what is APF in home loan matters. It is worth remembering that when a developer gets an APF number of project, it signifies that the developers of the project have gained the faith of financial institutions, indicating that the property makes for a safe investment. This also indicates that lenders and banks will be more trusting of the property, making them more open to grant homebuyers the required home loan to invest in it.

Hear It From the Pros

  • “A bank generally follows a hassle-free route in the case of home loans for a project that has an APF number. This is because an APF code or number is proof that the project is authorised by the Housing Finance Companies (HFC). Moreover, this also minimises the risk of repayment on the loan.”
    Shivakshi Gogia, CEO, Ascent Group
  • “APF number is another way of checking the accreditation and registration of a particular project from respective authorities. This includes various types of land deeds and title, government departments, and environmental clearance, among other factors.”
    Naveen Goel, Managing Director, Radhey Krishna Group
  • “The APF number denotes the approval of the bank regarding the project, paperwork, proposal, documentation, various clearances, loan sanctions, and others.”
    Satyendra Tomar, Joint Managing Director of Proplarity Group

FAQ’s About APF Number in Real Estate

What if a project does not have an APF Number?

If a project does not have an APF number provided by the developer, it might be an indication that the project has not received adequate relevant approval from the authorities. If you are a homebuyer, it is recommended that you avoid such projects.

What is the relevance of APF in banking?

An APF number is a code that is provided by banks and financial institutions to developers for particular projects. The APF number also becomes a very important factor when one applies for a home loan from a bank, who are more likely to grant if the property in question has an APF Number.

What is the full form of APF?

APF stands for Approved Project Financial.


It’s safe to say that investing in a project with APF numbers is always a sound decision, and it would also be wise to have your suspicions when it comes to projects that do not have their own APF Number. So be it apartments in Mumbai or properties in other cities across the country, as a homebuyer you must always verify the property’s APF number to know that you are making the right choice!