India has experienced an upsurge in the overall home loan disbursal over the last few years. The estimate increased to Rs. 9.7 trillion in 2017-18 from Rs. 4.6 trillion in 2017-18.
Lenders now offer easier eligibility and documentation requirements are now offered with these loans. Documents submitted by the applicant and verification of the same are among the primary steps to a successful loan disbursal. As such, it is vital for any prospective borrower to know the basic documentation requirements to apply successfully.
There is a list of required documents for a home loan application. These are mentioned below-
Proof of identity
Applicants need to provide an identity proof in the form of KYC documents like Voter Identity card, Aadhaar card, PAN card, driving license, passport, NREGA (National Rural Employment Guarantee Act) Job card, etc.
The applicant also has to submit a few recent passport-sized photographs as photo-identity proof.
Address proof
A Voted ID card, Aadhaar card, passport, driving license, utility bill, etc. qualify as an address proof.
Income proof
Proof of income determines the borrower’s loan repayment capability. Salary slips (of past 3 years) and Form 16 (TDS certificate) are income proof documents.
Proof of business
If the borrower is self-employed, he must produce a document to prove the 5-year existence of his business.
SSI registration certificates, GST certificates, partnership documents count as proof of business.
Bank statement
An applicant has to provide his bank records of last 6 months from the date he is applying for the home loan.
Property papers
The borrower has to provide the following documents to prove authentication of the mortgaged property-
Possession certificate
Building and tax payment receipts
Original copy of the No Objection Certificate (NOC)
Advance pay receipt of the property, if any.
Applying for housing loan is simpler with a smooth submission and verification of documents included in the list of required documents for a home loan.
