Documents Needed for Different Home Loan Criteria

For an aspiring house owner, securing a loan is vital to fund the expenditure of purchasing a dream house. However, since a home loan is a huge amount, its approval involves rigorous inspection to prevent loan default in the future.

While getting a home loan, an applicant must provide valid and authentic documents to avoid rejection from the financier. Further, an application rejection can hamper the credit rating, making it difficult to get a loan later on.

Therefore, it is essential to know about the home loan documents that an applicant will require while opting for a loan.

Documents required for self-employed and salaried applicants

The documents needed to opt for home loans are somewhat similar across various financial institutions. An individual must furnish the loan application form correctly and provide the following documents along with it:

Proof of residence (any one)

LIC policy receipt
Utility bills
Passport
Ration card
Voter’s ID
Bank Passbook
A public authority’s letter for customer address verification

Age proof (any one)

Driving license
Bank passbook
Marksheet of class 10
Birth certificate
Passport
PAN card
Aadhaar card

Identity proof (any one)

Driving license

Voter’s ID card

Aadhaar card

Passport
PAN card

Income proof

For self-employed

Business address proof
Registration certificate for factories, shops or other establishments
Business license details
A company’s P & L account statement and balance sheet (with a CA’s attestation)
ITR for the previous three years

For salaried

ITR for the last three years
Promotion or increment letter
Payslips of the previous two months
An employer’s certified letter
Form 16

Besides income proof, salaried applicants require submitting their passport-sized photographs and investment proofs such as shares and fixed deposits to get an online home loan promptly. Go through the vital reasons why financiers can reject a housing loan application for a better idea.

Property documents required for a home loan

Applicants need to submit the following property-related home loan documents:

No encumbrances proof on a property
A photocopy of plans that the local authorities have approved
Plot’s title deeds (for house construction)
Complete estimation of house construction from a civil engineer or an architect
Proof of initial payment for the house
Sale agreement’s copy (in case already executed)
Proof of payments towards the developer (for a new house)
Title deeds inclusive of the previous property details (for house resale)
Buyer agreement/ allotment letter

Before applying for a home loan, an applicant must use a hassle-free home loan EMI calculator to estimate the total loan cost accurately. Further, they need to inquire into the terms and conditions of a home loan.

Eligibility requirements for a home loan

Following are the basic home loan eligibility terms in India:

Nationality: Indian

Age: 23 years to 70 years (approximately)
Employment status: Work experience of 3 years (minimum) for salaried individuals and business continuity of 5 years (minimum) for self-employed individuals
CIBIL score: 750 or above
Minimum income: Based on the city

Now that you know about the home loan documents and the eligibility terms, apply for an instant home loan at attractive interest rates.

Procedure to apply for a home loan online

Follow the steps below to avail a home loan:

Visit the official portal of the financier.
In the online application form, furnish the employment, personal and financial details.
Opt for the suitable loan amount.
Provide property-based documentation.
Pay a fee online to book the home loan offer with the financier.
Upload the relevant documents for verification.

Finally, click the ‘Submit’ button for a successful loan application. Many financiers facilitate pre-approved offers, making loan processing quicker and easier. Such offers are available on home loans and loans against property. Just enter your name and phone number to check the pre-approved loan offer instantly.

Hence, accessing a home loan is easy nowadays with minimal documentation and simple eligibility terms. Furthermore, a home loan for an under-construction property doesn’t require property registration documents.

Although availing a home loan with no documents isn’t feasible, one will get enough time to provide the relevant documents before disbursal. Keep your home loan documents (such as bank statements, salary slips, employee ID and KYC) handy while applying for an online loan.