Having a home to call your own is a dream and a lifetime achievement for many. Additionally, it is a matter of great pride also. Creating a space with a custom design that meets your needs and exemplifies taste needs proper planning and resources. A home loan is one of the most suitable and preferred options to consider to fulfil the dream of your own home.
Before you apply for a loan through banks, Non-Banking Finance Companies or any other option, you must prepare yourself. To apply for a home loan and hassle-free approval, the applicant must have all the documents handy.
This post offers a checklist of documents you must have for quick and hassle-free approval of HDFC home loan applications or any other lending institution.
KYC (Know Your Customer) documents are mandatory for all loan applications. It would help if you had these before applying for the loan online or through direct selling agents. In KYC documents, you need to present documents to substantiate your identity. The documents include-
- Proof of Identity like PAN Card, Aadhaar Card, Driving License, Passport, Voter ID Card, etc.
- Proof of Residence like Telephone Bill, Electricity Bills, Bank Passbook or Statement, Employment Letter, etc., with your name and valid address.
- Agre Proof documents like Driving license, PAN Card, Passport, etc.
- Recent passport-size photograph
Income proof is a statement that suggests your monthly income and shows whether you are eligible for the loan. The proof of income documents also tells your financial history to assess the loan eligibility as well as repayment capacity of the person. One must show these documents to get the home loan application processed to the next stage. The documents include –
- Salary statements for the last six months
- Employment letter
- Bank account statement for the last six months
- Form 16 (Part A & B both)
- Income Tax Returns (ITR) for the last three years
- Appointment letter/Employer certificate/Increment letter (whichever is approved and accepted by your lending institution)
These documents are the most valuable as they determine your eligibility for getting the final approval for the loan amount. Also, it is suggested to present accurate data in the documents to avoid rejections.
Banks and other financial institutions thoroughly inspect the property before approving the applicant. Thus, it is imperative to have all the papers ready. If needed, get in touch with the property developer to get all the required documents and attach them to the home loan application. Some useful property documents include
- Agreement for sale with registration
- Commencement certificate
- Registration receipt
- Chain contract of the previous owner
- Sale Deed
- NOC certificate from the developer
The decision to buy a home involves great emotion; as said before, it is a matter of great achievement. Thus, getting all the documents and papers right before you submit them to the lending institution for verification is important. Never provide any misleading information, as it may lead to the rejection of the request.
If you choose a professional and reliable vendor for processing the application, like Apnapaisa Loans and others available in the industry, you will get all sorts of assistance from them. The professionals help you throughout the loan application process and ensure you get final approval.