If you plan to apply for a home loan, you should first research the home loan eligibility, compare lenders and all the documents required for home loan. It ensures you are prepared to go into the process. Doing this months before your application helps you understand the various terms involved and plan accordingly.
If you have any doubts regarding the documents required for home loan, you will find the precise needs of various lenders on their websites. This is the best way to go about when you have your loan provider shortlisted. However, if you want a general idea and are confused about the process, the following FAQs should help:
What is the procedure for the home loan application?
The application process is simple and easy, where you visit your selected lender's website and enter your details in the application form. The next step is to attach the supporting documentation. After submitting this, the lender verifies your eligibility and takes the process forward on approval.
What are the standard documents for a home loan?
The typical home loan required documents involve your identity proof, age proof, address proof, income statements, property papers, etc. You also need to submit additional paperwork depending on the loan provider needs and your eligibility. You also need to furnish other documentation when you belong to a specific category like Non-Resident Indian.
What should I check before applying for a home loan?
You should check for the eligibility criteria, application formalities, etc. if you want to apply directly to a shortlisted lender. If you are still researching, you should look for the best offers on the home loan interest rates, instalments, and the tenure provided by various loan providers.
What formalities does my home loan guarantor need to complete?
As someone vouching for your credibility, the guarantor must submit home loan documents required such as his/her income statement, including salary slips, provident fund details, bank statements, etc. This is to ensure the repayment capacity if you fail to repay the loan amount.
What are the income statements that I need for a home loan?
The income documents differ for the salaried and the self-employed. If you belong to the former employment type, you submit your payslips, appointment letter, form 16, employment ID card, etc. In the latter, you need to furnish your profit and loss statements, income tax assessment certificate for the past three years, current account statements, etc.
Which documents are required for an NRI home loan?
As a Non-Resident Indian, you have several additional required documents for home loan other than the identity and age verification. These include your passport, visa copy, foreign residence proof, work permit certificate, local contact details, Non-Resident External (NRE) savings account statement, etc.