The ultimate guide to the Home Loan Documents Checklist

Purchasing a home has now become easy with the home loan. But like any other loan application process, you will be required to submit a certain set of documents for a home loan.This is an important process you would need to consider, as the document verification plays a crucial influence in the approval of the loan application. Here are the documents required for home loan that you need to be aware of:

Identity proof: These are the documents that identify your public profile. They include:

•Driver’ licence, Voter’s ID, Passport, PAN card, Aadhaar card (These documents for home loan can also be used as address proof and age proof)
•NREGA Card
Address proof: These documents indicate your residence which is normally recorded in the database of most lenders. This is applicable for both old and new properties.
•Utility bill: telephone, electricity, water, gas, mobile bills which are not less than 2 months old.
•Verification letter from any recognised government authority
•Bank statements, pass book, pension payment orders that contain ahome address.

Age proof: Since the age of the applicant determines the retirement age, it is important that lenders keep track of the applicant’s age through the documents required for home loan.

•Birth certificate
•10th standard mark sheet

Income proof: Proof of income ensures that you can afford the loan amount in the first place and the consequent repayments. The income proof will vary with salaried individuals and self – employed individuals. They include:

•Self-employed/businessmen:

oDetails of the business owned
oDetailed balance sheet
oIncome statements of profit and loss along
oProof of income tax returns for the last 3 years certified by a CA.
oReceipts of advance tax payments
oProof of Registration Certificate of establishment under Shops and Establishments Act/Factories Act
oCertificate of Practice for professionals
oProof of investments

Salaries individuals:

oForm 16
oAppointment, increment or promotion letters
oPayslips of the last 3 months
oSalary account bank statements
oIT returns of the last three years
oInvestment proof
List of property documents required for home loan: Lenders may or may not request for these documents. However, it is best to be aware of these documents and ensure that proper steps are taken to possess them.

•Sale deed
•Joint development agreement
•General power of attorney
•Sanctioned building plans
•NOC from Government Departments
•Supplementary Agreement/Ratification Deed
•Allotment Letter from the respective builder,co-operative society or housing board
•Sale Agreement between Builder & First Owner
•Construction Agreement between the Builder & First Owner
•Copy of Possession Letter from the Builder
•Payment Receipts (Builder)
•Previous or Current Loans on Property
•Sale Agreement with the Seller
•Latest Tax Paid Receipt
•Encumbrance Certificate
•Demand Letter from the vendor before disbursement
•NOC from the Society/Building Association
•No-due Certificate from the Building Association
•Approved Plan of Construction
•Conversion order
•Layout approval plan sanction
•Auction Sale Confirmation Letter
•Release Deed
•Completion Certificate
•Loan/Charge/Mortgage by Builder

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