Applying for a Home Loan is much easier than it was before some years before. With modern-day finance going online, there has been a surge of online Home Loan financers helping you avail of online loans without issues.
The Importance of the Home Loan Documents
However, since a Housing Loan is a long-term commitment for which one needs to have a continuous and established income source, lenders consider documentation a must.
By asking Home Loan documents from borrowers, lenders want to ensure that the person that they are offering the loan money has the required eligibility for it.
By Home Loan eligibility, lenders confirm if the borrower has the required repayment capacity or not. There are many factors that lenders consider while assessing the eligibility of their borrowers and one of those key factors is Housing Loan documents.
Hence, anyone applying for a Housing Loan needs to prove his/her eligibility and provide some required Home Loan documents that can vouch for his/her credibility to be relied upon for a loan.
Borrowers are expected to have a strong CIBIL Score, clean repayment history, consistent employment record, and some documents to get a loan approval.
Hence, one needs to have proper documents to get a housing loan approval and that’s where its importance is established.
Home Loan documents that you need to submit
Once the lender determines that you have the required Home Loan eligibility by verifying your age, income, CIBIL Score, and more, they need some documents, too.
Here are some standard documents that you need to furnish while you are approaching a Housing Loan application.
- Duly filled or completed Home Loan application form with a recently clicked color photo
- Proofs of identity such as PAN Card, Aadhaar Card, or Driving License
- Address proofs such as Passport, Aadhaar Card, Driving License or Voter ID Card
- Signature Proofs
- Birthdate proof such as 10th Standard passing certificate or marks sheet
- Details of your income such as Salary Slips
- Offer letter or employment letter that could confirm that you are still working
- Business continuity proofs are needed for people needing a Home Loan for self-employed professionals
- Bank account statements of the previous 6 months
- Income Tax Returns (ITR) details if asked by your lenders
One should approach a loan easily as there are tools such as Home Loan EMI and eligibility calculator to help them before availing it.
These online tools help potential borrowers approach their housing loans in advance so that they prepare to arrange for the down payment and EMI that will be payable.
The Bottom Line
Applying for the House Loan needs you to prove multiple things and one of the major aspects are the documents. Now that you are aware of the Home Loan documents, you can start collecting those in advance and apply for the House Loan without hiccups!