A home loan is provided to the borrowers for the specific purpose of building a home. It is every person's dream to build their own house. To assist in making this the reality several banks and the financial institution offers loan against the property.
Many sets of restrictions and regulations are eased to meet the demand of the borrowers. Everyone can't build a house with the current cash in hand. To follow the trend in the financial market, many people are applying credit for building their homes. You need to submit the prerequisite documents to prove that you are worthy and eligible for loans.
Why are documents necessary for availing credit?
You must submit the prerequisite documents to avail of a home loan. The lender has to make sure that they provide credit to an individual who is not a potential defaulter. Defaulters in home loans are the main reason why lenders are becoming more hesitant in giving out credit.
Submitting the documents is not just for formality; it is a mandatory need to check your creditworthiness. The bank has first to confirm your identity, for which you would need to submit any approved national I.D. card. Next, they would check your stability in income and so on. All this is done to ensure that you are capable of paying monthly interest and EMI.
Given sets of documents that have to be provided to avail bank transfer in home loan
Note that you have to submit the passport size photos and any prerequisite documents from every set of categories mentioned below.
● Proof Of Your Identity
Besides PAN cards, they may ask for any of the following – Aadhar card, voter I.D., driving license, or passport.
● Proof Of Your Age
Aadhar card, PAN card, passport, birth certificate, 10th mark sheet, and bank passbook. You can submit any of the mentioned documents to verify your age.
● Proof Of Your Residence
You have to give proof of your current address. You can submit any of the following – Bank passbook, Voter's I.D., Ration card, utility bill, insurance policy receipt, or a letter from a recognized public authority verifying the customer's address.
● Income documents for borrowers who are employed
Form 16, certified letter from the employer, payslip of the last two months, It returns of the past few years. And investment proof, if any.
● Income documents for the self-employed
borrowers
I.T. returns of the past few years, balance sheet duly attested by a C.A., business license details, license of professional practice, Registered certificate of your business, and address proof of your business.
● All the property-related documents
Make sure you have all the documents related to the property you want to avail of the loan. The documents must be in order.
Conclusion
The process of applying for a home loan in Delhi is simple. You need to make sure that you have submitted the right set of documents. It usually takes a maximum of four weeks to receive the total amount in your bank account.
