Arjit Chalmela
Arjit Chalmela
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Understanding the Home Loan documentation and verification process

Home is your safe place. It is a place you long for after a tiring day at work. It holds your lifetime of memories. Besides its immense emotional significance, a home assures financial security during uncertain times. You know your loved ones will have shelter and feel protected. Home is certainly the most special and valuable investment you will make in your life.

An ideal way to finance your house purchase is when you decide to apply for Home Loan. You can apply with any leading bank, non-banking financial company, and Housing Finance Companies, and possibly online or offline. The former method is preferable as it is quicker and simpler. Documentation and verification are cornerstones of seamless Loan approval, and this article offers more details.

Home Loan documentation

You need to submit some documents to prove your identity and Home Loan eligibility for approval. The document requirement differs between banks. Reach out to your bank and enquire about their requirement. Following is a generic list of Home Loan documents required:

  • Filled and duly signed application form.
  • Identity and address proofs: PAN card, Aadhaar, Voter’s ID, and driving license
  • Income proofs: Income Tax Return, salary slips, and Bank Account statements

Property documents

  • A copy of the sale agreement
  • Allotment letter/ buyer agreement
  • Title deed
  • Chain of ownership in case of a resale property
  • Receipts of initial payment made towards the buying the house

Ensure you have all documents handy and check for their accuracy before submitting them to the bank. When your Home Loan documents are in order and clear, you make a strong case for the bank, improving the chances of Loan approval.

Home Loan verification

Home Loans are generally availed for a significant amount and a long tenure. Hence, banks need to be sure about your credibility as a borrower. Given this, they have a strict verification process. There are two parts of Home Loan verification: legal and technical. During the legal verification, your personal and property documents are checked. The bank may ask you to submit additional documents if required.

Bank officials may also visit your residence and workplace for verification purpose. Technical verification involves checking the property you plan to buy. The bank enquires about the residential project’s plan and its progress so far. They also determine the value the property will gain in the years to come. Once the documentation and verification process is complete, the bank offers a sanction letter.

You can track your Home Loan request online or by contacting the bank’s representative.

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