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A Comprehensive List of Documents Required to Avail a Home Loan

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A home loan’s approval depends on multiple factors, including credit score, monthly income, income status and stability, property status and location, the resale value of the property, etc. To ensure the loan does not become a non-performing asset or NPA, lenders adopt some safety measures before approving the loan.

When you submit the documents required for a home loan, the lender evaluates the documents and determines your home or housing loan eligibility. This article contains a comprehensive list of the documents required for home loan, which can help you minimize the time required to apply for the loan.

Documents Required For Home Loan – For Salaried Employees

Here is a list of documents you need to submit:

  1. Home Loan Application Form – You can download the application form from the lender’s website or collect it from the nearest branch office of the lender. However, if you avail a housing loan from PNB Housing, you do not need to do anything, as the lender offers doorstep service delivery for all borrowers.
  2. Photograph – Latest passport size photograph.
  3. Identification Proof – You can submit PAN Card, Driving License, Voter’s ID Card, Ration Card, Aadhar Card, or any other government identity proof.
  4. Age Proof – Generally, lenders approve housing loans to people who are at least 21 years old and below 65. You can submit documents like PAN Card, Aadhar Card, Birth Certificate, or a certificate from a statutory authority that mentions your birth date.
  5. Residence Proof – Documents like telephone bill, electricity bill, Aadhar Card, Passport, Driving License, etc. function as residence proof.
  6. Educational Qualification – You need to provide a photocopy of the latest degree certificate.
  7. Employment Details – You have to submit 3 months’ salary slips and an appointment letter of your current employer. Generally, you need to be associated with your current employer for more than six months to be eligible to apply for a housing loan. Also, your total work experience should be more than two years on the date of the loan application.
  8. Income Tax Documents – Along with employment details, you need to submit 2 years’ Form-16 and income tax returns.
  9. Bank Account Details – You also need to submit 6 months’ bank statement (preferably salary account)
  10. Cheque – The lender may ask you to submit a cheque containing the processing fee and downpayment amount. The cheque should be drawn in favor of the lender.
  11. Property Papers – You have to submit all documents related to the property,  including builder’s NOC, Sale Deed, Occupancy Certificate (if applicable), tax receipts, Building Plan, etc.
  12. The documents need to be stamped or self-tested by the customer. You can check for more on stamping here- Stempelur

Documents Required For Home Loan – For Salaried Employees

A self-employed professional must submit the following documents, in addition to documents like application form, photograph, age, identity, and residence proof, educational qualification, cheque, and property papers, while applying for a housing loan.

  1. Documents, such as registration certificate, the license of professional practice, etc., which prove that the business has been in existence for at least three years.
  2. 3 years’ Income Tax Returns
  3. Profit & Loss Statement and Balance Sheet (certified by a Chartered Accountant)
  4. 12 months’ bank account statement (both self and business)

Conclusion

By keeping the documents required for a home loan ready, you are taking the right step toward housing loan approval. It is advisable that you verify the list with the lender of your choice before submitting it online or offline.

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