The real estate market in India is predicted to exceed $1 trillion by 2030, and along with it. Demand for mortgage loans has increased dramatically. More people have also applied for house loans as a result of the recent changes to the repo home loan rate.
Recently, the use of the digital process has greatly streamlined the process for applying for a home loan. However, in order to finish a house loan quickly, you must still submit the necessary paperwork.
Documents needed for a mortgage
The following items are on the list of loan documentation:
- Property records: an allotment letter, a sales deed, an occupancy certification, a property agreement, and a property tax receipt
- Documents required for KYC: Aadhar, PAN, voter ID card, driving permit Passport
- Address verification: Utility bills or any KYC paperwork
- Form 16 income tax returns are acceptable as proof of income for salaried people. For those who are self-employed: Balance sheet, profit and loss statement, trade license, PAN, GST registration certificate, etc.
- Statement of a bank account: For those who are salaried, the previous 3 months, and for those who are self-employed, the prior six months
These documents can be scanned and uploaded for submission online. If not, you can always give them to employees of the company.
The documentation needed for a house loan is not sufficient when qualifying for these credits. To properly access this financial product, one must also fulfill the necessary qualifying conditions.
The criteria for home loans
The criteria for house loans depend on the type of income a person makes. For example –
Eligibility for those who are salaried
- Age range: 23 to 62
- Score: 750 or above
- Work experience of at least three years is necessary.
- Monthly income: Varies with lenders and is dictated by the city of residency.
Self-employed people’s eligibility
- Age: 25-70
- Minimum of five years of continuous employment
- 750+ on the credit score
- Monthly income: Must be adequate to fulfill a financial institution’s requirements.
Additionally, you can determine whether you qualify for a loan by using a home loan eligibility calculator. It entails using a variety of criteria, including monthly income, expected loan term, extra income, and current EMIs, to evaluate one’s eligibility.
When you meet requirements, the loan amount you are qualified for is automatically displayed. You can then apply for a home loan in line with this procedure. To learn more about this financial tool before that, you can read the RBI guidelines for home loans.
How can I apply for a mortgage?
There are two ways to apply for a house loan: online and offline. Details are as follows:
The steps listed below can be used to make an application online.
- Visit the financial institution’s official website.
- Access the application for a loan.
- Add all the pertinent personal details.
- Choose loan sum.
- correct property data.
- Pay the processing fees online.
- the necessary paperwork online.
The lender will get in touch with you for additional processing and verification after a successful application.
If not, you can finish this application by contacting a home loan provider or going to a branch in your area.
However, if you choose a lender that extends pre-approved offers, you can skip this step. It expedites and saves time during the application process. Financial items like home loans and loans secured by property are covered by this offer. By providing your required contact details, you can check your pre-approved offer.
To finish this process, it is crucial to submit the paperwork needed for a mortgage. As a result, before requesting a land acquisition loan, you can prepare a list of them and order them correctly.