Depending on the group of clients (salaried/professional/businessman/NRI) they belong to, an applicant must present a variety of documents that verify their KYC, the antecedents of the property they seek to acquire, their income background, etc. in order to secure a house loan. The paperwork needed to apply for a house loan in India are listed below:
15 Documents that all citizens will require:
- Loan application form.
- Property detailed documents
- 3 photographs passport sized.
- Identify proof
- Residence proof
- Bank Account Statement/Passbook for the last 6 months.
- Liabilities statement and Personal Assets.
- Signature verification by bankers of the applicant.
- Salary Certificate (original) from the employer. (Salaried individuals)
- Form 16/IT Returns for the past 2 financial years. (Salaried individuals)
- IT Returns/Assessment Orders copies of the last 3 years. (Self–employed professionals)
- Challans as proof of Advance Income Tax payment. (Self–employed professionals)
- Proof of business address for non-salaried individuals. (Self–employed professionals
NRI-Specific Documents:
- Document establishing KYC.
- Latest IT Returns (for applicants filing IT returns in the country).
- Copy of Passport showing the page of residence visa.
- Bank statements copies from overseas of the past 6 months.
- Salary Certificate from employer stating in English the name (as per passport), designation, passport number, date of joining, and latest salary.
- Last 3 to 6 months’ salary slips reflecting variable components like incentives, overtime, etc.
- For Self Employed NRIs, business documents like Trade License, Sponsor Agreement, Power of Attorney, etc.
- Proof of employment by the Government of the residing country like work permit, labour contract, etc.
- Documents related to the Property with cost estimates from an Indian Architect or Engineer.
- For Salaried NRIs, income documents attested by an embassy official are required if there’s no documented evidence for salary credit or fund remittance to India available.
- Last 6 months’ NRO/NRE bank statement.
- If the applicant is unavailable in the country at the time of signing documents, Power of Attorney needs to be produced by the person acting on their behalf.
Documents Required for a Home Loan Application
The following list includes some of the typical documents accepted as KYC:
- Proof of Age : PAN card, Passport, Birth certificate, Driving license, Bank passbook, Marksheet from 10th class (Any 1)
- Photo ID proof : Passport, PAN Card, Driving License, Voter ID (Any 1)
- Proof of residence : Electricity Bill, Ration Card, Telephone Bill, Employment Letter (Any 1)
Documents Required for Loan Guarantor
- Identify proof.
- Residence proof.
- Liabilities Statement and Personal Assets.
- 2 photographs passport sized.
- Proof of business address.
- Signature identification from present bankers.
Property Documents Required for Home Loan
- Approved building plan (showing floor plan for flat purchase).
- Original No Objection Certificate issued under the ULC Act, 1976.
- Deed of Sale or Sale Agreement or Share Certificate (original) in case of a cooperative society.
- Copy of relative order if agricultural land is being converted.
- No objection certificate (NOC) from Builder/Housing Society.
- Receipts for taxes paid for Building and Land, certificate of possession, and a certified sketch of the location of the property from revenue authorities.
- Allotment Letter from Society/Housing Board/Private builder.
- Receipts of advance payments for the flat purchase.
- Certificate of Non-encumbrance encompassing the last 12 years/30 years.
- Receipt of land tax payment and certificate of possession issued by revenue authorities.
- Permission letter from Appropriate Authority.
- Detailed estimate of construction cost.
- Letter from Society/Builder/Housing Board mentioning their bank and account details, for instalment remittance.
- Applicable for purchase of land plot, a declaration by loan borrower stipulating the date by which to construct a house.
- Report from a lawyer as per standard format.
- Report stating the valuation of property in a standard format by an empanelled valuer.
- Post closure of loan, documents required for the handover of original Property documents.
- Power Of Attorney for collecting original documents of Property.
- In event of the demise of the loan borrower:
- Letter requesting handing over of Property documents from Legal Heir/Nominee(s).
- Letter relinquishing the right to Legal Heirs/Nominees for Property documents handover.