Tuesday, 10 July 2012

Documentation for Home Loan India


If the person is planning to own home with home loan, then person should go through this article. This article will guide the customer about the basic documents that each and every bank or financial institution required for deciding the eligibility of the customer for the home loan. The customer should provide the real documents to the bank or financial institution, as fake documents can become the cause of rejection as well as for attract legal action. There are a number of documents the customer has to submit, though according to their work, i.e. salaried person has somewhat different checklist from the self employed person.

Checklist for Salaried Individual
1.  Identity Proof & Age Proof

The person has to provide two photographs with the application form as identity proof. For age proof, the customer can submit passport copy or copy of driving license or copy of pan card.

2. Residence Proof

The person can submit the documents for residential proof are passport copy or voter id card or utility bills or driving license.

3. Employment details

The customer must have total experience of two years. If the person is working from last one year in the current company, then the person has to submit appointment letter of that company. The person can also give photo copy of their identity card.

4. Income Proof

For income proof, the customer has to give the copy of latest last 3-6 month salary slips and Form 16 as proof of
ITR.

5. Bank statement

The customer has to submit last 6-9 month bank statement of their bank account in which the person salary is credited.

Joint Home Loan

If the person is applying for joint home loan, then person should always remember that all the owners of the property must be applicants for the home loan, but the reverse may not hold true. All the applicants have to submit same documents as the individual has given.

Checklist for Self Employed Individual or Professional

There is a slight difference in the documentation of
self employed professional. The documents for identity proof and residence proof are the same documents, but there is the difference in the documentation of income, bank statement and business person has to give business proof.

1. Income Proof

The person has to give last 3 years income tax return and profit and loss account and balance sheet, which is duly signed or attested by the CA certified person.

2. Bank Statement

The person has to submit the last one year banking statement of the account from which the person does the business transactions or the current account.

3. Business Proof

The person’s business must be running from last two or three years for availing the home loan.

Best Provider of Home Loan in India


                                   
Home loan is a long term debt, therefore; the customer has to look on for all aspects that affect the home loan directly or indirectly. This is because; a small carelessness of the person can change the person’s whole life into a nightmare. Therefore, customer should be careful while applying for the loan and should go for it, only after doing the comprehensive study. The person takes home loan, for meeting their short funds for owing a home. The person can take this loan for the purchase of flat or plot or house, for a house or plot construction, for house renovation and house extension.

In the market, there are a number of lenders, who provide
home loan, such as financial institutions, housing finance companies and national or private banks. Some of the popular players for home loan are: HDFC, Axis, SBI, IDBI, LIC Housing Finance Company Ltd, First Blue, PNB, ICICI, DHFL, India Bulls, Reliance Capital and many more. The person should be careful while choosing any lender as there are large numbers of lenders is present in the market. This is because, to mitigate the competition; the lenders provide loan with attractive offers & benefits, to attract more & more customers.

The customer should not go with any lender, just by seeing the attractive offer that they are providing; instead the person should do a detailed study of lenders, before finalizing any lender. The person should go with that lender that suits customer’s requirements and also provide the best deal for the home loan.

The best dealer for the home loan, in India is the one, who provides the home loan at reasonable interest rate, with various lucrative benefits; that are advantageous for the customers. The various benefits that are provided by the banks or financial institutions are flexible mode of payment,
insurance cover, doorstep services, interest options and many more.

The best dealer for the home loan is the person, who provide home loan at reasonable interest rates, longer tenure or term that suits customer monthly budget, maximum loan amount, low or free from processing fee, no prepayment charges, easy guidelines, low EMI amount, flexible mode of payment, varied home loan types, varied interest rate schemes,
home loan insurance cover and free from additional charges.

The person should also remember that the person should also have strong profile to avail the best deal for the home loan, as poor profile even can reject the customer’s loan application.