Home loans developed as a very popular lending instrument that helps people construct or purchase residential property. It is a secured loan that can be availed from a financial institution. The home loan verification process is an important phase of a home loan approval method wherein an applicant has to submit some essential documents and the lender conducts a thorough verification to ensure the credibility and eligibility of a borrower to avail this loan.
What happens during the verification process for a home loan?
Borrowers can apply for a home loan in order to purchase a ready-to-move-in home or apartment or one which is under construction. The home loan verification procedure is a significant stage in the process of application for a home loan. During verification, a borrower has to submit the following documents:
- Filled out home loan application form
- Identity proof ( Aadhaar card, driving licence, PAN card, passport)
- Address proof (Aadhaar card, electricity bill, ration card, utility bill)
- Income proof ( bank account statement of last 6 months and current salary slips for last 3 months)
- Property papers
- Profit and Loss account and balance sheet
- Photocopies of Income Tax Returns for the last three years
- Copy of Form 16
After submitting these documents, the lender will verify them and approve the loan request of the borrower if they successfully pass the documentation phase.
However, before knowing about the documents required for a home loan, it is important to check out its eligibility criteria as well.
What are the eligibility criteria for a home loan?
Mentioned below are the eligibility parameters of a salaried person applying for a home loan:
- The applicant should be an Indian citizen
- Age of applicant must be between 23 years and 62 years
- Applicants need to have at least three years of working experience in the private or public sector or an MNC.
On the other hand, when it comes to self-employed individuals, they also have to fulfil some eligibility criteria as stated below.
- The applicant should be an Indian citizen
- The borrower’s age must be between 25 years and 70 years
- An applicant should have an experience in a business field for at least 5 years
If necessary, borrowers can use the efficient online home loan eligibility calculator in order to ensure that they are eligible to avail this credit option.
After applicants successfully meet the home loan eligibility criteria and furnish the necessary documents, they will be able to proceed towards the application process for a home loan.
How to apply for a home loan online?
Mentioned below is the step-by-step process to apply for a home loan online:
Step 1: Navigate to the official website of a lender
Step 2: Go to the loans section and click on ‘home loan’
Step 3: Compare the loan offers and choose the best one
Step 4: Fill out the application for a home loan with the necessary details
Step 5: Choose the loan amount, interest rate and loan tenor
Step 6: Upload the documents necessary
Step 7: Cross-check the application form and click on ‘Submit’
Upon completion of these steps, the application for a home loan will be submitted successfully. After this, the applicant has to wait till the lender conducts verification of the loan. If everything is perfect regarding the home loan application, the borrower will approve the loan request.
Having a crystal-clear idea about the home loan verification process may help an individual apply for this secured financing option to become an owner of a home. However, they should keep in mind that the terms and conditions of home loans vary from lender to lender. So they need to conduct thorough research and make decisions sensibly.
Having a crystal-clear idea about the home loan verification process may help an individual apply for this secured financing option to become an owner of a home. However, they should keep in mind that the terms and conditions of home loans vary from lender to lender. So they need to conduct thorough research and make decisions sensibly.
Having a crystal-clear idea about the home loan verification process may help an individual apply for this secured financing option to become an owner of a home. However, they should keep in mind that the terms and conditions of home loans vary from lender to lender. So they need to conduct thorough research and make decisions sensibly.
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Author Bio
I am Lucy Jack, and I have been working as Content Writer at Rananjay Exports for past 2 years. My expertise lies in researching and writing both technical and fashion content. I have written multiple articles on Gemstone Jewelry like designer gemstone jewelry manufacturers and other stones over the past years and would love to explore more on the same in future. I hope my work keeps mesmerizing you and helps you in the future.
