Tuesday, 20 October 2015

Things to know before you apply for a Home Loan

India is a great place to buy a real estate asset, as all you need to have is the will to buy the property of your own choice, for the rest there are number of companies and banks to provide home finance. 

There are new policies and initiatives that have been taken by number of banks and financial institutions have come up with number of repayment options as well as loan options in the financial market.   

Home Loans:

The loan that is offered to the customers who want to buy, construct or renovate a residential property is eligible to apply for Home Loan. Home Loans are unsecured loans as they are provided without a security, depending upon an applicant’s financial condition and profiling.

NRI Home Loans:

NRI Home Loans are simply like any other home loans issued to individuals living abroad for purpose of career or business. These too are insecure loans as not backed up by a financial security. There are a few things that may differ from a regular Home Loan, for example the rate of interest, the tenure and also the finance amount may differ. 

Loan against Property:

Loan against Property or Property Loans are loans which are offered to interested customers against their real estate asset. These are secured loans as are backed by a real estate asset of the customer taking out loan. There are a number of documents which are required to be submitted while borrowing Loan against Property India. 

Documents necessary for Property Loans:

Your Evidence of residenceA ration Card / Telephone Expenses / Power Expenses / Voters Card will do.

Evidence of Identification - A Voter's Card / Motorist's Certificate / Company's Card will do.

Your latest Bank Declaration/Passbook - from where you can show your wages / incomes being acknowledged from the past 6 months.

Salary Slip - last 3 several weeks with all deductions shown. A Form 16 from the last 2 years will also be required.

Copies of all Real estate asset Records - of the property in question that you select to commitment for the loan.

*If you are a self employed professional/individual, you will require the following documents:

Certified Financial Declarations for the past 2 years.

Evidence of Property - A ration Card / Telephone bill / Power bill / Voters Card will do.

Evidence of Identification - A Voter's Card / Driving license / Company's Identification Card will do.

Your latest Bank Declaration/Passbook  - from where you can show a wage / income being acknowledged from the past 6 several weeks.

Copies of all Real estate asset Records of the worried property that you select to commitment for the loan.