Getting Started Guide for First-Time Home Loan Buyers in India
The road to your dream house isn’t all that easy. Right from selecting the best location, to finding or constructing the home of your dreams to finding the home loans in the market, the process is lengthy and complicated.
But, worry not! Here, in this guide, you can find an easy to follow, step-by-step procedure to an easy home loan. Let’s get started!
#1: Get your Documents Ready
Before you approach any home loan broker, it’s a great idea to have all your paperwork in place, to avoid any scrambling later on. The documentation required will vary from bank to bank. However, the basic sets of documents you require are:
- ID Proof – It can be any of the following: Passport copy, Driver’s License, PAN Card, Voter Id
- Proof of Residence – It can be your latest Electricity bill, landline bill, Passport Copy, Bank Passbook
- Proof of Income – This varies whether you’re salaried personnel or self-employed. For the former, you would have to submit your salary slip, and for the latter, you have to provide your profit/loss statement along with your bank statement for the last six months.
#2: Applying for the Home Loan
Do your research and find the best bank or NBFC that offers you a new home loan at the best rate. Once, you have decided on your lender, visit the website of the lender and submit your online application. Make sure that all the details you provide are valid. The loan officer from the bank will call you and get in touch with you.
The relationship manager will collect copies of all the required documents and explain the process to you. The loan officer then decides your repayment capacity based on several factors like your credit score and history, age and your income.
#3: Charges for Home Loans
When you Apply for a home loan, you have to bear a few charges like the processing fees and stamp duty. This is usually lesser than 1% of the total loan amount. Also, banks charge you some additional fee to verify your property. You have to pay these charges at the time of loan application.
#4: Loan Disbursal
This is the final step and a happy one. Your loan amount is approved and is disbursed to you, to finance your dream home.
Wrapping it Up
Availing a home loan is a tricky process but not impossible. If you have the right documents and you satisfy most of the eligibility criteria, then you can be assured of your new home loan getting sanctioned. Hope this guide points you in the right direction. For an easy way to shop for Home loans, compare them on www.antworksmoney.com and apply online!
