Documents Required for Availing Mortgage Loans

December 24, 2019
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Paul Petersen
Posted in Finance
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The mortgage loan or LAP (loan against property) is one of the best ways to get funds during an emergency. But, to qualify for the loan, you must furbish certain documents related to the asset you want to pledge, income and more to the lender. The article lists down the documents you must have to get a mortgage loan.

At times when the finances are strained, you may need a little help to overcome the situation. In such a situation, the best way to get the necessary funds is to apply for a mortgage loan. Since mortgage loan is a secured loan, you can get a higher amount as compared to a personal loan and get an extended period for repayment. When you apply for a loan against property, the lender determines the maximum loan amount based on the value of the asset you pledge.

To qualify for the loan, you must meet the eligibility criteria of the lender and furnish certain documents related to your income, profession, and more. Although the document requirements may vary from lender to lender, the basic requirements remain uniform. Here is a comprehensive checklist of documents you would need to get a mortgage loan.

For SALARIED PROFESSIONALS

Identification Proof (you can submit any one of the following documents)

Passport
Voter ID
ID card issued by a government body
Driving license
PAN card

Address Proof (you can submit any one of the following documents)

Passport
Last two months utility bills like electricity bills, telephone bills, and gas bills
Statement of a bank account or bank passbook
Voting ID
Letter from a recognized government authority verifying the residential address
Copy of the property tax
Copy of LIC policy
Rent agreement
Maintenance bills

Income Proof (you can submit any one of the following documents)

Salary slip of last two months
Form 16
Copy of IT returns filed for the previous three years
Promotion or appraisal letter

Documents to prove job continuity

Copy of the appointment letter from the current employer
Experience certificate or relieving letters obtained from the previous employers

Apart from the documents mentioned above, you must also submit:

Bank statement account of the salary account for the last six months
If you have any existing loan, you must provide a copy of the sanction letter and the statement or repayment
Proof of investment in shares, fixed deposit, mutual funds, and other fixed assets (if any)
Copy of the property-related documents including sales deed, share certificated obtained from the society, copy of the agreement
Cheque for processing fee
A declaration document stating the purpose of getting the loan

For SELF EMPLOYED INDIVIDUALS/BUSINESS OWNERs

Identification proof (as mentioned above)

Proof of residence (as mentioned above)

Proof of ownership of the home (you can submit any one of the following documents)

Electricity bills for the last two months
Maintenance bills
Property-related documents

Proof of business existence (you can submit any one of the following documents)

Copy of the sales agreement for the sales deed (if executed)
Copy of the tax registration
Company’s registration license number

Proof of Income

Copy of the income tax return filed for the last three years and statement of the business account statement attested by a certified charted accountant
Copy of the audited balance sheet and profit and loss statement
Copy of tax audit report (if applicable)

Bank statement

Copy of the bank account statement of both savings and current account of last one year

Property-related documents

Copy of the sales deed
Share certificate
Copy of maintenance bills

A cheque for paying the processing fees

Passport-sized colour photograph

If you are a self-employed professional like a doctor or engineer, you must provide a copy of a professional degree certificate

Make sure that you know the exact documents required by the lender you wish to approach and keep your documents handy well in advance to avoid delay in the loan processing and disbursement.