Home Buying

What Documents Are Required for Home Loan?


10, January 2026

So, you’ve decided to buy a home - congrats!

Now comes the not-so-fun part: Home loan paperwork. It might feel like a never-ending task, but don’t worry! We’re here to simplify it for you. So, grab a cappuccino, relax, and let’s get started!

Understanding the Home Loan Approval Process

Getting approved for a home loan involves various steps, like submitting documents required for home loan, verifying them, and finally receiving the loan.

Banks and lenders need to ensure you’re real, have enough income to repay the loan, and are buying a valid property.

This means they’ll ask for a lot of paperwork. But don’t worry, they won’t ask for your school report card! (At least not yet.)

The procedure for home loan approval includes checking your income, credit score, and property details before the loan is approved.

Here’s what you’ll need:

Ranav Tranquil Haven

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⇒ Identity Proof (AKA: Prove You’re You!)

The lender needs to verify that you're a real person, not a made-up one. You can provide any of these documents:

Address Proof (Because They Need to Know Where to Find You!)

They also need to ensure you have a real address and aren't hiding somewhere. You can provide:

  • Aadhaar Card (Yes, again!)
  • Passport
  • Utility Bills (Electricity, Water, Gas)
  • Rent Agreement (If you’re renting)
  • Bank Statements accompanying Address

Income Proof (Show Them the Money!)

Unless you have a magic money tree, banks need to see how much you earn. Depending on your job, here’s what they’ll ask for:

For Salaried Employees:

  • Last 3-6 months’ salary slips
  • Latest Form 16
  • Bank statements for the last 6 months
  • Employment letter

For Self-Employed People & Business Owners:

  • Income Tax Returns for the last 2-3 years
  • Profit & Loss statement and Balance Sheet
  • Business registration certificate
  • Bank statements (personal and business) for the last 6 months

Property Documents (The Star of the Show!)

Since you’re getting a loan for a property, you’ll need to prove that the house actually exists. Depending on either the house is under construction or ready to move in, you’ll need to provide:

  • Sale Agreement: Outlines the terms of your purchase.
  • Title Deed: Proves that the seller is the legitimate landowner of the property.
  • Approved Building Plan: Shows the property has been approved by authorities.
  • Property Tax Receipts: Confirms that possessions taxes are paid.
  • Encumbrance Certificate: Shows the property is free of any legal dues or loans.
  • NOC from the Builder (for apartments): A certificate confirming there are no issues accompanying the property.

If the property is still being built, you might also need:

  • Construction Agreement: Explains the builder’s commitments and timeline.
  • Payment Receipts: Shows the payments you’ve made to the builder so far.

Other Documents (Because Why Stop at Just a Few?)

Apart from the main documents needed for home loan, lenders may also ask for:

  • Passport-size Photos: Needed to keep your file updated.
  • Loan Application Form: A form where you provide your individual and monetary analyses.
  • Processing Fee Cheque: A check to cover the processing fee for your loan.

Some lenders might also request:

  • CIBIL Score: Your credit score to decide your loan eligibility.
  • Co-applicant Documents: If you’re applying accompanying someone else, they’ll need to submit their documents as well.
  • Guarantor Documents: If a guarantor is necessary, they’ll need to provide their documents.
  • Additional Financial Documents: Sometimes, lenders may ask for extra documents to check your financial stability.

How many types of home loans are there?

If you thought there was just one kind of home loan, think again! There are various home loan types, each conveyed for various needs. Here are some of the most common ones:

  • Home Purchase Loan: The most common loan for purchasing a new or resale possessions.
  • Home Construction Loan: For building a house from scratch.
  • Home Improvement Loan: For renovating or repairing an existing home.
  • Home Extension Loan: If you want to add more rooms or extend your house.
  • Land Purchase Loan: For purchasing land to build on later.
  • Balance Transfer Loan: To move your current home loan to a lender offering lower interest rates.
  • Home Loan Mortgage: A loan where your property is used as collateral.

A home loan mortgage loan lets you borrow money to buy a house, utilizing the possessions as security.

Different banks offer different types of home loans, so it's a good plan to research and pick the individual that fits your financial needs.

Final Thoughts: Stay Calm and Gather Those Docs!

Yes, the list might seem long, but the home loan in India approval process isn’t as terrifying as it sounds.

Think of it like a treasure hunt - gather all the docs required for home loan submit them, and you’ll get the keys to your dream home!

Pro Tip: Keep extra copies of all your documents required for home loan because banks love querying for them more than once. And don’t stress - once you’ve handled all this, moving into your new home will feel even better!

So, are you ready to take on the paperwork challenge? Share in the comments if you've ever had any funny or frustrating experiences accompanying document requests!

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