Tiny Tips To Breeze You Through The Home Loan Process

When you take care of the small bits, the bigger bits are taken care of. This is true of the home loan process, too. If you are planning to take a home loan, these small tips will make the journey to your home more peaceful.

• The process to get a home loan starts with the submission of documents. Make sure that you have the attested photocopies of all the documents ready with you. These include your identification documents, your pay slips, your bank account statement, your tax returns and the Form-16, your appointment and cost-to-company letter, etc. 

• All the documents attached to the loan application must be duly signed. It is advisable for you to sign and pre-check each document and mention 'for loan purpose only' across every paper. 

• Always ask for your bank executive or direct sales agent's identity proof. You must know you are dealing with the right person before submitting your financial details. 

• Read each detail of the loan application form carefully and fill it yourself. In case a banking jargon does not make sense to you, ask your bank executive to explain any jargons that you do not fully understand. 

• Do not give the original documents to your bank executive unless the loan sanctioning officer from the bank asks for them to verify your information. 

• If you are asked to issue any cheque before the loan sanctioning process starts, make sure you sign it in favour of the bank and not in the favour of an individual. Keep a photocopy of the same with you.

• The title of the property you are purchasing, especially in a resale unit, must be marketable and clear. Seeking legal consultation on the documents involved in the property transfer is also advisable. 

• You must remain in touch with your lender to ensure the process remains smooth. There should not be any communication gap between the lender and the borrower because of the intermediaries involved. 

• Always inform the bank in writing and take the acknowledgement of the same, if you plan not to avail of the loan due to some reasons.

• A rough check on lenders will give you an idea about the home loan products available in the market. It will help you find the best option suited to your requirements. 

• It is recommended to rely on the written form of communication when taking a loan. This is why every communication between a buyer and the lender must happen over the mail. The applicant must ensure that the lender uses an official email ID.

• Planning one's budget and being ready with additional funds helps you in meeting the unplanned costs involved in getting the home loan. 

Read more about the hidden costs when taking a home loan.