Minimum age at the time of execution of the loan documents is generally 21 years and ,18 years in some Banks including SBI/SBT/INDIAN BANK Maximum age by which the loan is to be closed ranges from 65 years to 70 years

Applicants having sufficient, regular and continuous source of income for servicing the loan under the categories
Salaried Class
Businessmen
Professionals and self-employed
Agriculturists
Pensioners

Period of Standing/experience in their line of activity varies with a maximum of 3 years.

Purchase/Construction of House/Flat
Purchase of a plot of land for construction of House.
Extension/repair/renovation / alteration of an existing House/Flat
Purchasing of Furnishing and Consumer Durables as a part of the project cost of the Housing loan proposal.
Takeover of an existing loan from other Banks/Financial Institutions.

Differs from Bank to Bank ----- 20% to 25% according to the purpose quantum/monthly income

Varies from Bank to Bank subject to the control of Reserve Bank of India .Present range is between 8.5% to 11%

Differs according to age and monthly income of the applicant.Eg: SBI/SBT- Age from 18 years to 45years – 60times of Net monthly Income and for Age above 45 years -48times of Net monthly Income.
Take home income should be more than 40% of gross monthly income after deduction of EMI for the proposed housing loan and other deductions also.

15 to 20 years

For construction - In three or four stages i.e. 30%,40% and 30% Or 30%, 20%, 20%, and 30% -(differs from Bank to Bank)Outright purchase – 100% to the seller, after payment of the margin by the applicant.
Equitable mortgage of the housing loan property and/or other suitable securities.

Interim Security for Purchase of Built Houses/Flats


In the case of purchase of ready built houses/flats there usually exists a time gap between either payment or registration of the title and creation of mortgage. During the interim period, other security(in options as mentioned below) equivalent to the amount of loan has to be offered. This interim security can be released once the primary security is mortgaged to the Bank. Equitable mortgage of property, assignment of LIC policy/pledge of gold ornaments /Govt.. securities/ Bonds/ shares/units of UTI etc.

Builders/Sellers Check List
Allotment Letter & detailed split up cost of the project.
In case of completed projects, a letter from the builder stating that the property is ready for registration.
Letter from the builder/seller stating that the property is not mortgaged to any Bank/financial institutions. If mortgaged then an NOC from the concerned Bank .
Advance Receipt/Paid Receipt from Builders/Sellers, if any.
Due diligence of Builders and Seller – KYC Norms :- Proof of identity (PAN copy) & Residence proof( recent telephone/electricity bill- both self attested and originals Verified & attested by Bank) along with Duly filled KYC form(form to be collected From the Bank.
Advocate Check list(prepare separate set)
Copies of base/mother deed/parent document link deeds,(past 30 years) up to date encumbrance(past 30 years) and tax paid receipts (In case of flats, if the project is already approved by Bank’s panel advocate then this is not required)
Copies of Agreement for sale, Construction agreement allotment letter
Copy of the Plan sanction inclusive of Site plan approved by the Corporation/ Municipality/Development Authority/Panchayath as required.
Copy of the building permit issued by The Corporation/Municipality/Development authority/Panchayath as required.
Engineer Check List:-
(Collect the telephone No of the Approved Panel Engineer from the Bank to coordinate With him for inspection of your property)
Photo copy of sale deed.
Plan sanction copy
Interior estimate, if any, for approval by The Engineer. Other Bank/Institution Check List:-(In case of take over loans)
Copy of Sanction letter of the other Bank/Institution.
Loan account statement from the date of Sanction till date.
Preclosure letter inclusive of penalty from the Bank/institution.
Letter stating that original documents are Kept in their custody.
Receipts for the total amount of the project Issued by the builder/seller to the purchaser/ Bank/Institution.
ORIGINALof the Sub registrar Certified copy of the sale deed.
Personal Documents – Check List From the Applicant/Co-applicant and Guarantor if any:-
Self attested copy of proof of identity(PAN card/Recent Passport/Voters ID/Driving License)
Self attested copy of proof of residence (recent telephone/electricity bill/letter from company where he/she is employed/ recent property tax paid receipt)
Self attested copy of Salary slip for the last 3 months (attested by the employer)
Self attested copy of the salary account Statement for the last 6 months (BankAttested)
Form 16 for the last two years
Income tax – saral copy for the last Two years.
Photograph(passport size) – 2 No
Application Form – duly filled in.
Company profile – details of the company where the applicant is working NOTE: Take the ORIGINALS of PROOF OF IDENTITY, PROOF OF RE- SIDENCE, AND INCOME TAX SARAL COPIES for attestation By the Bank.
(In case the applicant/co-applicant/guarantor are into business, then last three years income Tax returns/balance sheet with one year Bank Statement of their business account is required)
After the sale deed is executed, the original deed along with fresh encumbrance certificate and possession certificate should be submitted. After availment of the loan, encumbrance certificate for four months after the date of mortgage is to be produced.