The Home Loan disbursement procedure begins after all the documents mentioned below are submitted.

Photocopies to be submitted of the documents in case of resale purchase.

Draft / Registered Agreement (with Registration Receipt)

All documents regarding to property transaction as per the annexure attached for project approval.

Municipal Approved plan with the Commencement Certificate.


Legal Document Checking

The property papers are sent to the banks panel lawyer for “LEGAL” in this his report states whether this property is legal & the title is clear & marketable & also states that this all the norms have been followed by the builder & no violations have taken place. any documents called for by the panel lawyer have to be provided as & when the need arises.

Step 1

Step 1

Property Valuation

Banks empanelled valuers (max. 2) visit the property which is to be mortgaged. They inspect the property and send a report to the bank about the saleable area, how much is the building completed, Market value, the life of the building & legalities (has the property been constructed as accordance with the plan approved by the municipal corporation & have all the necessary permissions been taken.) any documents called for by the panel valuers have to be provided as & when the need arises. Name & No. of the contact person responsible for opening & showing the property to the valuer for inspection has to be provided. The valuers shall fix an appointment with the contact person who will then open the property for inspection.

Title search

This is a report to be provided by the borrower to the bank, in case the bank asks for it. Provided all the above conditions are met, then the next procedure follows.

Step 1

Step 1

Loan Agreement

The loan agreement between the bank & the customer is signed. Here all the applicants
to the loan need to sign the agreement. In case of a NRI applicant the POA signs it on his behalf.

Franking & Notary

Franking & Notary has to be done on the respective pages as prescribed by the bank. These charges have to be borne by the borrower.

Step 1

Step 1

ECS Mandate

The EMI for the loan will be serviced from the bank account as directed by the lending bank, for this an ECS mandate has to be signed by the customer & the same has to be verified from the account holding bank.

Personal Discussion

PDC’s are also collected by the bank….details will be provided for the same. Max no of PDC to be collected are 10. These have to be from the bank from which the loan EMI will be serviced.

Step 1

Step 1

Payment Receipts & Bank Statements

Original Payment receipts & Photocopies of the bank statement for the debit entries of the same, would be needed. Please pay all of your contribution mentioned in the agreement to the seller through cheque only. Payments made in cash will not be considered. # Also note that the cheque no., amount & bank details written in the receipts have to match with the photocopies of bank clearance for the debit entries.

Terms & Conditions

All the terms & conditions laid down in the sanction letter have to be fulfilled by the applicant. (Please read the terms & conditions carefully.) NOC form the builder has to be obtained, duly signed & stamped in the banks prescribed format.

Step 1

Cheque release: Very important

1. When all the original documents of the property asked for as mentioned below are submitted

a. Registered Agreement
b. Registration Receipt
c. Index II
d. NOC
e. Demand Letter
f. Own Contribution Receipts [OCR] of the payment made to the Builder.

(The bank also verifies the genuineness of these documents)

The bank will release the cheque only after the applicant has paid all of his own contribution & has provided the original receipts & photocopies of bank clearance for the debit entries for the same.

# Also note that the cheque no., amount & bank details written in the receipts have to match with the photocopies of bank clearance for the debit entries.

Illustration: – For payment of OCR

Agreement Value   950,000
Stamp Duty   40,000
Registration   10,000
Total Value of the flat 10,00,000

Bank funding 85% of the property value

Bank Funding 85.00% 850,000

Own Contribution Receipt (ORC)

Payments be made by self to the Builder 100,000
   A. Stamp Duty 40,000
   B. Registration 10,000
   C. 15.00% 150,000

# Bank will only fund the remaining amount after the applicant pays his own contribution of 1,50,000/- as illustrated above.
Composition of the OCR is (D = A+B+C)

Annexure of documents required
for project approval.

1. Clearance under Urban land ceiling act whenever applicable.
2. Declaration in builder Letterhead if urban Land ceiling Permission is not required
3. Development agreement with the landowner
4. Irrevocable POA
5. Land Purchase Document with the present owner
6. Chain of Agreement/Conveyance deed of past owner
7. Draft Copy of Agreement for Sale with the flat purchasers
8. Non Agriculture Land Permission (NA)
9. Latest NA tax receipt
10. 7/12 extract/form no. 16
11. Property Card
12. Index II issued by the sub registrar
13. Title report
14. 30 Years Search report
15. Approval Layout & Building plan from the Competent Authority
16. Intimation of Disapproval
17. Partnership Deed/s
18. Loan taken for CF from other Institution
19. CC (Commencement Certificate)
20. Approved Plans (Blue Print) certified by Authority

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