What is the required list of documents for home loan transfer?

Hi, 

Last year, I took out a loan and later came to understand that my bank was charging a lot of interest. A friend of mine who works in another bank told me to transfer the loan to his bank as they have a low-interest rate. Since, I was not aware of that, I asked him home loan balance transfer documents list and procedure. 

He told me that the process was very simple and shared a list of documents I would need to provide. 

What Is List Of Documents In Home Loan Transfer?

Here is the list of documents required for home loan balance transfer.

• Proof of residence or Rental agreement. 

• Identity proof (Aadhaar card, driver's license, voter ID)

• Last 3 months' salary slip.

• Last 6 months bank statement. 

• Last 2 years IT returns. 

• Form 16

• Credit card or electricity bill

• CTC proof

• Proof of income

• Documents related to the property

He said from the list of documents required for home loan transfer, I would need to provide whichever document was applicable between proof of residence and the rental agreement. 

Procedure For Home Loan Transfer

• He asked me to submit a home loan transfer letter of request to the original lender. They will assess the situation and provide me with aNOC or consent letter. I will also have to collect foreclosure certificates and monthly repayment records. 

• After that, he said to submit all these documents, the DOB certificate, and address proof to the new lender. 

• He also asked me to carry the list of documents for the home loan balance transfer mentioned above during the transfer process, as these will help the new lender decide on the transfer. 

He said if everything is convincing, the original bank will hand over the documents to the new lender, and that would be the end of the process. I hope this home loan balance transfer documents list has been of help to you. 

Home loans can be transferred from one lender two another. It is also known as refinancing. If you have the required eligibility and if the deal suits you, you can go ahead and make the switch. If you are wondering about the list of documents for home loan transfer, here is your answer. I am going to share a list of major documents which will come handy to make the home loan transfer easy and quick.

1. A letter of consent:

   You will have to submit a formal letter of consent to the previous lender about the home loan transfer.

2. No Objection Certificate:

   After submitting the letter of consent, you’ll have to get a no objection certificate from the former lender to allow you to transfer the loan to the new lender.

3. Loan Agreement Documents:

   You previous lender will issue a sanction letter or a loan agreement for the home loan transfer procedure

4. Foreclosure letter:

   This letter is a statement that there is no outstanding balance. You will have to obtain this letter once the new lender figures out the principal outstanding amount with the previous lender.

5. Home loan documents:

   The home loan documents from the previous lender must be submitted with the new lender to keep a record of your loan journey.

6. Cheque:

   You have to submit the post dated cheque which you had submitted to the previous lender at the time of taking loan to the new lender while transferring the loan.

7. Property documents:

   While transferring home loan, you will be required to submit your property documents to the lender, so take them from the former lender and submit them to the new lender.

8. KYC Documents for verification:

   A copy of your KYC documents will be submitted with the new lender. These documents include PAN Card, Aadhaar Card, Driving License, Voter Id, Passport, and government/ employee identification

9. Income documents:

   These are your financial documents. You will have to submit Form 16, latest salary slips, bank statements, and your employment documents

This is the complete list of documents for home loan transfer. Let me know if I missed out on anything.

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