Whether you live alone or with your family, you need a home. You can either rent or buy a house. Renting confers incredible flexibility, so you may face the dilemma of renting or buying a house. Remember, flexibility is desirable in the short term, but security is preferable in the long run. Hence, consider buying a home as it assures maximum financial security for you and your loved ones.
Earlier, buying a home was difficult due to the lack of financing options. However, now buying a home is possible for all thanks to Housing Loans. A Home Loan in Delhi lets you borrow a significant amount at a competitive interest rate to finance your purchase. You can get the Loan for a maximum of 30 years and comfortably repay it in Equated Monthly Instalments. A Home Loan is a massive commitment.
You experience a sense of relief when you entirely repay the Loan on or before time. In the excitement of repayment completion, make sure you do not miss out on the necessary documentation. Here is a checklist of Home Loan closure documents that you cannot miss:
Original property documents
As a Home Loan is a Mortgage Loan, you pledge your property as collateral to borrow the Loan amount. Given this, the bank needs you to submit all original documents such as Title Deed, Sale Deed, Power of Attorney, and Loan Agreement initially. The bank holds these documents until the Loan is entirely repaid. When closing your Home Loan, ensure you get all the original property documents from the bank.
Collect No Dues Certificate
The No Dues Certificate is the most important Home Loan document you need to get from the bank upon closing the Loan. It confirms that no Loan repayment dues are pending and that the bank holds no legal right to the property. Make sure the certificate mentions the correct details, such as your name, property address, Loan Account number, and closing date.
Get property lien terminated
The bank possesses the property lien, which means the right of possession. Given this, the bank can sell the property if you fail to repay the Home Loan. You need to visit the registrar's office along with the bank representative to get the property lien terminated on Home Loan closure. You cannot sell your property if the property lien is not terminated.
Update the Non-Encumbrance Certificate
The Non-Encumbrance Certificate is the most crucial Home Loan document to get when you are closing the Home Loan Account. It holds detailed information about your Home Loan transaction. For instance, when the Home Loan repayment is ongoing, the certificate shows the outstanding Loan amount.
Similarly, when you have fully repaid the Home Loan, the certificate indicates the same. Visit the sub-registrar's office along with the NDC to get the Non-Encumbrance Certificate updated.
