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How To Avail A Loan Against Property Without ITR?

The market share of loan against property is on the rise in India. However, according to the data of TransUnion CIBIL, loans against property have recorded a vital increase in delinquencies amongst borrowers across the country.

Research suggests that a significant amount of citizens in India do not hold any salary certificates as their income is not liable for a tax deduction. Hence, financial institutions have come up with a loan against property without ITR to extend finances to borrowers who earn below the minimum threshold.

Consider these steps to avail loans against property without being able to show income proof-

# Apply with a Co-Applicant

Borrowers with no ITR documents can add a co-applicant, with a decent credit history and steady source of income to successfully initiate the loan against property process for application. Co-applicants can help avail better terms on the loan.

# Provide your Transaction History

Financial institutions may ask your transaction history if you cannot provide proof of income. Individuals who are self-employed can have their loan approved by providing their savings account statement which records information of all the transactions made in your account.

# Choose a Lower Loan to Value Ratio

It is advised to choose a lower LTV ratio if you cannot provide an income proof to increase your chances of loan approval. However, you need to keep in mind that asking for a lesser LTV ratio means you have to deal with a higher down payment than usual.

Hence, even if you cannot provide proof of income, it is not impossible to avail of a loan against property without ITR.

Know the other documents required to apply for a loan against property and avail of a loan with ease.

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