Home loans are a type of secured loan. These loans are secured by the residential property that the borrower bought with the loan money. The home loan lender keeps the property papers with them until the borrower has repaid their loan in full. Once the home loan borrower has entirely repaid the principal amount along with interest, the lender removes the lien of hypothecation from the property and after this, the lender has no legal rights over the property. If you are planning to apply for a home loan any time soon, familiarizing yourself with the home loan process will work in your favour. This is what the home loan process entails. 

1. Find the Right Lender: The home loan process step by step starts with finding the right lender for you. This involves reaching out to a few different lenders, asking them for quotations, negotiating with them and in the end, choosing to go with the lender offering you the best deal. 

2. Make an Application: After you have decided on the lender you wish to go with, the next step is making an application for a home loan. Home loan borrowers can apply for a loan both online and offline. Applying for the loan would require you to submit certain documents and share some details about you. So, keep these documents and details ready with you. 

3. Wait for Your Lender to Respond: After you have applied for a home loan, your lender will take a few days to respond. If they find your credit profile satisfactory, they will approve your home loan application. If not, they will reject your application. 

4. Submit All the Required Documents: If your lender approves your home loan application, they will ask you to submit certain documents. 

5. Wait for the Loan Sanction Letter: Once your lender receives all the documents and has verified that the information provided by you is correct, they will sanction a temporary home loan sanction letter. This letter will contain details of the home loan that your chosen lender wants to offer you, such as the sanctioned principal amount, loan tenor, interest rate, interest rate regime, etc. If you agree with the terms and conditions mentioned in the loan sanction letter, accept the offer. If not, follow up with another round of discussion.

6. Wait for Physical and Technical Verification of the Property: If you accept the loan sanction letter, your lender will hire a legal and technical expert to verify the property. If the property and your profile pass all the required checks, your loan will get approved. 

7. Sign the Loan Agreement: Once you pass all the above-mentioned steps, your lender will sanction the final loan agreement which will contain all details related to the loan. You will have to visit your lender’s office to sign the final loan agreement. 

8. Wait for Loan Disbursal: Once you have signed the loan agreement, the only thing left to do is wait for your lender to disburse the loan amount into your account. This can take from a few days to a few weeks. 

So, this is the home loan process. The entire process can easily take a few days and weeks. So, be patient and keep some time on your hands.