Tips for Availing a Loan Against Property Without Income Proof


Whenever you will apply for a loan- especially, home loan, personal loan, and car loan there are several documents which are required and in those documents the most important is the income proof document. As the income proof decides the repayment capacity based on your income generation and work profile. If you don’t have income proofs to produce, chances of getting a loan approved get reduced. But it does not mean that you will not get a loan, you will just have to fulfil other requirements. Here are the few tips which might help you get a loan a gainst property with income proof:-

  1. Talk to your representative

Whenever you apply for a loan, a representative is assigned to you. You should talk to him regarding the absence of the documents. Also, tell him about your income sources by showing sales receipt, inventory positions and explain why you don’t have the income proof document. This will help the representative assess your income calculation, be as clear as you can.

  1. Apply with a co-applicant

Applying for a loan with an earning family member of your family is always beneficial. As in a joint loan, you can apply for a bigger amount of loan and the repayment capacity also increases. A creditworthy co-applicant with an income proof will be considered as the main borrower.

  1. Check on your savings

Before you apply for a mortgage loan, keep a check on your savings account. As the lender checks your bank statements. You should maintain the minimum balance required as sound finances will increase the chances of loan approval.

  1. Maintain a good credit score

It becomes very important to maintain a good credit score if you don’t have income proof. A good credit score can be maintained by availing a few credit cards and making their payments on time.     

  1. Go for (Lower Loan- To- Value) LTV

If you make a higher down payment, it increases your chances of getting a loan approved without income proof. The loan-to-value ratio is a financial term used by lenders to express the ratio of a loan to the value of an asset purchased. For example, if property is valued at 70 percent then you have make payment of the remaining 30 percent. Availing lower LTV is a great idea in case you don’t have the income proof.

  1. Peer-to-peer lending

Consider peer-to-peer landing though it is available at a higher interest rate but it helps in getting approved in absence of income proofs.