Know about co-applicants for home loans | Fusion - WeRIndia

Home loan can be applied on an individual basis or jointly and eligibility of the loan might increase considerably just in case of a joint home loan. Co-applicant is a person who applies for the loan together with the first applicant.

Here are the conditions for who can or cannot be co-applicants:

• Married daughters can’t be a co-applicant with mother or father
• Sister and Brother can’t be candidates in home loan
• Two sisters can’t be candidates in home loan
• Minor can’t be co-applicants generally, bank doesn’t allow friends or relatives to be co-applicant
• Father and son can be co-applicants.
• Unmarried daughter and father can be too.
• Unmarried daughter and mother and Brother and Brother can also be co-applicant.

When applying as co-applicants, documents are needed from each of the candidates. They include proof of identity, address, income etc. It conjointly offers both the co-applicants of the home loan tax advantages i.e. both the applicants can avail tax benefits. Co-applicant also will be equally liable just in case of default. As an example, in case of death of one of the holders, the complete responsibility for payment of the balance of the loan will have to be borne by the other co-applicant.

Image by Tumisu from Pixabay (Free for commercial use)

Image Reference: https://pixabay.com/fr/photos/vends-maison-acheter-immobilier-5301466/