Home Sweet Home! Everyone knows that and at the end of the day when you drag yourself back from the hefty schedule of daily life, the adobe is never less than a paradise on earth! But the weird part is that the process of buying a house can be a difficult task and especially when you are looking for a home loan to buy your dream home, lengthy application process can be the worst thing you face.
The process for home loan involves the following steps as mentioned below:
Bond (Home Loan) Registration:
The registration process involves various people and they are:
- The Seller
- The Estate Agent
- The Buyer
- Seller appointed Transferring Attorney
- Bank appointed Bond Attorney
- Bank appointed Canceling Attorney
The Process of Home Loan:
- The purchase offer: Both the seller and the buyer come to an agreement and both of them sign the offer of purchase. Once this is done, the buyer applies for bond which is also known as home loan.
- Bond approval: Once the home loan is approved by the bank, the bond attorney is instructed by the bank to register the bond.
- Property transfer: The transferring attorney then transfers the property on the seller‚Äôs advice. The cancellation figures and the title deed of the property are requested from the bank which holds the property bond. Once that is done the statement for taxes and rates is demanded from the local authority.
- Bond Attorney: Once the above steps are done, the bond attorney then gets in touch with the transferring attorney and advises the later about the available amount for guarantees. It is then that the transferring authority requests for the cancellation figure and the title deed.
- Cancellation Attorney: The cancellation attorney gets the request to cancel the seller‚Äôs bond after the guarantee is received against the outstanding amount.
- Transferring Attorney: Once the bond is cancelled, the transferring authority gets the copy of cancellation figure and the title deed and sends the same to the bond attorney. Once done, the buyer and the seller are contacted to sign off the transfer documents. After this the buyer pays the transfer cost and transferring attorney pays the taxes, rates and transfer duties.
- Bond Attorney: The bond attorney then prepares the bond document along with the buyer. Once done, the buyer pays off all the costs after he/she signs the documents. After this the bond attorney issues after preparation of the necessary guarantees and forwards the same to the transferring attorney and then gets the documents ready for Deeds Office lodging.
- Transferring Attorney: Once all the guarantees are received by the transferring attorney, they are all forwarded to the cancelling attorney.
- Cancellation Attorney: In the next step, the cancellation attorney requests the lending bank to cancel the home bond of the sellers.
- Deeds Office: Once the documents are signed and the costs are paid, all the documents are lodged at the deeds office by all the concerned attorneys. The office takes two to three weeks to check all the documents and once done and ready for registration, all the attorneys are contacted.
- Bank pays: The bank pays the loan on the day of registration.
In general the time frame required for the registration and transfer of home loan is three months minimum.