Documents for the loan: what are required

This guide on mortgage documents has as its objective an overview of the laws and bureaucratic steps for granting the loan. To apply for a loan, the Italian law requires that certain documents relating to the client’s personal and financial situation be presented to the bank. This documentation makes it possible to assess the applicant’s eligibility to use the loan thanks to credit scoring techniques and systems. In addition, the bank requests complete documentation relating to the property to be purchased.

The fact is that the request for a mortgage requires a series of documents that the bank wants to examine before giving its consent.
It starts from the photocopy of an identity document and the fiscal code : documents that, if you are current account holders, are already in possession of the bank. The necessary documents are divided into personal documents, income documents and documentation relating to the property.

 

Documents for the mortgage: personal details

mortgage loan

  • copy of identity card or passport
  • copy of the tax code / health card
  • residence certificate (or contextual)
  • family status certificate (or contextual)
  • residence permit (for non-EU citizens)
  • extract of marriage certificate (married only)
  • possible separation homologation or divorce sentence

If you are married, you must present a marriage certificate and the spouse’s assent declaration (if he is joint owner of the property) with the registration of the mortgage

The bank can then ask you for a family status to check if you have dependents. This measure is used to understand if you are able to support the loan installments according to your income, to ascertain which you will have to present the annual tax return.

 

Required documents on employment and income status

mortgage loan

  • copy of the tax return (CUD model, UNICO, 730)
  • employees : copy of the last pay slips, any declaration by the employer about the type of employment (permanent)
  • self-employed and self-employed : copy of the latest tax returns and F24 form. Certificate of registration in the chamber of commerce (self-employed workers), certificate of registration in the professional register (freelancers)
  • pensioners: pension slip
  • Current account statement updated

In some cases the banks can ask employees for the latest pay slips to ascertain the current level of revenue net of any non-company deductions (canteen, car leasing, company mutual fund, corporate loan, etc.).

 

Real estate situation

mortgage loan

Particular attention is paid, in the evaluation of the documents for the mortgage, to the value of the house. The building constitutes the effective guarantee of the debt. It is necessary to present a series of documents starting from a survey carried out on the spot by either an engineer, an architect or a surveyor registered in the register.

With the appraisal, the location, the state of conservation and the age of the building are established. A notarial check is also requested, which has the purpose of ascertaining that there are no mortgages, usufruct or other restrictions. In general, it is the bank itself that arranges these reports even if, in some cases, it can accept the results presented with paid expert opinions (at a lower cost) from you.

A map extract of the New Land Registry and of the New Urban Building Registry will also be requested. At the same time you will be asked to sign a building insurance policy against damage from fires , lightning, gas and accidents.

The bank then wants to be sure that the seller is the actual owner of the property . For this reason, a copy of the previous deed, the deed of succession (in the event that the seller has received the inheritance) or of the building permit obtained by the manufacturer if it is purchased directly from him must be presented.

Finally, it is necessary to present a copy of the compromise, the preliminary contract with which the parties undertake to complete the sale, which shows that you are actually buying the house.

 

Documents for the mortgage: immovable

mortgage credit

  • act of origin of the property
  • cadastral plan of the real estate unit
  • copy of the compromise (or sales proposal)
  • copy of habitability certificate
  • possible succession report
  • energy certification

It is possible that some credit institutions also request other documentation, sometimes also by virtue of the specific situation of the applicant. Separate or divorced persons may be asked to show the separation or divorce sentence or non-EU citizens must present a copy of the residence permit, etc. together with the other documents.

Before starting a negotiation for the purchase of a house it is advisable to contact the credit institution or the bank in advance so that you can know what all the necessary documents are . It should also be taken into account that the outcome of a loan application also depends on what the aspiring borrower can provide to the bank to guarantee the loan and on the fact that it has all the necessary requirements.