AI Tool Revolutionizes Home Loans: Speeds up Approval and Prevents Property Fraud

Purchasing a property or securing a loan against it? You might no longer need to spend days (and even weeks) waiting to validate who actually owns the property. In a massive tech-first initiative, AdvaRisk a fintech supported by ICICI Bank and NABARD has introduced India's first real-time, AI-based property ownership and valuation solution, named Instant Ownership Check (IOC).

And although the platform is created for lenders and banks, its effect will ultimately be felt by borrowers- quickening home loans, property acquisition, and loan-against-property (LAP) transactions, making them more secure and transparent.

Tailored specifically for banks and lenders, the platform streamlines ownership confirmation, improves credit due diligence, and enhances collateral monitoring.

The IOC platform provides real-time access to authenticated property ownership records, such as the most recent ownership transaction on the property, as well as comparable transaction values  all through a single API with countrywide coverage. It obviates the necessity of manual, location-based searches across Sub-Registrar Offices by leveraging property registration data from all over India.

Consider getting a home loan application, discovering later that there are complications on the property papers. Perhaps:

The recorded owner is not up to date

The sale transaction is missing or contested

Even worse, the same property is being collateralized for multiple loans

Such issues not only delay loan sanctioning but can trigger fraud, litigations, or outright loan rejection.

Through the new IOC platform, banks can confirm ownership in seconds, greatly accelerating loan processing and minimizing opportunities for fraudulent or disputed properties being offered as collateral.

For loan applicants and homebuyers, this implies:

Quicker loan approvals

Less surprise or mistake during property transactions

More confidence in the authenticity of your property documents

Currently operational in 14 states, the platform cuts ownership verification time from days or weeks to seconds. Leveraging property registration information, it provides immediate results on ownership transactions and transacted values of properties within proximity.

“With this launch, we’re helping financial institutions move toward smarter, faster, and more reliable credit decisions. Ownership verification is a critical step in secured lending. Errors here can lead to fraud, litigation, and significant losses. Our AI-powered IOC tool ensures lenders can instantly validate the legitimacy of collateral presented for loans,” said Vishal Sharma, Co-founder & CEO of AdvaRisk.

The website now spans properties in Telangana, Andhra Pradesh, Delhi, Gujarat, Maharashtra, Bihar, Uttar Pradesh, Uttarakhand, Chandigarh, Kerala, West Bengal, Madhya Pradesh, Karnataka, and Tamil Nadu.

Indian banks reported 18,461 cases of fraud totalling Rs 21,367 crore in the first half of FY25, RBI data shows. Although the actual proportion of collateral-related fraud is ambiguous, the RBI has asked financial institutions to improve monitoring systems and coordination with enforcement authorities.

AdvaRisk's more comprehensive suite of products assists institutions in monitoring and tracking collateral in real time, marking changes in ownership and encumbrances, and detecting fraudulent sales of mortgaged assets.