It is a staple of Indian society to leave financial decisions pertaining to the family in the hands of men. Homemakers and even working women rarely get involved in family planning matters such as investments, taxation, insurance etc. Times are changing though, especially with various benefits and incentives that is now in place for women to avail on several assets. Women are now showing encouraging signs and being aware for the need of financial independence. They are also working together with their family members in contributing equally towards the creation of necessary assets such as housing properties.
Taking into account our rising economic inflation, it is crucial for every individual to carefully plan and invest their funds wisely. Financial institutions now offer lower interest rates to women to encourage investment into land, gold and businesses. Century wishes to do its part by informing and inspiring women all over the country to take advantage of these policies to secure a better future for them and their family. These are some of the benefits that offer women the opportunity to invest in real estate at optimal rates.
Women who wishes to seek housing loans are now eligible to avail a .05 reduction on their interest rates. The differences may seem negligible at first but take into account that it makes a considerable difference if the loan amount is high. For example, HDFC sets an interest rate for loans above Rs 30 lakhs to start at 8.70% as against the norm of 8.75% for other individuals.
Most reliable financial institutions provide loans between 55-65 times of the applicant’s monthly net income. Keep in mind this is subject to credit worthiness and other outstanding loans. For example if “A” earns Rs 50,000 and “B” earns Rs 60,000 after deductions, their individual and joint eligibility would be as follows
If two individuals apply for a joint loan, it is possible that the value of the house, loan and the amount to be paid will be enormous. When these individuals jointly claim tax deductions, the tax benefits for the total amount is doubled.
If the property bought on loan is let out, the total interest paid after deducting rent received can be availed as a tax deduction. In such cases, joint loans leads to increased tax benefits as shown below.
|Principal u/s 80C||1,50,000|
|Interest u/s 24||2,00,000|
|Joint benefit for the family|
|Principal u/s 80C||1,50,000||1,50,000|
|Interest u/s 24||2,00,000||2,00,000|