Basics of Housing Finance
- Housing is a primary human need next in importance only to food and clothing.
- Longer Tenure of home loan increase the transaction cost for the lenders.
- Insurance of property and insuring the life of the borrower are some of the risk mitigating strategies resorted to by lenders.
- Now, PMAY Housing for all – Subsidiary for all first-time home loan borrowers upto 2.67 lacs.
- Tax benefit on availing a home loan.
Individuals or group of specified individuals (co-borrowers) having an assured source of regular income viz. salaried / self-employed persons, professionals, businessmen, farmers etc (including Staff, NRIs & PIOs).
Get Loan for Properties
DTCP / CMDA / Patta / Resale Property / Multi-tenant Property / Industrial / Commercial / Vacant / Non Agri Lands Etc.,
- Purchase / construction.
- Purchase of plot.
- Purchase of plot and construction of house.
- Take over & Balance Transfer from other Banks / HFCs / NBFCs / FIs etc.
- Extension of the existing house / additional construction.
- Reimbursement of expenses for construction from own sources.
- Construction of house, where in the plot / land already owned by the applicant.
- To buy built up / semi built up house or flat.
- To Extend / improve / repair, the existing house or flat.
- For Home furnishing, furniture / fixtures embedded to structure or otherwise.
- To buy a flat under construction or proposed to be constructed.
- Resident Indians.
- Non-Resident Indians (NRIs) holding Indian passport or Persons of Indian origin (PIOs) holding foreign passport or Overseas Citizens of India (OCI).
- Staff members (availing under Public scheme).
The close relatives of the applicant can be added as a co-applicant for higher eligibility.
If the applicant wants to add any person who is not a close relative as a co-applicant, same can be considered only if he / she are the joint owner of property.
List of Close Relatives
Spouse, Father, Mother (including Step Mother), Son (including Step Son), Son’s wife, Daughter (Including Step Daughter), Daughter’s husband, Brother / sister (Including step brother / sister), Brother’s wife, sister (including step sister) of spouse, Sister’s husband, Brother (including step brother) of spouse.
Tax benefits in respect of housing finance
Interest on housing loan can be claimed as a deduction from Interest & Principle. From Principle amount Sec- 80C, every year maximum up to Rs. 150000, In this tax benefit from interest paid by the borrower will get concession up to Rs. 200000 under sec 24 of the income tax Act, 1961 every year.
Then, according to income tax Act 80EE, first time home purchaser / Construction person can get advance interest tax concession Rs. 50000. This is according to the above income tax Act sec 24, Except Rs. 200000 can get advance concession.
Can get Processing Fees Concession
At the time of applying for the home loan, Processing fees 0.5% to 1% or Rs. 5000 to Rs. 10000. This amount Income Tax benefit according to sec 80C, Borrower can get the benefit. (Note: Many people who are getting home loan don’t know this benefit) *
To Get Extra Rs. 50000 loan
This benefit, according to Sec 24, the highest Interest concession is more than Rs. 200000, You will get extra Rs. 50000. i.e Rs. 250000 interest benefit as per the income tax Act. *
CIBIL Score is not that much of important. But, Current default we can check the loan / Credit card / Personal loan status, then we take for process. Don’t worry we make it easy. Get free Financial consultant to get Loan.
“Get 100% construction Loan.” “Get 90% Purchase Loan for Patta land / DTCP / CMDA.”
With Plan / Without Plan. Subject to condition *
Eligibility of Borrower/s
- Individuals, singly or jointly.
- Age: 21 to 65
- Salary: Cash salary accepted / min Rs. 8000 can buy the land *
- Self Employed: With / Without ITR *
- Non-income proof (like small shop, Tea shop etc.) *
- Min Loan amount: 4 lacs
- Max Loan amount: Housing Loan ---No upper ceiling (* conditions apply). The maximum permissible Bank finance can be calculated on the basis of income of individual as well as joint borrower, as the case may be
- With Plan / Without Plan
- Repayment Tenure upto 30 years
- Interest starts from 8.35% *