5 Quick Things You Should Know About Home Loans For Women
While women have always been encouraged to buy homes because they could avail of certain benefits in the home loan market, do you know about the nuances? Here are some important points that you may have missed.
- So if someone has told you that it pays to be a woman when it comes to home loans, note that interest rate is definitely lower but more or less only by 5 basis points for women borrowers. Although it may not look like a lot, it works to be about a cut of Rs 40,000 on a loan of Rs 50 lakh over 20 years. Do not go in for a home unless you are clear about the benefits you are entitled to as a woman.
- To avail of the discounts on interest rates, you need to be the first applicant, either the only owner or a joint owner to avail of the benefit. This would mean that you ought to be an independent woman with a potential to pay back. You can then include your husband as a co-borrower.
- You may have heard about stamp duty concessions too. However, it is valid only when the woman is the sole owner or when the joint-owner is also a woman.
- You cannot avail of the tax benefits if the joint-owner is a man. Therefore, such schemes serve women who can avail of home loans based on their earnings and the CIBIL score.
- For women, who are looking at affordable homes, a loan between Rs 2 and Rs 12 lakh is available under the Mahila Aawas Loan. However, this is insufficient for somebody who is looking at owning an asset in a big city.
Kishore Pate, CMD, Amit Enterprises Housing Ltd, says, “Never take the first thing that is offered to you – most banks have a considerable margin of flexibility to accommodate borrowers who know what they want and are determined to get it. If you are married, the ideal scenario is to take a joint loan with your spouse. This is also the arrangement that banks prefer the most, since it reduces their risk.”
Tags: makaaniq, Finance, CIBIL Score, Woman Home Buyer, stamp duty concessions for women, home loan rates for women buyers, SBI home loans for women, joint applicant