Availing a home loan is one of the best ways to reduce your annual tax liability. But, as a woman, if you have borrowed a loan, you are eligible for several other benefits. Read on to know more about home loan benefits for women.
Over the years, as more and more women are becoming financially independent, the number of women applying for home loans have increased significantly. And, to encourage women to be a homeowner, the financial institutions have also crafted special home loan offers with special benefits for women borrowers.
Let us look at the home loan benefits for women
Loan at competitive interest rate
One of the most significant benefits that women can get on applying for a housing loan is that they get the loan at a lower interest rate than the usual rate applicable for others. Even a small difference of 0.1% in the home loan interest can help you save a significant amount in the long-run.
Also, the interest rate has a direct impact on the EMI (Equated Monthly Instalment). When the interest rate is lower, the EMI also becomes much more affordable. As a woman, you can avail a home loan up to Rs. 30 lakhs with a repayment tenure up to 30 lakhs.
When you apply for a housing loan you must meet the lender-specific eligibility criteria. And, if you don’t meet the requirement, the lender holds the right to reject your loan application. As a woman applicant, the lenders have a simple eligibility, and it makes it easier for you to get the funds to buy your dream home and become a homeowner. Also, easier eligibility means you can get a higher loan and purchase a better property.
Get a loan for a longer tenure
One of the critical factors of a home loan is the tenure as it has a direct impact on the EMI and affordability. Also, the loan duration determines the period for which you must repay the loan. When you apply for a home loan, you must remember the rule of thumb, the longer the duration, the lower the EMI and vice-versa.
Most lenders in India offer home loans for a tenure up to 25 years or more to women. This may allow you to repay the amount easily without compromising on your other financial commitments.
Discount on stamp duty
The stamp duty is a critical part of the home buying process. It is a statutory charge levied by the government. And, while planning your finances for a home loan, you must consider the stamp duty. Generally, the statement government charges about 1% to 2% less if the property buyer is a woman. Although you may believe it is only a nominal saving, if you consider the total value of the property, the discount can help you save a significant amount.
Benefits of PMAY
One of the most popular affordable housing schemes in India, the PMAY or Pradhan Mantri Awas Yojana offers special benefits for women home buyers. For example, as per the PMAY mandate, anyone who avails the PMAY subsidy must register the property in the name of a woman either a co-owner or sole owner.
Also, during the home allotment phase, preference is given to the women applicants along with the widows, old-aged and disabled.
Thus, there are many benefits available to the women home loan borrowers. If you are a woman and looking to buy a new home, it is advisable to do your due diligence to know about the benefits available and take advantage of it.