Gone are the days when only men used to invest in property and houses. As more and more women are becoming financially independent, home buying and the construction of a home are no longer restricted to the male section of society. Women are also buying and creating a home for themselves and their families. In recent years, banks have seen an upward trend in the percentage of women taking home loans. There are many banks that extend special home loans for women with attractive interest rates and benefits.
There are many benefits that women can get from home loan plans that are specially customised for them including tax savings on home loan, lower stamp duty charges and lower interest rates. Let’s find out in depth what are the specific benefits of home loans for women.
The benefits of home loans for women are as follows-
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Lower interest rates
To encourage women to take loans to buy assets, the banks charge lower interest rates on loans like home loans for women. The subsidised home loan interest rates are meant to help women purchase their dream homes. The interest rate might not be too low compared to the one given to males, but it brings down the loan instalment that a female borrower has to pay monthly. The financial burden of home loan repayment is reduced to a great extent because of lower interest rates.
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Longer home loan repayment tenures
The home loan tenure is an important factor that determines the loan repayment structure and the EMI amount through which the borrower has to repay the loan. A longer repayment tenure for a home loan might be an advantage as the monthly EMI amount that needs to be paid is lower due to stretched tenure. The longer tenure also means that the borrower has more time to plan and repay the loan.
Women are easily eligible for longer home loan repayment tenures so that they can repay the loan at their convenience. Combined with the lower interest rates, longer loan repayment tenure makes it easy for women to repay the home loan.
The longer home loan repayment tenure can go up to 30 to 35 years. Considering your budget and expectations, you can take home loans without much hassle. As long as the loan is repaid, foreclosure is not an issue for the bank. All these benefits together ensure that it is easier to get a home loan for women at relaxed terms.
Tax deductions duties and lower stamp duties on home loans
Women can also claim tax benefits when it comes to home loans. The home loan tax deductions and lower stamp duty encourage women to take a home loan for home ownership. The stamp duty that a female owner has to pay for home ownership and other formalities is 1% to 2% lower than what males have to pay.
The tax deductions that women can get with home loans are also very significant. The lower stamp duty and the lower tax amount make for substantial tax savings on home loans. Apart from the tax reductions, there are other schemes and benefits that the government offers to help women buy their own homes.
Conclusion
As a woman of the modern day, you must have a goal of owning a home. Taking home loans and repaying them is one of the best ways to purchase a home. Banks provide various benefits to female borrowers seeking a home loan.
