Buying a home is one of the most crucial decisions and it is an asset that helps you acquire financial gain. Whether you looking forward to buying a property for investment purposes or for your new home. It is common that taking a home loan is the only and best way to get your dream home for your family or investment if you had a shortage of cash or don’t want to liquidate your savings. The banking sector provides many loan opportunities that are beneficial and productive.

A Home Loan is a great form of financial assistance with easy monthly installments. It allows you to choose the repayment tenure at your convenience. When you take a home loan, you commit to paying EMI almost 60-65% of your monthly income which can be extended for a period of 15 to 20 years. Buying a property through a loan is usually considered the biggest liability because it involves huge amounts and long tenure. However, the home loan also offers some benefits and these are: –

• Low Interested Rate: – The interest rate of loans may go through several ups and downs. Therefore, you can be sure that you’ll get some benefits at some point in the cycle.

• Tax Benefits (Interest Paid): – As per the “Income Tax Act”, 1961 a deduction up to Rs. 1.5 lakh towards the total interest payable on the home loan towards the purchase or construction of the house property can be claimed while computing the income from the house property.

• Tax Benefits (Principal Repayment): – As per the new sections introduced in the “Income Tax Act”, 1961 the principal repayment up to Rs. 1 lakh on your home loan will be deducted from the gross total income.