Gone are the days when only males were actively involved in the property purchase. With the inception of several tax benefits and rebates, women have now actively started taking the plunge in the property market.
In India, especially in the tier 1 cities it has become a common scenario where working women have started investing in properties due to the new government policies and provisions framed to make them financially more secure and stable.
Here are some of the financial benefits that a female investor can enjoy:
Tax Benefits: If a woman is a taxpayer, she is liable to get an additional deduction of Rs 1.5 Lakhs every year against the home loan. In case the property purchased is rented out the interest on the home loan can be availed as a deduction against the net rental value. If the husband and wife have jointly purchased the property and the wife has a separate source of income, then in such a scenario both of them can claim tax deductions individually. Moreover, in case the husband already owns assets and plans to register the property under his wife’s name will reduce his wealth tax liability.
Stamp Duty: Stamp Duty is the charge payable on the sale agreement at the time of property registration. However, the discount on the stamp duty is fixed and decided by the state government that might vary from state to state ranging from 4% to 8%. For instance, the stamp duty in the National Capital Region is 7% for men while for women it is 5%.
Lower Interest Rate: The interest on home loan availed by a woman is lower depending from bank to bank. However, this difference in the interest rate might not be huge but they can make a huge difference if the loan amount is high. But this discount on home loan interest rate is only applicable when the woman is the only applicant or a co-applicant.
Additional points to remember:
With several states offering benefits and implementing schemes to empower woman property buyers. However before you plan to invest your money, it is always advisable to seek expert advice and evaluate all the points.