Benefits For Women Home Loan Applicants
It has been well said, “Behind every successful man, there is a woman“. Well, it’s appropriate when you are applying for housing finance and you have the additional income support of a women applicant along with you. Women are termed as the homemakers in Indian society.
Keeping in mind their capability and let them empower, most lenders have made it easier for women to apply for a housing loan and offer additional benefits while buying their new homes.
The step has been initiated to offer more women independence and confidence in the financial matters to a larger extent. Thus, it makes the process of home buying rather simple and easier for women alongside leading them to a financially secured future. So let’s discuss some of the benefits you can derive from banks and non-banking finance companies on a home loan if you’re a women applicant.
**Concession on Interest Rates: **
Most of the banks and non-banking finance companies give women a concession of around 0.5% to 0.7% on the interest rates while applying for housing finance. Experts opine that women are more disciplined in terms of paying dues and are less likely to default as compared to men.
Thus, the concession on the interest rate is for their more viability towards repayment and also due to the social cause to make them financially secure and independent. Therefore there is always a welcome for women applicants along with concession by lenders. It helps to reduce the monthly installment and thus could prove beneficial for women.
Stamp Duty Registration
Stamp duty for home registration is also given at concessional rates for women across many states. This step has increased the number of women applicants for a housing loan. The stamp duty charges would be 1-2% lower compared to male applicants. Although, it seems just a percent or two, however, it can help you save thousands of rupees in the long run. You can contribute your savings towards your monthly installment.
It’s obvious that women will also get tax benefits from their home loan. It helps them in effective tax savings and reduces their taxable income up to Rs 3.5 lakhs through home loan repayments. They can get a maximum of around 1.5 lakhs as tax rebate towards the interest paid on a home loan.
Women tend to get loan approval easily as compared to male counterparts. This is because findings show most women hold a good credit and therefore, with a good credit score in hand and all the required documents lined up; a woman applicant can easily get her housing loan approved on time.
Experts say if women are holding exceptionally good credit score then you should have as the first applicant or a co-applicant because it will increase your chances of getting your loan approved rather higher.
Most lenders are keen on offering full support to women individual especially working class and independent women to buy their own house and secure their future. Through concession, tax rebate and quicker home loan approvals because of their viability to make payments on time lenders have helped them financially and contribute to increasing their social status as well.