How to Structure a Home Loan?

The loan amount is already decided. You do not control the interest rate. The only aspects where you have discretion are: Loan Tenure Pre-EMI or Full EMI Regular home loan scheme OR Home-saver loans (such as SBI Maxgain) #1 Choosing the Loan Tenure We have this tendency to close the home loans as soon as… Continue Reading

3 Benefits for Women Home Buyers in India

Asset ownership is one of the ways of women empowerment. Thus, the Government tries to incentivise women house ownership. In this post, let’s look at 3 benefits available to women home buyers in India. #1 Banks Offer Lower Interest Rates to Women The lenders usually offer lower interest rates to women borrowers. For instance, State… Continue Reading

Do Not Wait Endlessly for Property Prices to Come Down

As the interest rates fall, the difference between the house rent and the home loan keeps coming down. Let us say you pay a monthly rent of Rs 20,000. Following are the EMIs for 20-year home loans for different loan amounts and loan tenures. Loan Principal 50,00,000 75,00,000 1,00,00,000 Loan Tenure 20 years Interest Rate… Continue Reading

Should You Buy a Second House Using Home Loan?

Real estate is expensive in India, at least in major cities. It is difficult to purchase a house without a loan. And it takes many years to repay the loan. Despite all this difficulty, the desire for house does not end here. For the fortunate few who have been able to purchase their first house,… Continue Reading

Budget 2019 Highlights

Income Tax Slabs Remain Unchanged Taxable Income Age < 60 years Taxable Income Senior Citizen (60 <= Age < 80 years) Taxable Income Very Senior Citizen (Age >= 80 years) Rs 2.5 lacs – Rs 5 lacs 5% Rs 3 lacs – Rs 5 lacs 5% Rs 5 lacs – 10 lacs 20% Rs 5… Continue Reading

What Is the Ideal Age to Take a Home Loan?

Most of us don’t have the luxury to purchase a house without a home loan. So, if you plan to purchase a house, you have to take a home loan at some point during your working years. A question that may cross your mind, “What is the ideal age to take a home loan?” Should… Continue Reading

Should You Opt for a Reverse Mortgage Loan?

A Reverse Mortgage Loan (RML) can provide a useful income stream for senior citizens during their retirement. You can monetize your residential property and generate income while continuing to retain the ownership so long as you are alive. I have discussed Reverse Mortgage loans in detail in another post. In this post, I will look… Continue Reading