EMI CalculatorCalculate the EMI required to pay back your home loan
The higher your ability to pay back the loan, higher would be the amount that you would be eligible for. Similarly, the loan amount is higher for bigger tenures and lower interest rates.
Applying for a loan
Filling up the application form is the first step. The type of the application form may differ from bank to bank, but nearly 80 percent of the information they need is similar. Most of this is basically your personal and professional information, details of your financial assets and liabilities and the details of the property (if finalized) including the estimated cost and the means of financing the same.
Documents to submit
While submitting the application form, every bank asks for several documents. Most banks these days offer doorstep service, however, some banks still insist on a personal visit to their office at least once.
Proof of income
This needs to be backed up by copies of last three years' Income Tax returns (along with copies of Computation of Income/Annual accounts, if any), Form 16/Form 16A, last three months' salary slips, copies of the last six months' statements of all your active bank accounts in which your salary/business income details are reflected, etc. Other documents that you need to provide with your application form include age proof, address proof and identification proof. You may also be asked to provide your employment details.
Copy of your school leaving certificate/Driver’s license/Passport/Ration card/PAN card/Election Commission's card/etc.
Similar documents need to be provided to prove that you are actually staying at your current address.
Same as above, but with photograph. Sometimes, the same document if it contains a photograph, the current residential address and the age can be used. Your employment details If your company is not well-known, then a short summary about the nature of the company, its business lines, its main customers, its competitors, number of offices, number of employees, turnover, profit, etc may be needed. Usually, the company profile that is available on the standard website of the company is sufficient.
All the income-related documents you submit serve a specific purpose. The lending institution uses them to study your financial status.
The bank statements you submit are scrutinized for
1. Level of activity
In the case of self-employed individuals, this gives a very good clue about the extent of business activities.
2. Average bank balance
A cursory glance at the average bank balances maintained in a savings bank account speaks volumes about the spending/saving habits of any individual.
3. Cheque returns
A small charge debited by your bank in the statement indicates that a cheque issued by you was returned by your bank. Many such cheque returns can have a negative impact on your loan sanction.
4. Cheque bounces
If cheques deposited by you are returned by the issuer's bank, they will be visible in your bank statement and again, banks have specific norms as to how many such returns are acceptable in a period of one year.
5. Regular periodic payments
The existence of periodic payments to other finance companies/banks etc. indicate an existing liability and you will need to provide full details to the lender.
6. Your investments also come under the scanner.
This helps the bank to estimate your ability to pay the down payment as well as your savings habit.
PMAY Benefit of up to RS 2.67 Lacs to Buyers
In Labdhi Gardens-Neral, an applicant can avail maximum interest subsidy of up to Rs 2.67 lacs* Under PMAY (Pradhan Mantri Awas Yojana), Central government provides interest subsidy which is credited to eligible beneficiary’s loan account.
Do I get a tax benefit on the loan?
Do I get deduction on interest?
The repayment of the interest portion of the EMI is allowed as a deduction under section 24 if the purchase or construction is completed within a period of three years from the end of the year in which the loan is taken under the head "income from house property" up to Rs. 2,00,000/- for self-occupied property and full amount of interest in case of let-out property provided that loss from such let out house property does not exceed Rs.2 Lakhs.
Do I get deduction on principal repayment?
The repayment of principal amount of the loan can be claimed as a deduction under section 80C up to a maximum amount of Rs. 1.5 Lakhs.
You can also claim deduction under Section 80C towards payment made for stamp duty, registration fee and other expenses for the purpose of transferring the property in the name of the assessed. All these deductions however should not exceed the overall limit of Rs. 1.5 Lakhs. However, deduction under Section 80C is not available in respect of payment made towards the cost of any addition, alteration, renovation or repair carried out after the issue of the completion certificate.
Income from house property
According to the Indian Income Tax Act, if a person (resident or NRI) owns more than one house property, only one of them will be deemed as self-occupied. There will be no income tax on a self-occupied property.
The other one, whether rented or not, will be deemed to be given on rent and deemed rental income (based on certain valuations prescribed by the income tax rules) will be added to income. Further, TDS will be deducted on actual rental incomes earned by NRI.
Wealth tax is levied on the value of specified assets in excess of the Rs. 30,00,000. Specified assets include house property.
However, the Wealth Tax Act provides an exemption in respect of one house property. There is a specific exemption available for returning Indians in respect of investment made in house property out of money brought from outside India or from balances held in NRE accounts as on date of return to India.
If a residential property is held by the seller for more than 36 months, it is considered a long-term investment or else short term. Long Term Capital Gain shall be computed by considering indexed cost of acquisition.
NRIs are entitled to claim exemption from capital gain’s tax if they reinvest in specified assets as per Income Tax Act
This is where we answer the most common
questions prospective customers might have
What is Carpet Area?
As per Real Estate (Regulation and Development) Act, 2016, “Carpet Area” means the net usable floor area of an apartment, excluding the area covered by the external walls, areas under service shafts, exclusive balcony or veranda area and exclusive open terrace area, but includes the area covered by the internal partition walls of the apartment.
Why is it considered necessary to register Agreement for Sale? What is the purpose of registration?
The Registration Act, 1908, the Transfer of Property Act, 1882 and the Real Estate (Regulation and Development) Act, 2016 mandates the registration of an agreement for sale of an immovable property. By registering the agreement for sale of an immovable property, it becomes a permanent public record. Further, a person is considered as the legal owner of an immovable property only after he gets such property registered in his name.
The first step towards buying a property starts from being able to identify the one that suits your needs and fits your budget. With best rates and best quality homes, Godrej Properties offers you a perfect home. However, it is important to select the property depending on the following criteria:
|Location of Project||Where is the Project located?|
|Developer||Does the Developer have a good reputation in the market?|
|RERA Registration||In case of new and ongoing projects, whether the project has obtained RERA registration|
|Title||All buyers should examine the Developer’s title to the land on which the Project is being constructed.|
|Approvals||Whether all approvals are in place with respect to the Project|
|Residential/Commercial||Whether the Project is a residential or commercial, or comprises of both?|
|Amenities||What are the amenities that the Developer is offering in the Project?|
|Under construction/ completed Project||Whether the Project is an under construction or a ready possession Project?|
|Encumbrances/Litigation||Whether there are any encumbrances/ litigation with respect to land on which the Project is being constructed?|
|Connectivity from the location of the Project||How far is your office from the desired location? Where is the nearest market, school? Are buses/trains easily available from the location? Are Hospital/ Medical services available easily from the location?|
|Carpet Area, Type of Flat/Apartment/Units||What is the Carpet Area of the Flat/ Apartment/Unit? What are the types of Flats/ Apartments/Units available in the Project?|
|Payment Plans/ Schemes||What is the Payment Plan for the sale consideration towards the Flat/Apartment/Unit? What are payment schemes offered by the Developer? Which banks are associated with the Project?|
|Affordability||Does the Flat/Apartment/Unit fit in your budget?|
|Possession Date||In case of ongoing/ new projects, when will the possession of the Flat/Apartment/Unit be given by the Developer?|
|Availability of water and electricity||Is there a steady supply of both?|
|Society expenses||Is the monthly outgo on the society and maintenance a strain on your budget?|
|Security||Are the security systems in place like a professional guard or electronic systems?|
|Parking||Is parking facility available in the Project?|