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.
DO I GET DEDUCTION ON STAMP DUTY PAYMENT?
In tax benefit Stamp duty and registration fee qualify as deductibles under section 80C of the Income-tax Act, 1961, up to a limit of Rs1. 5 lakh. This is one time benefit to client and we can mention this.
Disclaimer The information provided herein is just for reference purpose collected from various sources. Windsor Shelters shall not be responsible for any changes in policies.
WHAT ARE THE TAXES THAT I NEED TO PAY BEFORE BUYING A PROPERTY?
The buyer needs to pay the following taxes:
CAN I REPAY THE LOAN AHEAD OF SCHEDULE?
Yes you can repay the loan amount ahead of schedule to the lender as per their terms and condition, and it is necessary to get this terms mention in your loan borrowing agreement, as further there will be no confusion regarding the extra charges .
CAN I SELL THE PROPERTY, EVEN WHEN THE HOME LOAN IS OUTSTANDING?
Yes, you can sell the property with the consent of the banking institution. If the buyer is also taking loan in this case if he / she is borrowing from same bank then after completing the complete process the, bank clears the 1st party balance loan amount and releases the documents of the 1st party and then the balance amount paid to the seller .
If the buyer wants to make a payment outright, he can make it to the bank directly. The property papers will be released only after the bank has recovered the entire loan amount.