Women homebuyers having an edge
The biggest advantage of purchasing a property on your wife’s name does not only impress the family, being seen as a trendsetter in a patriarchal society but the main strawberry part is that you might shear off 1-2 per cent of the property value. Women buyers get discount on stamp duty by some state governments as a part of social initiative. For instance, in Delhi, if a men buys property he has to pay 6 percent of the stamp duty whereas women will pay only 4 percent.
If we look at Haryana there women needs to pay 5 percent in comparison to men paying 7 percent. The stamp duty is 6 percent if the property is brought together by male and female sharing equal percent of share.
This benefit of lesser stamp duty can also be enjoyed when the property is gifted to the spouse.
Better Economic Status of Women
This whole idea will led to better economic status of women in India with more assets in their name, which will lessen the exploitation in society. It has been seen that there is a disparity in sex ratio in some northern states. This is the ratio of male to female population, with the national average being 914:1000. Therefore, this discount was started to incentivise property buying by women.
It has been seen when a women is a co-borrower then there are higher chances for the home loan to be approved. For the loan to be repaid on time it is good if the repayment is done by two people which increases the repaying capacity. The chances of the loan getting approved are even higher when the co-applicant is a woman and she is the first applicant. The reason is that women are more responsible when it comes to repayment of loans.
According to LIC Housing Finance, there is a discipline in repayment when loans are given to women or where a woman is the first applicant. Under the Bhagya Lakshmi scheme, till March 31, the housing finance company is also offering loans to women at 25 basis points lower than the normal rates.
For a home loan application it requires to show three years of income tax returns filed, three months of salary slip and other proof of identity and residence. Sometimes we may see even if the documents are complete still bank rejects the application. This is due to their perseverance regarding repayment capability or past credit history.
Lately the State Bank of India slashed home loan rates by up to 0.4 per cent for new borrowers, a day after RBI kept its key policy rates on hold. Women borrowers will get 0.05 percent extra discounts on card rates. . For loans above Rs 75 lakh, the new rate would be 10.30 per cent where as for women borrowers it is 10.25 per cent.
As compared to SBI and LICHF, Tata Capital will offer home loans at lower rates to women borrowers.
Source: Tribune News Service
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