Pros and Cons of Co-applicant in home loan
by Finway FSC Empowering People FinanciallyWith the real estate price soaring high, home
loans have become indispensable. If you are looking to buy a property, it is
supremely vital that you have some savings that will go as a down payment. In
today's times, if you get a joint home loan, the liability to pay off the loan
falls equally on both the parties is a boon. Any loan
against property,
if taken, must have sound paperwork. If you are planning
to take a home loan with a Co-applicant, then certainly you are going to
benefit from that.
Higher Loan Ability:
If aiming at a big house then a joint home
loan would fetch you wonderful results. Having an earning co-applicant, the
ability to take the bigger amount of loan enhances, leading to fulfilling
dreams of buying a massive property. In this, both the parties are eligible for
the loan and the synergy of which brings more loan.
Tax benefits:
Although home loans in Delhi any
way have lots of tax benefits, they become manifold if the loan is joint. The
tax deductions are collective and hence, the owners of the home enjoy the
benefits. There are variations in the tax benefits if the property for which
the loan is taken is rented out.
Women as your joint applicant:
If you have a woman as your joint home loan
partner, you can enjoy the benefits a woman gets on loans. The women borrower
enjoys relatively lesser home loan interest rate than the usual. In this case,
the woman applying for the loan with you must also have a share in the
property. She must either own it solely or must be a joint owner of the
property.
Like the coin has two sides, there are
certain situations when the joint home loan must be avoided.
· if your eligibility has sufficiently met the
loan requirement, then you must avoid taking a joint home loan.
· In the case, you already have a loan that
exhausts your loan limit, then avoiding joint home loan is the best decision
you can take.
· Your credit score has been hit and is low
would also ruin the credit history of the co-applicant, so in such case, avoid
the joint home loan.
· You wish to buy one property now and have
plans to buy bigger property in near future, then a joint home loan should be
avoided so as to avoid exhausting the limit.
Sponsor Ads
Created on Aug 28th 2019 23:08. Viewed 322 times.