Advantages for woman home loan applicants

If you live in India right now or are an Indian citizen, then let us tell you that there couldn’t be a better time for you to invest in property in this country. The real estate market is rife right now and with all the cash inflow that the banks saw during the PM’s demonetisation drive, they have decided to slash interest rates significantly on home loans. But if you’re a woman seeking a home loan in this country then you’ve got an added advantage. There are a lot of schemes and subsidies exclusively available to women seeking home loans. Here are the benefits that women receive on applying for a housing loan.

1.      Lower Interest Rates: Home Loan Interest rates are a huge deciding factor when it comes to choosing a home loan provider. People usually choose their loan provider on the basis of who’s offering them the lowest interest rates. Since a housing loan is a huge amount, even a slight variation in interest rates can make a huge difference. Woman applicants usually get lower interest rates or interest subsidies on their home loans. But these are applicable only when the woman is the sole or primary applicant for the home loan.

2.      Lower Stamp Duty Rates: The stamp duty rates for new property are decide by the state government and differ from state to state. In many states the stamp duty for women is lower than that for men. Women usually receive a concession of one or two percent on stamp duty while purchasing property. This makes a huge difference to loan amount borrowed. For example, it could mean a straight price cut of Rs. 2 lacs for a house that costs Rs. 1 crore.

3.      Higher Approval Chances: Women who are primary applicants for a housing loan are more likely to get their loan sanctioned than men. This does not mean that a bank or NBFC will overlook their other criteria for women. They will still study their eligibility and credit score, but it is a common perception that women are more likely to repay their loan on time and are more reliable and hence their applications are more likely to get approved than those of men.

4.      Special Schemes: Like banks offer special account facilities for women, they also offer special schemes when a woman is the sole or primary applicant for the home loan. In addition to these some developers and builders also provide certain time bound financial schemes for women to encourage them to invest in property. 

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