Every person among us aspires to purchase a home of his own at some point in life. But what would you do if you find your dream home greater than the value you can afford? This is when you may be truly in a required of availing a Joint Home Loan- a home loan taken by two or more people by clubbing their incomes together in order to raise a loan of higher value. Not only it shells out a higher loan amount but also it gives tax advantages. Home loan services in Mumbai
Higher Loan Amount
In case a single income is found insufficient to cover the loan amount, then one can bring in a co-applicant for the loan to secure a higher loan amount.
Availing Joint Home loan is beneficial from the tax point of view as well. Co-owners of a property, who apply as co-borrowers for a home loan is eligible to avail tax benefits under Section 24 and 80 of the Indian Income Tax Act.
What if there happens to be a dispute between the loan co-borrowers?
In order to avoid any dispute between the co-borrowers of a joint home loan anytime in future, one should never forget to ask the lender to state in the loan documents itself that each of the loan co-borrowers’ liability shall not exceed a certain percent of the principal amount. In case, the loan lender disagrees to include such a clause, then one can draw up an agreement with all the other co-borrowers (if any) on splitting the liability. One can put down all the terms and conditions on a stamp paper and sign it along with the loan co-borrower.Home loan services in Mumbai
What documents are required to apply for a Joint Home Loan?
Since most of the banks have different sets of requirements for documents for sanctioning a Joint Home Loan, it is really difficult to provide a complete list. A standard list of documents that almost every standard loan deal like HDFC Home Loan demands in common is:
· Income Proof
· Address Proof
· Identity Proof
· Income tax returns of both
· Bank Statements of both the applicants
· Proof of property co-ownership
· Occupation certificate from the developer
A housing loan is considered as one of the biggest liabilities a person takes in his lifetime. One must make sure that he has considered all the benefits along with the risks before availing a joint home loan with trustworthy co-borrower/s.Home loan companies in Mumbai