The savings you make for loans below 15 lacs above 15 lacs higher the amount max you save is 1.5 lacs on first house. Any interest you pay above is coming from your pocket.
On second home you get full deduction on interest but minus rent received.
So going for higher loan on second property is better more profitable.
But another even better option than paying high interest and losing money, its better to get loans at lower interest from some of NBFC and private financial institutions that have access to lower cost funds and can give lower interest loans. You get same benefits but with lower interest outgo.
Re: Another Myth Nobody talks about.
by Almighty on Mar 21, 2010 12:22 PM
I changed from my banks interest rate of 11.5% to 8.25% from a private Finance Corp using one of my contacts, saving over 12.6 lacs over the next 15 years of the loan tenure. I can now save and invest this amount to earn more or repay the loan 30% faster than before. why work longer to make the bank richer at your cost ?
If interested in saving money with lower interest u too can contact rohit (0) 99 -80-80-7164
interest repayment on first house is 50K, one second house is 1.8L...Both houses in different cities while i work in city different from these two... will i be eligible for deduction on both houses... what is the minimum rental income that need to be shown??where i can get these for pune and nagpur
Re: Home Loan
by RAGHVAN NATRAJAN on Mar 18, 2010 01:49 PM
This is reg. query of Mr K K Parnami, Jaipur. Exps. on Registration of House property is allowed u/s 80c suject to overall limit of Rs. 1 Lakh
Re: Re: Home Loan
by Mahesh Kasanagottu on Mar 18, 2010 02:32 PM
I have two properties (i.e. flats) and both of them are rented out. I am claiming interest deduction on both the houses. Is this fine? I am showing rental income from both the properties. I myself stay in a Rented house.
Re: Re: Home Loan
by SG on Mar 18, 2010 11:46 AM
are you sure? I thought you can deduct interest (pre EMI) only even if you dont get the possession. But after getting possession you can deduct both principle and Int, both. Now I'm not sure after readuing your post.
Re: Re: Re: Home Loan
by Eyokesh S on Mar 18, 2010 12:16 PM
You can add the Pre emi for the financial year when you get the flat possession. i.e., If u get the Flat by Dec '11, then from Mar '11 to Dec '11 Pre emi can be claimed along with ur emi.
Re: Re: Re: Re: Home Loan
by satya swaroop on Mar 18, 2010 01:13 PM
Yes you can do like that ie, claiming the benefit for full financial year even though you are getting possession in December. But you cannot claim the benefit unless the possession of flat is given to uou.