As more and more women are becoming financially independent and taking charge of the financial decisions at home, over the years, the number of women home loan applicants have increased significantly. And, to encourage women to apply for a loan, many financial institutions in India have launched several home loan schemes for India.
Such schemes offer special benefits to women home loan applicants, such as lower interest rate, simple eligibility requirements, etc. Also, many lenders give women the flexibility to get customised housing loan in India. Let us look at other key benefits you can enjoy if you are a woman and applying for a home loan.
Special concession on the home loan interest rate
Many lenders believe that women are more reliable borrowers than men and to encourage them to purchase assets like real estate property, they offer special concessions on home loan interest rates. Generally, the interest rate for women is a few points less than the interest offered to men for the same loan amount.
While the concession may be only 0.5%, it can have a significant impact on the overall loan cost in the long run and the interest pay out. You can save a valuable amount over the loan tenure. So, if you aspire to purchase a home, now is the good time to apply for a home loan, and make your dream come true.
Get a higher loan with simple eligibility
Apart from getting the loan at a lower interest rate, the lenders in India also allow women to borrow a higher amount. This means you can easily get the desired amount and purchase the home you want. Also, the simple eligibility criteria can make applying for a loan easy.
Longer repayment tenure
If you are looking to borrow a higher amount, you may want a longer repayment term and generally, lenders in India offer home loans for up to 30 years. This gives you the chance to lower your EMI and repay the amount easily without feeling the financial burden. Also, you need not compromise on your other goals while you pay off the loan.
Discount on the stamp duty
When buying a new home you must pay stamp duty; it is a legal charge levied by the government. The stamp duty varies from state to state and it is usually 1-3% of the property value. This means it is a significant expense that you must incur while buying a home and it can increase the overall loan cost.
However, if you are a woman buyer, you would be eligible to get a discount of 1-2% on the stamp duty than others. Also, many lenders provide home buying guide for women borrowers to help them know about the loan-related benefits they are entitled to get.
The Pradhan Mantri Awas Yojana is also a woman-friendly scheme by the government of India that is aimed at empowering women. As per the scheme mandate, any home loan borrower applying for a home loan under PMAY must compulsorily register the property in the name of a woman family member either as a primary or co-owner.
Also, under the scheme, you can get an interest subsidy up to Rs. 2.67 lakhs for all home loan borrowers.
With some many benefits available for women home loan borrowers, you can apply for a loan now and get a step closer towards making your dream of being a homeowner come true.