Do you know anything about Joint Home Loan with wife Benefits? Today, the majority of individuals obtain a mortgage to purchase a home. If you obtain this loan with your wife, you can save a significant amount of money. The primary benefit is that you can save taxes up to Rs 7 lakh, in addition to various other advantages. Understand the advantages of applying for a joint home loan alongside your spouse.
Obtain a loan effortlessly
Frequently, individuals struggle to obtain a loan because of insufficient credit scores, low earnings, or various debts and fluctuations in income ratios. In this scenario, a shared home loan is beneficial. In this case, the qualification for obtaining a loan improves by including an additional individual as an applicant. If the other party’s ability to repay the joint loan is strong, then obtaining the loan is straightforward. Nonetheless, this guideline is relevant for all kinds of joint loans, regardless of whether they are taken with a female applicant or a male applicant.
Including your wife as a co-applicant for a joint home loan can result in a slightly lower loan cost. If the loan costs less, it will also influence your EMI. Typically, lenders provide a separate home loan interest rate for any female co-applicant. This rate is approximately 0.05 percent (5 basis points) lower than the rate. To benefit from this, the woman must personally own the property or share ownership.
Loan limit will increase
The loan is given to a single loan applicant according to his income. But the total income of both is seen in the joint loan. In such a situation, the limit of the loan amount increases. But keep in mind that the debt-to-income ratio of you and your co-applicant should not exceed 50 to 60 percent.
you can save up to Rs 7 lakh in tax
The biggest benefit of taking a joint home loan with your spouse is that you take income tax. On applying for a joint home loan, both the borrowers can take advantage of different income tax benefits. But this benefit will be available only when both are the owners of the property along with the applicant. If you take a joint home loan with your wife, you will get double the benefit in tax. On the principal amount, both of you can claim Rs 1.5-1.5 lakh i.e. a total of Rs 3 lakh under 80C.
At the same time, both of them can take a tax benefit of Rs 2-2 lakh on interest under Section 24. In this way, you can get the benefit of tax up to Rs 7 lakh in total. However, it will also depend on how much your home loan is. Both husband and wife will be equally responsible for taking a joint home loan. In such a situation, if the EMI is paid on time, it helps in improving the credit score of both. Apart from this, when both partners pay EMI together, there is no full burden on any one person.
