Increasing the loan eligibility:
The simplest way to enhance loan eligibility is by clubbing incomes of your spouse, father, mother or son. Joint loans enhance loan eligibility.
Before you apply for a home loan, repay all other outstanding loans. This way you can afford to keep a sufficient portion of your salary towards repaying your home loan debt. Clearing other debts like personal loans or simply deferring them will make you eligible for a greater loan amount.
Finally, opt for a longer tenure. This reduces your EMI burden and makes you eligible for a bigger loan amount.
Step -up repayment facility:
It is a facility that enhances the eligibility of a borrower without increasing the EMI. It is structured to consider a notional increase in income and offers options of a graded increase in EMI over the tenure of the loan. This is best-suited for young professionals.
Capital Gain:
Capital gain is the profit earned when the sale value of a property exceeds the cost of purchase. It can be of two – types- short term and long term. If a homeowner decides to sell his house within 36 months from the date of purchase, he has to pay short-term capital gains tax. Short term capital gains are added to the total taxable income of the individual. Consequently, it is taxed according to the relevant tax slab.
Long term capital gains are taxed at a flat rate of 20 percent.
Sale of immovable property:
Sale is a transfer of ownership in exchange for a price. Such a transfer can be made only by a registered instrument. Delivery of property is made when the seller places the buyer in possession of the property. Thus, delivery of property can be only by handing over actual possession to the buyer or to a person authorised by him.
Charge:
Where the property of one person is made security for payment of money to another and the transaction does not amount to a mortgage, the latter person is said to have a charge on the property. This can be by the actions of parties or by operation of law. The provisions of simple mortgage will apply to such charge.
Lease of property:
A lease of property is the transfer of the right to use the property, made for a certain time, express or implied, or in perpetuity. Such transfer of right should be in consideration of a price paid to the transferor by the transferee, who accepts the transfer on the terms offered. Lease of property from year to year or for any term exceeding one year can be made only by a registered instrument.
See Also : personal loan calculator