Are you going to buy a home for investment or other purposes? There are many of the reasons why people would want to buy a house. But they can get a lot of benefits if they just stop and take this action. Before buying any property when you register property on wife name then there are plenty of the benefits that you can get. Over time, the value of property tends to increase and even it can be a great source for passive and regular income.
Both government and banks bodies provides benefits of registering a property with a female’s name. Some of the benefits are discount on stamp duty, taxation benefits, interest discount, and PMAY. So when you are thinking to invest into a property or thinking to buy a house, you can consider this step. In order to get all these benefits, women are encouraged to invest into real estate.
Advantages of buying property on wife name
1- Lower interest rates
Interest plays a crucial while buying a home. This is the area where women gets most of the benefits. Many of the banks offer 1% of discount to women applicants. This is because banks and other lending institutions see women as responsible and dependable borrowers. There are many of the loan programs that are designed solely for women borrowers. Women can also claim their benefits of Pradhan Mantri Awas Yojana (PMAY). This program is managed by government bodies and it provides a subsidy of 6.5% for a term of 20 years.
2- Enhanced ownership rights
When you decide to buy a home under your wife’s name you are actually giving her a stronger ownership rights. This is also crucial to any mishaps such as divorce, separation. Registering the property under her name, you provide her with security and a legal claim over asset. Other than this, ownership of your wife can even lead to a harmonious relationship because both the partners will feel equally invested in the property.
3- Improved loan eligibility
There are many of the criterias based on which the home loan eligibility is decided and this also includes applicant’s income and creditworthiness. When your wife has a stable income and owns a good credit score then getting a property on her name will make you eligible for even higher loan amount.
4- Discount on stamp duty
The government offers a 2-3% discount on stamp duty if the property is registered under woman’s name. However, this discount differs from state to state. Irrespective of the fact that woman is the partial or sole owner of the property, the property will still be eligible for stamp duty discount. In Maharashtra, the government offers 5% of stamp duty rate for women and for men it’s 6%.
5- Better estate planning
As the woman gets a property under her name, it becomes her part which can be passed to her heirs. It’s easy to pass the property to heirs without the need of probation. This makes estate planning even easier because the ownership is explained clearly. This step avoids any disputes and also makes sure that the property gets passed to the intended heirs.
6- Financial Independence
One of the biggest benefits of getting a property on wife name is long term real estate investment gives her financial independence. Property ownership a great choice of investment and provides her security and stability giving her a sense of empowerment and control for their finances. This even can help them to take important financial decisions without relying on their spouse or other family members.
FAQ
- Can husband take home loan under wife’s name?
Ans- Yes if you plan to save money under the name of your wife then it’s a good option. However, you need to be joint applicant when you want to borrow money with wife’s name.
2. Can i claim property bought under my wife’s name?
Ans- It’s barred for husband to claim the property that they bought under wife’s name.
3. Should I buy property with my wife’s name?
Ans- it’s a great option to purchase a property with your wife’s name. You can avail a lot of benefits with this step.
