The purchase of homes is a difficult task for every individual as it requires an individual to put a huge amount of money from the past savings to be invested in the property. The ownership of the properties in India is mostly male-dominated, as very few women in India own the property in their names. The property ownership is set to increase as many working women in India reach the very senior position in the organizations and earn hefty salaries. Women constitute around 30% of the working population in India. Thus the representation of women in the workforce is very low. The enterprises started by the women are also very few as the representation of women in businesses is also very little. Slowly and steadily, things are improving as the representation of women in every sector is increasing. Home loans are also available for women at concessional rates. The PMAY scheme being launched by India’s government also aims to increase the ownership of women in the case of properties. In the case of inheritance of the properties, the women hoard an equal share in the ownership.
The banks are always keen to extend the loans to the women borrowers as mostly the women are regarded as the honest credit payers in the society. Thus the cases of default are very less amongst women. Also, women can avail of tax benefits under the income tax act 80C of Rs.2 lakh beyond the tax slab exemption of Rs.2.5 lakh. Also, on the interest rates, a 0.50% rebate is given to the women borrowers as the banks want to target the untapped potential amongst the women lenders. The women mostly target the smaller expenses like jewelry, merchandise, footwear, electronic goods.ETC. While the women do not tend to buy costly things like cars, property.ETC. The scenario is changing day by day as the working women population is increasing. The registration & stamp duty charges are also charged lower by the government for the properties owned by the women. Thus, from the government’s and the bank’s sides, there is enough discount given to the women to make the proposal attractive for the women to buy the properties. Any individual’s ownership of the property gives a sense of pride amongst the people and brings safety and security to an individual.
Tips for the working women in case of home loans:
- Maintain a healthy credit score
In the case of a woman buying a house before she can check the credit score on the CIBIL website or any third-party website. Payment of credit card bills on the or else repayment of any personal loans on time can help an individual gain a better credit score, making it easy for the women to avail loans easily.
- Assess the financial health before planning to take loans
The woman should assess her financial health by evaluating the total savings in the bank account, evaluating the loan eligibility through the EMI calculator, and checking for the value of investments done in stocks and mutual funds.
- Avail the benefit of the government schemes
For first-time home-buyers, the PMAY [Pradhan Mantri Awas Yojana] is a better scheme for women to avail a subsidy on home loans up to Rs.2.67 lakh. Also, there is a rebate offered by most state governments towards the flats purchased by women.
- Maintain maximum savings in a bank account
The women flat buyers should maintain sufficient bank balances for the repayment of loans. Banks consider such borrowers as financially stable borrowers who maintain sufficiently high bank balances in their bank account. Thus by maintaining a healthy bank balance, the individual women can avail loans easily by the borrowers.
Thus, the women working class should think about investing in properties as there are many attractive schemes available from the state government and the banks to increase the ownership of the flats in women’s name. Also, the ownership can be done jointly in case of the borrower for the loans to enhance the eligibility of the loans by adding a co-owner amongst the family. The PMAY scheme strives hard to increase the ownership of the loans to women amongst the flat buyers.