There has been a lot of debate about buying versus renting a home in recent times, especially given the rise in property prices. While buying a home allows you to own an asset, renting it leaves more to chance and doesn’t allow you to fall back upon property as security. While as a salaried professional, the HRA component in your pay will help you put an amount towards monthly rent, buying a home allows you to claim tax exemptions basis your home loan. Having a home of your own has its own advantages even if you don’t choose to live in it.
You can save on costly rent and have a high-value asset to your credit
Property rates in Pune, Bengaluru, Mumbai, and other cities that attract commercial development are on a rise. So, instead of renting out an expensive home in these areas, it will be beneficial for you to have a property of your own. This will not only give you an asset that belongs to you, but also allow you to save more via budget-friendly EMIs, which you can consider similar to your monthly rent. With EMI obligations to your credit, you are likely to reduce unnecessary expenses, and this will make your financial standing more secure. With a home loan, courtesy regular EMI repayments, you will be able to develop a good credit history, which in turn will give you a high credit score. This will further help you secure urgent loans and credit with ease in the future.
You can benefit from tax exemptionsA homedoes not only help you buy a home, but also allows you to claim an array of significant tax exemptions. Irrespective of the other investments you have, a home loan allows you to claim maximum deductions for years to come. This can go up to 20 years, thanks to the lengthy home loan tenor you can now get from lenders. You can claim up to Rs.1.5 lakh basis principal repayment under Section 80C of the Income Tax Act and claim up to Rs.2 lakh basis interest repayment under Section 24 of the Income Tax Act. This means that owing to the income tax exemptions you can save more money over time.
You can enjoy higher property valuation and revamp to your specifications
Buying a house in a viable location or a city that is attracting infrastructural and economic development will allow you to yield higher resale returns over time. When you choose to buy a home in developments like 7 Plumeria Drive or Kalpataru Jade in Pune, the attached amenities and connectivity are likely to benefit you and fetch more value if and when you decide to sell. Even if you buy a home in developing areas, which are growing at a slower pace, your home loan EMIs are almost equal to the rent, which makes buying better than renting. Additionally, you can make home improvements and add a wing or break a wall to suit your family and requirements when you are a homeowner as opposed to when you rent a property and need your landlord’s approval.
Now that you understand how buying a property will help you save more in the time to come, you can sign on the dotted line right now to buy yourself a property of your choice. You can avail up to Rs.3.5 crore for home financing via Home Loan by Bajaj Housing Finance Limited. When you choose this option to buy a home, you can also benefit from property search services, in-person assistance for site visits and documentation assistance to become a homeowner stress-free. To apply with a customised deal, check your pre-approved offer right away and apply for a home loan instantly.