Home Loan



Being a property owner is a dream most of us chase throughout our lives, and if it’s a home for our families, the achievement is all the more cherished. Despite the size of the purchase, it is satisfying and often deemed a life milestone. That being said, many of us still see it as an expense that is hard to bear and manage.

However, to assist prospective homebuyers become successful homeowners, home loans are a choice funding option. Lenders extend high credit lines to eligible borrowers, letting them buy a house that doesn’t require breaking into their savings. Homebuyers can get loan sanctions that go up as high as several crores, posing no restrictions on the choice of homes due to budgetary constraints. But imagine making seeking a home loan easier for yourself – wherein you have help in repaying the loan amount, reducing your loan burden, and making the repayment process significantly more relaxed.

Let’s explore how one can do this. Most urban households today are dual-income households, where both spouses work – contributing to the expenses of running a house. Consider applying for a home loan jointly, so both you and your spouse can repay the loan through combined efforts and negate the pressure of paying monthly EMIs from just one income source.

Applying with a co-applicant has several benefits, as lenders also view joint home loan applications with leniency. This article makes a case for a joint home loan by highlighting the benefits of applying for a home with a co-applicant. Read on to learn more.

If you are in the market for a home loan, consider applying jointly with a co-applicant. Finding a co-applicant is not difficult, as one only has to be directly related to you, to be eligible. Typical co-applicants include relations such as:

• Spouses

• Parents

• Children (with certain conditions)

Looking for an eligible co-applicant is as easy as looking in the other room, as most family relations are a good match for a joint home loan. Why undertake a financial commitment all by yourself when availing of a loan together has several unmatched benefits?

Home Loan

Why Apply for a Home Loan with a Co-Applicant?

If you’re still looking for reasons to apply for a joint home loan with a co-applicant, and then the following list is for you:

  1. Expands your home loan eligibility

When you have two individuals servicing a loan, it indicates a higher repayment capacity, translating to a higher home loan eligibility. This opens up several opportunities for homebuyers, such as:

• A higher home loan budget

• A shared repayment responsibility

Higher chances of availing of a low interest home loan

The fact is that having two or more individuals co-signing a home loan assures the lender of timely repayment, as several individuals now shoulder the responsibility. Consider applying jointly to scale up and buy a bigger home.

2. Special rate concessions

This feature extends to those applying for a joint home loan with a female co-borrower. Under certain circumstances, female home loan borrowers and homeowners are eligible for special concessions and interest rates and applying with them can enable you to benefit from a lower cost of borrowing. Select Indian states also offer rebates on stamp duty for female borrowers and homeowners.

3. Home loan tax benefits for all

As you already must know, home loan borrowers are eligible for several tax concessions, but when you apply for a joint home loan, all co-applicants are equally entitled to these concessions – doubling the tax savings for all.

Under Sections 80C, 80EE and 240 (b), borrowers repaying their home loans can avail of a rebate on the following:

• The home loan principal amount they repay

• The home loan interest they repay

Apply for a Home Loan with a Co-Applicant Today

With the benefits of availing of a joint home loan so clear and undebated, you should consider applying for one at the earliest. You not only maximise your chances of securing a loan at better interest rates but also benefit from competitive lender offers such as external benchmark-linked home loans with flexible repayment tenors.


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