Women in cities
have become an important focal point for developers. Unlike the earlier
scenario where they were not just considered decision makers and producers,
Indian women today are much empowered and have become independent decision
makers in home buying matters. Along with good jobs with fantastic growth prospects -
not only in corporate India, but also in government positions in rank, women
today are an important target audience for major property developers.
Today a growing number of women believe that owning
physical assets like home makes them realize more than marriage at the right
age.
The scenario has also changed for married women. With
dual-income families as background, many women are now active financial
partners with equal say in purchasing decisions.
Shortly before this there was a distinct change in family
dynamics and their investment priorities, which were mainly gold and Fixed Deposits. Real estate now occupies an important position in their investment
portfolio.
The government and the banking system are also going the
extra mile to encourage women into standalone homework. In India, stamp duty
fees for property registration are lower in some states if it is executed in
the name of a woman. Delhi, UP, Rajasthan, Punjab and Haryana are with stamp duty exemption for women buyers. The exemption on stamp duty is up to 1-2% in
different states.
“If the property is jointly owned,
there may be additional tax benefit. Like men, women home buyers are also
eligible for tax exemption up to Rs 1.5 lakh under Section 80C of the Income
Tax Act on principal paid on housing loans, and home loans up to Rs 2 lakh
under Section 24 per annum on interest. If a property is let out on rent, full
interest is allowed on the home loan as a deduction. However, to avail this
additional tax benefit on home loans, the property has to be co-owned,” according
to experts.
In addition, many large banks in India
pay less home loan interest to women borrowers than men. The discount may vary
from 0.05% to 0.25% depending on the bank and loan amount.
Thus, women across urban India are
buying properties to diversify their investment portfolios or to have multiple
benefits for women, ranging from tax benefits to lower home loan interest rates
by some banks and in various states Stamp fees and registration fees are also
reduced.
