Home loan on gifted property
Rohan Varekar
(Querist) 17 January 2013
This query is : Resolved
Hi,
My uncle's want to gift the Flat to me situated in Parel , Mumbai. Can i apply for home loan on gift deed? or is it possible to rather than making gift deed i will make proper sell agreement and then apply for home loan?
ajay sethi
(Expert) 17 January 2013
once gift deed is executed by your uncle you are the absolute onwer of property . you can take loan aginst said prroperty
Rohan Varekar
(Querist) 17 January 2013
loan against property will be a mortgage loan right. this will give me less time and more interest rate to payout. where as Home laon will give me less interest rate and time to payout. which will be better?
ajay sethi
(Expert) 17 January 2013
you are right on loan against proprty interest rate is higher by 1 to 2 basis points .
for hom loans rate of interest is lower .
please note that for gift deed stamp duty is lower around 2%. for sale deed stamp duty charges are higher .
Anirudh
(Expert) 17 January 2013
Further if it is sale, then your uncle will have to pay capital gains tax as well!
Rohan Varekar
(Querist) 17 January 2013
Thanks to all, Means while i will check with bank also whether they willing to offer me home-loan on gifted property or do we need to make it as sell property.
Thanks once again.
ajay sethi
(Expert) 17 January 2013
to bank it dosent make a differnce . it just wants to earn interest . you have to decide
Raj Kumar Makkad
(Expert) 18 January 2013
No more to add in the long discussion.
Guest
(Expert) 18 January 2013
How you can justify home loan on already completed flat? So, your question is incomplete in the absence of the statement whether you want home loan for addition, alteration, or reconstruction of that property. If not for any of these purposes, no application for loan in the name of home loan can be entertained by the bank.
However, loan for any other purposes against mortgage of property can be taken on a gifted property, as you would have become the absolute owner of that property by virtue of gift to you. Home loan can however be possible for the purchase of that property from your uncle.
