Saturday, October 23, 2010

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Home Loans Suggestions
by Harsh Vardhan Roongta
My husband and I have taken a joint home loan in June 2008 for an under-construction house. We got possession of the house in September 2010. We have been paying pre-EMI so far. We stay in a rented accommodation and plan to shift to the new house in April 2011. For the current financial year 2010-2011, can we claim tax benefits on the pre-EMI amount in addition to the tax benefit on rent paid?
-Samarth Shah You can claim full tax deduction benefits in respect of interest paid during the year in which you take the possession of the under-construction property. Therefore, in your case the entire interest payable for the financial year ended March 31, 2011 (including the interest payable from April 2010 till the date of handover of possession in September 2010) is fully deductible under Section 24. In addition to the interest paid during the financial year 2010-2011, you can claim 1/5th of the pre EMI interest paid/payable till March 31, 2010. You can claim HRA provided you have actually paid rent.
Claim of HRA is not linked with tax benefits on home loan.
We would suggest that you take the new house in a livable condition and actually stay there for a few days before March 31, 2011. This will ensure it is treated as a self-occupied property and the annual value is taken as nil.
I had taken a home loan four years ago for 20 years. Now I want to transfer the loan to my brother. 1. Do I need to make a new agreement to transfer the home loan. 2. Will it be wise to transfer the loan or gift it to him (If possible)
Sharad Das You cannot `gift a loan' or `transfer a loan'. You will need to pay off your existing loan fully and your brother will need to purchase the property and get a new loan on it. You can sell the property to your brother, but change of ownership will have stamp-duty implications. It is possible that your existing bank may agree to provide the loan to your brother based on his income documents and he can use this loan to pay you off which in turn can be used by you to pay off your loan to the bank. Please note that if you transfer your house within five years, the income tax benefits availed by you, in respect of principal repayment allowed to you under Section 80 C will be treated as your income of the year in which you transfer your property. Can I change my EMI after paying some installments?
Rahanna Khan You can change your EMI provided the lender agrees to these changes in your installment pattern.
How is the pre-EMI calculated?
Shikha Sood Pre-EMI is just the interest portion of the loan calculated on the loan amount disbursed and does not have any principal component of the loan. Pre-EMI interest is paid for a loan taken for an under-construction property.
Harsh Roongta is CEO, Apna Paisa. He can be reached at ceo@apnapaisa.com
Courtesy HT Estates Dtd:- 16/10/2010
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What's the biggest IT security worry for your business and how are you addressing it? RENT-OUT AND MAKE PROPERTY WORTH THE INVESTMENT<br/> Some factors that help you rent out your property<br/> The ideal way to make use of your property is to rent it out. Renting out enables you to earn a regular income, and at the same time helps you pay off your home loan comfortably. You can also think of investing in a second home while you get rental returns from your first home. However, you can make the rental income worthwhile by keeping in mind these factors before renting out your property:<br/> Location<br/> The location of your property can make or mar the chances of getting a good rent. Location is the most significant factor that tenants look for while they scout for homes. Proximity to the workplace, children&#39;s school, medical facilities and shopping centres are often the essentials that tenants look out for. So having a home in areas close to the IT belt in the city, and with connectivity to the ring road and other major roads, will be an added advantage for you. This enables you to command a higher rental.<br/> Spread the word<br/> It makes sense to advertise. When it comes to the text in your advertisement, make sure you capture the reader&#39;s attention by making your rent competitive, give details of the size and quality of accommodation, and its location. Use the three best assets of the property in the first sentence of your advertisement. Also, use the &lt; a href=&quot; <a href="http://www.zameen-zaidad.com/ASK_FOR_FLAT_RENT.aspx%22>real">http://www.zameen-zaidad.com/ASK_FOR_FLAT_RENT.aspx&quot;&gt;real</a> estate agents to spread the word about the availability of the property for rent.<br/> Once the house has been straightened out, develop a list describing what makes the house appealing. Take note of those commonly desirable features<br/> such air conditioning and<br/> garage. Use rental terms to help &#39;sell&#39; the property. Words and adjectives that really help you get a tenant include &#39;state-of-the-art&#39;, &#39;stainless steel appliances&#39;, &#39;vaulted ceilings&#39;, &#39;marble floors&#39;. Be sure to use any and all of the terms that apply to your home.<br/> Arrive at rent<br/> Fix the rent by learning what other rental properties are going for in your neighbourhood. Remember, potential tenants will be scouting around for deals, so set the rent at a competitive price and make sure you highlight all the &lt; a href=&quot; <a href="http://www.zameen-zaidad.com/ASK_FOR_FLAT_RENT.aspx%22>most">http://www.zameen-zaidad.com/ASK_FOR_FLAT_RENT.aspx&quot;&gt;most</a> valuable aspects of your home.<br/> Furnishing and amenities<br/> Better and fairly well-maintained buildings would fetch a better rent. Also, if your apartment has a range of recreational facilities available, tenants with families would be looking at such facilities to rent. Properties with a good range of amenities provided are popular, affecting the rental value of an apartment.<br/> The condition and the internal maintenance of an apartment, including the choice of furnishings, would again play an important role in determining the rentals for the property. The layout of the premises in terms of optimum space use in an efficient manner, terrace or a balcony, availability of maid&#39;s room and toilet help the premises score. The level and storey of the apartment, unobstructed view from the apartment, vehicle parking spaces available, and security features, recreational facilities like a swimming pool, gymnasium, children&#39;s play area would also play an important role in determining the rental value of the premises.<br/> Screen tenants<br/> You need to be able to depend on this person not only to pay the rent on time, but also to keep your home in good condition. To know more about your tenant, consider references from previous landlords, banks and employers. Ask the tenant for his company photo ID card to make sure he is still employed there.<br/> Lease agreement<br/> Once you and the tenant have agreed on the rent, a security deposit, a term and have settled the details, make sure that you have a good lease agreement. This lease agreement should be made on a stamp paper and should encompass all the terms and conditions between you and the tenant.<br/> It is better to periodically evaluate the rent and extend the lease on mutual agreement to avoid complications and legal hassles.<br/> Courtesy:- times property dtd: 09/10/2010<br/> <br/>
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RAVI CHAUHAN

Hi I am Ravi Chauhan I am working in (Bhardwaj Buildtech Pvt Ltd) Company in Delh To Visit for more information http://www.zameen-zaidad.com & http://www.propertycafeteria.com/main.aspx

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