Tax Benefits of Real Estate Investment For Women In India

Real estate investment has been an investment opportunity for men. Although nothing stopped women from buying real estate, it wasn’t prevalent to see a woman buy a home maybe 10-20 years ago. But thanks to some path-breakers, women have not just bought their own homes but are thriving in the real estate investment segment.

According to a survey, 66% of women in India prefer real estate as an investment over fixed deposits and gold, as Millennials and GenZ women are all about taking risks and exploring opportunities. The Government of India has also introduced several tax benefits for women taking up property ownership to encourage them to invest in

real estate. Regarding investments, Alembic Kiara is one of the top apartments in Vadodara and is a safe choice for real estate investors as it comes with many features.

Below are the tax benefits of real estate investment for women in India.

1. Direct Tax Benefits
   If a woman is a co-owner of a property with her husband, both parties get deductions on their taxable income separately under Section 80C and Section 24(B). Under section 80EE, first-time home buyers can also claim Rs 50,000 over the other claims.
2. PMAYPradhan Mantri Awas Yojana(PMAY) is a government initiative encouraging women to participate actively in real estate investment. Properties bought under this scheme must be registered in the name of at least one woman in the household. Such properties will get a concession on interest. Economically weak women who earn Rs. 3 lakhs per annum or below and Low Income Group(LIG) category women could enjoy an interest subsidy of 6.5% on housing loans of up to Rs. 6 lakhs. The best part is that any woman can benefit from the PMAY scheme, regardless of marital status.
3. Home loansMany popular banks in India offer bank loans to women at a lower interest rate than men. The home loans for women are 50-100 basis points lower than the standard rate, where 100 basis points make one percentage. For example, SBI offers home loans to women at an interest rate of 6.80%, whereas to men at 7% for a loan amount of Rs. 30 lakhs. The difference between these two might be insignificant in the long run. However, one penny saved is always better than no pennies saved.
4. Stamp DutyMany Indian states charge lower stamp duty on properties registered in a woman’s name. However, the case is different in different states. For example, in the state of Jammu, the Government waives the stamp duty on properties women buy. Similarly, the women homebuyers in Delhi need to pay only 4% of property value as stamp duty in contrast to men, who pay 6% of property value as stamp duty. All these initiatives by the Government and banks aim at bringing more women into the real estate investment game. Considering the high returns and lower risk, real estate is one of the safest investments in India in the current scenario. Alembic Kiara is a premium property on the Nizampura-Chhani Main Road in Vadodara. It is developed by the leading real estate company in Vadodara, Alembic Real Estate, making it a popular choice for investors. Empowerment of women and financial stability are two sides of the same coin. As an educated and informed woman, the best decision you can take with your hard-earned money is to invest it in a safe and viable sector like real estate. So, if you are looking for high-rise apartments in Vadodara, check out Alembic Kiara!