Is budget 2024 affecting home loan?

“Bridging Dreams: Navigating Expectations in the Budget – A Tale of Home Loan Hopes”

Every year there comes a time when the eyes of the entire country are fixed on the government, this is the time when everyone, rich and poor, It is expected that the government will give them some gift this time, this is an election year and on 1st February. The government had presented only an interim budget, in such a situation, after the election of the new government, the full budget will be brought in July or August, but it is believed that It is also being said that since this is an election year, the government can give some big gifts to the common people.

Budgeting Dreams: Navigating Home Loan Hopes Amid Economic Challenges

From here, everyone from businessmen to the common people is bursting with hopes that something amazing will happen this time. How the government can give big concession on home loan in the budget that means at least people’s expectation is about this home loan.

What has actually happened is that in the last one and a half to two years, high inflation has spoiled the entire budget of the people, making it difficult for people to meet their normal household expenses. Problems are also coming, in fact, since 2020, i.e. since the time of Covid, people’s earnings and jobs have been in trouble. In such a situation, for those who have taken a home loan, even paying its EMI is difficult. It is becoming a cause of trouble.

Navigating Home Loan Benefits in the Budget

Well, the story starts from here whether the government can give a big gift of increasing the tax exemption on home loan in this budget. Under the Income Tax Act 1961, some benefits are given to home loan takers; these include interest paid on home loan and principal amount. There is a provision of tax exemption on the principal amount. Its purpose is that a common man can buy a house and the burden of interest and principal amount does not remain heavy on his pocket, that is, the government provides relief in both these issues through tax exemption.

Advocating for Enhanced Home Loan Deductions

Provides deduction of up to ₹ lakh on interest paid on home loan. Till 2014, this deduction will be only Rs. 1. It used to be ₹ 5 lakh, Now 10 years have passed since this increase and there has been a huge increase in inflation during this period, hence people’s hope is that the interest will increase. But the government can further increase this exemption to at least ₹ lakh. This will benefit every type of home buyer, whether he is buying a house for his own use or is earning extra by renting it out.

Escalate Home Loan Benefits for Sectoral Growth”

Real estate sector and Banking sector will also benefit. There will be an increase in the sale of houses and there will also be an increase in the home loan book of banks. Growth will be seen and people will get additional exemption of Rs. in tax, then this money will come into people’s pockets and with this they will be able to spend more and more, their ability to spend will increase and this will benefit the economy. The hope of increasing the tax exemption on home loan interest is also gaining wings because in the last one and a half to two years, there has been a period of rising interest rates, during which people’s EMI has increased and their income has increased. Less money is being saved i.e. there is a strong argument for giving more rebate in home loan interest to home buyers in this budget.

The government is also committed to ensure that everyone has their own house. It appears that the government keeps working. In such a situation, the government may be serious about giving a big discount on the interest portion of home loan. It has to be seen that in this time’s budget. Will Finance Minister Nirmala Sitharaman ji give the benefit of this exemption to lakhs of home wires of the country or not? Will we wait for the date of the budget?