Vastu Tips To Set Up A Living Room

Vastu, the ancient art that is widely followed in the world of architecture, specifies the manner in particular parts of housing units must be constructed. In this article, we talk about how to build a Vastu-compliant living room.

Direction: If your house faces the north or the south direction, the living room must be constructed in the northeast direction. In a west-facing house, the right direction for building the living room is the northwest side while the southeast direction is considered apt for a south-facing unit.

Also read: Home Sutra: Vastu Tips For Keeping Construction Material

Accessories: There are various things that we place in the living room and each of these things has to be kept in a certain way to ensure better flow of energy in the area. 

  • The telephone should be kept in the southwest direction.
  • Electrical appliances such as the cooler or the air-conditioner are best placed in the west or the north corner of the room. The south-east corner is perfect for setting up the television.
  • Articles of furniture have to be placed in the south or west corners of the room. According to Vastu, the ideal shape of articles of furniture is square and rectangular.
  • North and east areas of the room are apt to place aquariums and paintings depicting water bodies.
  •  The chandelier should not be placed right at the centre. It would be more appropriate to keep it towards the west.
  •  The entry door and windows should be in the east or the north direction.

Colour scheme: The colour scheme for the living room has to be decided depending on its direction and the ruling planet of that direction. For instance, white should be the choice for a room set in the east direction, which is ruled by the Sun. However, if the room is located in the west, a direction ruled by Saturn, blue is your colour. Otherwise, light shades of yellow and green are the ideal choices for the living room. Vastu experts say red and black should be avoided in the living room.

Also read: Home Sutra: Vastu Tips For Griha Pravesh

Seating: Vastu specifies the direction facing which the members of the family should place themselves when they are in the living room. The head of the family and their spouse, for instance, is advised to sit in the southwestern corner of the living are, facing the northeast or the east. Guests should be made to sit in the southeast and the northwest direction, facing the west or the south direction.

Ways To Improve Vastu of Existing Home Without Making Architectural Changes

In today’s world, each one of us is in a race of being successful and powerful. Being fueled by positive energy and supportive house/workplace are the key ingredients of a blissful and successful life. And here, Vastu plays an important role. Scientific studies conducted in this area have proven that positive surroundings and good vibes do maximum contribution to the success of individuals. Though most people curse their stars for the discontent and unhappiness; there are other forces working towards your unsuccessful life that cause you mental stress and bad health. These forces are caused when you go against the Vastu principles.

As per Mahha Guru Gauravv Mittal, the meaning of Vastu is dwelling, which is the home for god and humans. Vastu Shastra is based on various energies that come from the atmosphere like solar energy from the sun, cosmic energy, lunar energy, thermal energy, magnetic energy, light energy, and wind energy. These energies can be balanced to enhance peace, prosperity, and success. If a house is made according to the Vastu principles, the inmates enjoy all the happiness in life but if it is against principles, it will be a place for all sorts of problems, worries, and restlessness. Vastu considered the interplay of various forces of nature involving the five elements of Earth, water, wind, fire and ether and strives to maintain equilibrium as these elements influence, guide and change the living styles of not only human beings but every living being on earth.

Also Read: Vastu Tips For New House

Do it yourself to improve Vastu

We all care about our homes and spend time, effort and money, trying to make them more comfortable. Once the house is constructed, it’s not so easy to make the structural changes. Here are some of the remedies suggested by Mahha Guru – Gauravv Mittal that you can do yourself to to remove or lessen the Vastu dosha and bring prosperity in life.

*Allow a bright light on the main door.

*Avoid keeping a television in the bedroom. Televisions and computers should ideally be placed in the southeast corner of the living room or study room and not in the northeast corner or southwest corner.

*Avoid keeping any water feature or plants in the bedroom.

*Do not use separate mattresses and bedsheet.

*Arrange the furniture to form a square or a circle or an octagon.

*Brighten the corners.

*Place a picture of a bright sunrise on the southern wall in the living room.

*Dining room should not expose to the front door of your house.

*Never put a mirror in the kitchen.

*Keep the broom and mops out of the sight in the kitchen.

*Keep the bathroom and toilet door closed as much as possible.

*Windows should open outward normally.

*Do not keep prickly cactus, or other such plants in the house.

*Place an aquarium in the northeast corner of the living room. An aquarium with nine gold fishes and one black fish, in the northeast corner/portion of the house, is very good.

*Place a happy family picture in the living room.

*Ensure there are no high trees like Banyan, Pipal, Thornytrees whose reflection falls on your house.

*There should not be obstructive houses surrounding your plot.

*The house should be airy with enough water resource.

*The toilet seat should be installed on the south or west wall.

*One should never hoard stale food, withered flowers, torn clothes, waste paper, waste materials, empty tins, old jars and useless things. These things prevent Lakshmi from entering the house.

*If the house has marble flooring, see that the old leather shoes are not lying here and there. Marble is considered to be a holy stone. If possible avoid marble in the bedroom, bathroom, and toilet. In a place of worship in the house, it is necessary to have an open atmosphere. Use marble in the Puja room. Take care that there is enough light and air.

*Since the toilet should not be near worship room; if at all its there, then it should not be used and should be kept clean always.

*Keep cleanliness. Use sea salt and Gau Mutr (Cow urine) to wipe.

*Light incense sticks daily basis in the evening in the house temple.

*When sitting for worship, keep your face towards northeast.

*Cash boxes should be kept in the south direction of the room and the door of the almirah should open towards the north.

*Telephones can be placed in the southeast or northwest corner.

*The northeast area has to be kept clean, the wellbeing of male issues is found to be precarious if not kept clean.

*One should sleep with his head pointing towards the south.

*Students should be facing east while studying, for academic excellence.

*Keep the gas in the southeast corner of the kitchen; Person should face the east while cooking.

*Drinking water should be in the northeast of the kitchen.

*The statue of Lord Hanuman should not be placed in southeast. It may be a cause of a fire hazard.

*The hinges of doors should be noiseless. The hinges may be greased periodically.

*Bed should not be put under a beam.

*Efforts should be made a leave the rooms open on the northeast side.

*Almirahs and beds should be set very close to the southwest wall and at a distance from the northeast wall.

*A house should not have paintings which depict depressing scenes, i.e. like an old woman crying, scenes of war or poverty. It should have a picture of say, a sunrise, an ocean, mountains, flowers or laughing children.

*Tall trees are nowhere recommended close to the main building. For trees, the south in itself is good and so is the west. No tree should be grown in the north and the east.

*Small decorative plants and shrubs may be grown in the north and the east. The height should not exceed, say, half a meter at the northeast increasing gradually to not more than 1.5 meters as one moves from the northeast to the northwest or to the southeast end.

*Except for rose and a few medicinal ones, all thorny plants give rise to tensions in the environment. Plants exuding white sap should also be kept off.

*Amongst the beneficial plants, the best is Tulsi. It is recommended to keep at least one Tulsi plant in the northeast area of the premises, but its height should not exceed 1.5 meters.

*Growing creepers/climbers with support on the compound wall or a house wall is best avoided.

Vastu dosha remedy by means of puja/yagya and vedic upay

*Ganesh pooja, navagrah shanti and pooja of Vastu purush.

*Navachandi Yagya, shantipath, agnihotra yagya.

*Vastu purush idol, nag or snake made of silver, copper wire, pearl, and powla. All these items to be put in a red cloth with red earth and keep that in the east direction.

*Red sand cashewnut, powla in red cloth – keep that in the west direction on Tuesday and worship it with seemed incense. This will bring peace in the house.

*Daily worship the entrance step, worship with Swastik, Shubh-Labh etc. with Rice and Kumkum.

*Rakhshoghna sukta jaap, homa and anusthan should be done.

*Recite this mantra 12,500 times – starting from Tuesday – minimum 108 times daily till 12,500 are over “Om Namo Bhagvati Vaastu Devtay Namah” – Do Dasamsa Home in the end.

*Prayers to Vaastu Purush.

*If South-West is cut or there is uneasiness in the family, do Pitrushanti, Pindadan, Nagabali, Narayan Bali etc.

*Do Rudri every Monday and every no-moon day.

*Keep photo or idol of Ganpati in the house.

*The house which is vacant since some years should be taken in use after doing Vastu Shanti. After doing Vastu Shanti – do not keep that house empty for more than three months.

Also Read: Vastu tips for placing nameplate

*Never keep underground cellar empty.

*Light a lamp every evening near the waterpot in the house.

*Do Grah Shanti every year.

*If the water boring has been dug in the wrong direction of the house or the factory, then place the picture of Panchmukhi Hanuman, facing southeast to the boring.

*If a naked wall is seen while entering into a flat, then either a picture or a statue of Lord Ganesha should be placed there or a Shree Yantra. The naked wall is a sign of loneliness.

*If high-voltage overhead wires pass over a house, then a plastic pipe filled with lime should be erected from one corner to the other of the affected area in such a manner that its both ends should remain outside by at least three feet each. This will eliminate the evil effects of energy being generated out of the overhead wire.

Have you Vastu-fied your home yet? If not, do it now and see how life becomes happy and prosperous. 

3 Ways In Which You Can Transfer Your Property

If you are looking for ways to transfer your immovable assets, you have three legal options: sale deed, gift deed and relinquishment deed. However, you can’t pick one of them randomly as each of these instruments play a specific role.

Sale deed

It is the most widely used means when we sell our property for monetary consideration. Also known as transfer deed, a sale deed has to be registered at the sub-registrar’s office, after which the property gets transferred to the new owner. The person buying the property need not be related to you.

Advantages: It is an easy and a fool-proof way to transfer a property. A registered sale deed is a proof that you have sold your property. It will help prevent forgeries and frauds as the transaction information will be in the public domain.

Limitations: The selling of property results in long and short-term capital gains.

Gift deed

Under this deed, you can gift your immoveable and moveable property without any exchange for money. To gift any immoveable property, all you have to do is to draft a deed on a stamp paper, attested by two witnesses, and register it with the registrar’s office. Section 17 of the Registration Act, 1908, mandates that transfer of an immoveable property should be registered, failing which it would become invalid. However, one can gift moveable property such as jewellery or car without any registration. The gift deed is irrevocable and the beneficiary is the rightful owner after the deed has been transferred.

Advantages: There are no tax implications if you are gifting a property to your relative. Here, a relative includes your spouse, sibling, siblings of your spouse, siblings of your parents, etc.

Outside this, a property received by an individual will be taxable if the stamp duty value of such a property received without consideration exceeds Rs 50,000.

Limitations: Although a gift deed can’t be revoked, it can be challenged in the court on the grounds of coercion or fraud.

Relinquishment deed

If you are a co-owner in a property and want to relinquish your rights in that property, relinquishment deed is the best bet. Similar to a gift deed, the transfer is irrevocable even if it’s without any exchange for money. It has to be registered and attested by two witnesses. There are no discounts or tax benefits for relatives as far as the stamp duty is concerned.

Advantages: A relinquishment deed allows seamless transfer if a property is owned jointly. It is commonly used when a person dies without leaving a will and the legal heirs end up inheriting the property.

Limitations: Tax laws put relinquishment under the head of ‘transfer’ and not gift. Hence, there are no tax benefits.

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4 Ways To Finance Your Second Home

We recently shared with you tips to buy a second home. Now, the next question that hits you is how to finance this property. MakaanIQ lists five ways in which you could do so: 

Second-home loan

You can apply for a home loan for your second home, too. However, banks are much stricter in such cases and do a proper study of your financial standing. On the other hand, banks would prefer giving you a loan if the market value of your first property is higher than the second one. In case the bank is still not convinced, you could also take the second home loan backed your investments standing. This would include shares, jewellery, mutual funds and insurance.

Top-up loan

If you don’t plan to take a separate home loan and want to add to the existing EMIs you are paying for your first mortgage, opt for a top-up loan. Applying for a top-up loan would also save you the trouble of getting into the new loan-taking process. To know more about top-up loans, read here.

Loan against property

When buying a second home, you could use your first home as an asset against which you could take a home loan. Known as a loan against property, this loan given against the current market value of your property. To know more about loan against property, read here.

Rent the first property

If you have bought a second home because it suits you better to live here, you could rent out your first property. This would help you in paying the EMIs for your second home.

Budget 2023-24: Realty Left Wanting For More Despite Tax Tweaks

Primarily aimed at benefiting the ‘hard-working middle class’, the Budget proposes to extend the benefit of standard deduction to the new tax regime as well.

Even though Finance Minister Nirmala Sitharaman ignored most of the long-standing demands of India’s real estate sector when she presented her fifth Union Budget on February 1, 2023, the FM certainly had enough for everyone in her magic bag.

Aside from increasing the basic exemption limit to Rs 7 lakh as against Rs 5 lakh under the new tax regime that would help India’s middle class save more, Sitharaman also had a slew of measures to boost affordable housing in the country. The combined effects of these two moves, say sector experts, are focused on long-term growth of the sector.

Primarily aimed at benefiting the ‘hard-working middle class’, the Budget proposes to extend the benefit of standard deduction to the new tax regime as well. It also lowered the number of tax slabs under the new tax regime from 6 to 5.

“The Budget has given more money into the hands of individuals and households which would, to a large extent, ease out the increasing pressure on account of home loan EMIs and rising home prices,” says Samantak Das, chief economist, and head of research and REIS, India, JLL.

“The government has reinforced its commitment to providing housing for all by substantially increasing the funding for the Pradhan Mantri Awas Yojana, from Rs 47,500 crore last year to Rs 79,000 crore. This extra funding will help ensure that both urban and rural homes are built quickly and up to the required standards,” says Kaushal Agarwal, Chairman, The Guardians Real Estate Advisory.

However, the government move to cap the deduction from capital gains on investment in residential houses under Sections 54 and 54F at Rs 10 crore may hamper growth for the luxury housing sector.

“So far there was no cap on deduction an individual or an HUF can take from gain arising from the sale of a house property or other investments by reinvestment in another house property. In the current Budget proposal, if the investment in new house property is more than Rs 10 crore, the deduction amount will be limited to Rs 10 crores only, explains CA Manish P Hingar, founder at Fintoo.

“It is going to impact the ultra-high-networth people as they need to pay long-term capital gain on the sale of house property with big-ticket deals, but it will not be a major setback as you can still take a deduction up to Rs. 10 crore,” he adds.

Budget 2023-24: Key Takeaways For Homebuyers

What does the Budget 2023-24 has for India’s homebuyers? Find out!

The Budget 2023-24 has several positive announcements for India’s middle class, which basically account for the majority of homebuyers in the country. While presenting her 5th Union Budget on February 1, 2023, Finance Minister Nirmala Sitharaman made several measures that would help the country’s taxpayers save more from their income.

Income tax exemption limit increased to Rs 7 lakh

The Budget 2023-24 proposed to raise the personal income tax rebate limit to Rs 7 lakh under the new tax regime from the previous Rs 5 lakh. The tax slabs have also been cut to 5 from 6 earlier.

“Taxpayers at both ends of the spectrum will be encouraged under the new regime as there will be no liability up to annual income of Rs 700,000 on the one hand and surcharge on annual income above Rs 5 crore has been reduced from 37 to 25% at the high income end,” says Alok Agrawal, partner, Deloitte India.

New income tax regime is default tax regime

The new income tax regime has been made the default tax regime in the Budget 2023-24. However, citizens will continue to have the option to avail the benefit of the old tax regime, the FM said in her Budget Speech.

Capital gains on investment in property capped at Rs 10 cr

The Budget has proposed capping the deduction from capital gains on investment in residential house under Sections 54 and 54F at Rs 10 crore. So far, there was no cap on deduction an individual or an HUF can take from gain arising from the sale of a house property or other investments by reinvestment in another house property.

While industry is of the opinion that this move could impact the ultra-high-net-worth people as they need to pay long-term capital gain on the sale of house property with big-ticket deals, Sitharaman said the move is meant for better targeting of tax concessions and exemptions.

 “The cost of the new asset purchased is more than Rs 10 crore, the cost of such asset shall be deemed to be Rs 10 crore. This will limit the deduction under the two sections,” says the Memorandum Explaining the Provisions in the Finance Bill, 2023

65% higher outlay for PMAY

The FM announced an outlay of Rs 79,000 crore towards the Pradhan Mantri Awas Yojana (PMAY). In last year’s Budget, Rs 48,000 crore were allocated for the completion of 84 lakh houses under the PMAY. This accounts for around 65% more money that has been set aside towards the PMAY last year.

“This will replenish the affordable housing demand across the country and fulfill the home-buying aspirations of medium-class buyers,” says Ashwani Kumar, Pyramid Infratech.

Economic Survey quotes PropTiger data on unsold inventory

Unsold inventory stood at 8.5 lakh at the end of 2022, with 80% of the stocks under various stages of construction, the Survey says, quoting PropTiger.,

Unsold housing stock in India’s mega housing markets has declined significantly due to strong sales momentum, driven by robust demand for housing, says the Economic Survey 2022-23Unsold inventory stood at 8.5 lakh at the end of 2022, with 80% of the stocks under various stages of construction, the Survey says, quoting PropTiger.

Citing PropTiger data, the Survey, tabled by Finance Minister Nirmala Sitharaman in the Lok Sabha on January 31, 2023, also adds that inventory overhang declined to 33 months during the October-December period of 2022 from 42 months in the same period last year. 

For the uninitiated, inventory overhang is the estimated time developers are likely to take to sell off their existing stock factoring in the current sales velocity.

Economic Survey quotes PropTiger data on unsold inventory

A screenshot of the PropTiger data as shown in the PDF format of the Economic Survey 202223

“The unsold inventory stood at 8.5 lakh at the end of 2022, with 80% of the stocks under various stages of construction. This comes on the back of sustained sales momentum as the sector steadily recovers from the impact of the pandemic,” says the Survey.

“The improvement in sales in 2022 has been instrumental in lowering the inventory burden for India’s real estate developers. Consequently, inventory overhang — the estimated time builders would take to sell off the existing unsold stock, based on the current sales velocity— has now declined to 33 months as compared to 42 months in 2021. The inventory overhang is the lowest since 2020,” PropTiger said in its quarterly report released in December 2022.

“Going forward, the recent government measures, such as the reduction in import duties on steel products, iron ore, and steel intermediaries, will cool off the construction cost and help to check the rise in housing prices,” says the Survey. 

Caution Buyers, Do Not Be Misled By These Terms

There are so many things to mind when you go home shopping. But, your first area of concern is to pick a perfect home for yourself. If that is achieved, consider the job half done. While you are browsing for properties, do not get carried away by everything that is mentioned in the literature used by developers to market their projects. Make sure their claims are real.

Location, location and location

All the brochures you have read have one thing in common — all the real estate projects are invariably strategically located. A majority of advertisements would tell you that the airport is only a 20-minute drive from there, and so is the railway station. In most cases, there is no mention of the kilometres. It is assumed that a personal vehicle, preferably a four-wheeler, will be used to cover the distance. It is also assumed that it would be a smooth ride without traffic jams while you go the distance in your car. Both these assumptions are ill-founded and far from reality. Not all members of a family might be using cars for commuting, and it may take hours for them to reach the railway station if they have to use the public transport. The time would only get longer if there are traffic jams, something not at all uncommon on city roads.

Developers also highlight the project’s proximity to civic and social infrastructure. Make sure that this civic infrastructure actually exists and is not only on papers before investing in the project.

Also read: Beware Of Fraud Property Advertisements

The amenities and the facilities

An oft-repeated term in developers’ marketing brochures is amenities. What is often projected as an additional facility when selling you the property is actually something a developer is obliged to provide in his project. For instance, mentioning “gated community” and “24×7 security services” as highlight points of a real estate projects does not make sense. By the very definition, an apartment project will be a gated community and will offer homebuyers uninterrupted security services.

Some projects are actually different from others and do offer you additional services. But, before you are swayed away by those services, here is a point for you to consider. There is a mention of a swimming pool and a gymnasium in the society. Based on which, units at this projects are priced slightly on the higher side when compared to similar projects in the neighbourhood. Will one swimming pool suffice for 300 families to indulge in swimming, even if each of these families choose just one day of the week and a particular hour of this day to do so? The same question arises about the gymnasium also. And, the answer in both cases is, probably not. Also, keep in mind the fact that irrespective of you using or not using these services, you will have to pay a monthly maintenance charge for these facilities.

Also read: 3 Things About Real Estate Law You Probably Do Not Know

The green practices

A lot of emphasis is laid on going green these days, and property markets are no exception. As a result, brochures boast of real estate projects being green and eco-friendly as their unique selling point. In reality, however, the project may not be as green as you though. As a buyer, you have to check what kind of green and eco-friendly features have been incorporated in the project. Are solar panels being used to generate electricity? Is there an in-house wastewater treatment plan? Is the building material used by the developer eco-friendly? Do the green claims of the developer have any backing and proof? It is only after satisfying yourself on these points that you should consider a project green and pay for it.

10 Things You Should Know About Stamp Duty On Property Purchase

The paperwork involved in a real estate transaction entails a fair amount of money getting spent. After all, it is these papers that stand as proof of your property ownership. Among the major costs are the one-time registration fee and stamp duty that you have to pay under Section 3 of the Indian Stamp Duty Act, 1899, after a sale deed is processed.

To help you understand how these work, PropGuide looks at 10 aspects of stamp duty charges on property buying that all home buyers must know about.

Stamp duty rate: The rates at which stamp duty is charged in various Indian states at present range from 4 per cent to 10 per cent. Registration fees, on the other hand, stand at a standard one per cent across states. In some states, a flat fee is also charges as property registration charge. These states include Haryana and Maharashtra. 

Payment frequency and penalty: Stamp duty is a one-time charge paid under Section 3 of the Indian Stamp Duty Act, 1899. If you fail to pay this charge, you have to pay the outstanding amount along with a penalty of two per cent of the outstanding amount per month. The penalty could go to as high as 200 per cent of the original liability.

Lower rates for women: To encourage property ownership among women, many states charge lower stamp duty if the property is registered in a woman’s name. In the national capital Delhi, for instance, women home buyers have to pay four per cent of the sale deed value as stamp duty, even as the normal stamp duty rate here stands at six per cent.  In Haryana, stamp duty of seven per cent is levied if a property is registered in the name of a man in urban areas. In case the ownership is being transferred to a woman, the applicable stamp duty charge is five percent of the stated property value. 

Stamp duty on purchase of apartments: Apartment buyers have to pay stamp duty charges, based on the individual share of the property. This means if a project is built on 50,000 sq ft of land and units of similar sizes are sold to 10 people, each one of them has to pay a stamp duty charge for 5,000 sq ft.

Documentary evidence: In case of a dispute, the document showing you have paid the stamp duty acts as a legal proof of your ownership over the property. It should be noted that property registration papers are not counted as legal proof; they only prove that you paid a fee. This has also been a reason why many home buyers put the property registration work on the back burner. However, if you want to sell your property in future, it will be difficult for you to do so if the registration has not been done.

State subject: Though regulated by a Central Act – The Indian Stamp Duty Act, 1899 – stamp duty charges are collected by states, and these form a crucial part of their revenue collections. In fact, states have the Constitutional right to make any changes to the Act and have their own sets of rules in this regard. Stamp duty charges vary across states. And, even in a particular state, they might vary from one locality to another. Maharashtra, for instance, has the Bombay Stamp Act, 1958, that regulates stamp duty and property registration in the state. Other states like Gujarat, Karnataka, Kerala, Rajasthan and Tamil Nadu also have their own stamp duty laws.

Rate too high? Home buyers in India sometimes put off property registration because of high stamp duty charges. This severely hits the government’s revenue collection and may also be a reason why land and property transaction records are in a poor state. Compared with other economies, stamp duty charges in India are high. According to a World Bank report, the countries like Philippines and Vietnam charge stamp duty in the range of one to two per cent.

In light of the Coronavirus pandemic, which has brought the housing market to a standstill, some states have, in the recent past, lowered these charges to encourage home buyers to register properties. The Maharashtra government has, for example, lowered the stamp duty on property purchase by up to three per cent for a limited period till December 31, 2020. From January 1 to March 31, 2021, buyers can also get their properties registered by paying stamp duty that is two per cent lower than the prevailing rate. After this period, the state may restore the old levy of five per cent. 

Karnataka has also lowered its stamp duty rate to three per cent, to boost buyer sentiment at a time when housing sales have touched record low levels in the state’s capital Bengaluru.

Online stamp duty payments: To simplify stamp duty payment and property registration, several states have initiated an online process for payments. So buyers can actually make the payment by visiting the Stock Holding Corporation of India Limited website and purchase stamps of required worth.  Additionally, stamp duty can also be paid by purchasing physical stamp papers or through franking

Home loan eligibility for low-income groups: Earlier, banks did not factor in stamp duty and registration charges as a property’s cost. Due to this, home buyers had to be ready with their own savings to pay for these. However, the Reserve Bank of India (RBI) in March 2015 directed banks to include stamp duty and registration chares while calculating a borrower’s loan eligibility in cases where the cost of the property is up to Rs 10 lakh. The move was aimed at promoting housing among low-income groups and economically weaker sections. Banks now include stamp duty and other document work-related charges in the overall cost of a house while calculating borrowers’ loan to value ratio (LTV). LTV is the ratio of the loan amount to the value of the property.

Stamp duty on home loan agreement: You also have to pay stamp duty if you have availed of a home loan for buying a property. You have to deposit the property documents with your bank, along with an undertaking that you are submitting these papers at your free will to avail of the loan. Now, this undertaking, known as the memorandum of deposit of title deed, is registered and 0.1-0.2 per cent of the home loan amount is charged as stamp duty for this.