I want to purchase a Flat with Property LOAN on my First Flat worth nearly 1crore,?

Will it be worth purchasing a Flat by taking PROPERTY LOAN on my First Flat worth nearly 1crore,or should I sell of the Flat and Invest in two new Flats?PLEASE ADVICE ME BCOS I CAN KEEP MY CHILDREN ON SAFE SIDE .

2 Replies to “I want to purchase a Flat with Property LOAN on my First Flat worth nearly 1crore,?”

  1. If you can service the loan, the better option is to buy on Property loan. It will be preferable to avail housing loan instead of Property loan as interest rates are more for property loan and no income tax benefit also.

  2. It is not a correct thing to take property loan on your existing flat and then purchasing new flats by utilising the money. You will be paying higher rate of interest and you won’t get any taxation benefits, too.

    If you are eligible for Housing Loan, purchase new flats by taking Housing Loans. The interest rate will be lower and you can pay off in easy installments on a long term basis. If your children are earning, better if you take loans on their accounts ( you can be co-borrower to provide proper security to the bankers). It will create assets in their balance sheets and they will get full benefits of the loan.

    If this is not possible at all and you don’t mind selling your existing house to purchase new ones, go ahead and sell the same. But before selling, fix up the negotiations for the new flats. I know selling house is difficult due to various emotional influences. But it will be the good thing than going for Property Loan in present situation. ( World Economy is not exactly in good shape though India story is promising – why take chances by taking loans?)

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