Everybody wants to have a home of their own. Most buyers, especially salaried employees, depend on home loans to purchase their first house. People often find it confusing to claim Income tax benefits when buying a property. Some questions like whether an income tax benefit can be obtained when you own multiple houses, some of which might be rented out, are often asked.
While the individual has to pay substantial amount of money as interest, it provides dual benefits. Here are a few points that help you in availing the income tax benefits more efficiently.
House Rent Allowance (HRA) Exemption
If a buyer avails a home loan to buy a property while staying in the property, then he/she can claim tax benefit on both the principal and the interest of the home loan.