Do you already own\na home, but are left with cash to spare? If yes, then invest all that money in\na second house!<\/p>\n\n\n\n
As an investment, a second property serves multiple purposes.\nYou can use it as a luxury holiday\/weekend home or for when you want to get\naway from the cacophonous urban life. And, when not in use, you can lease out the\nsaid property to earn extra income. Moreover, as an asset, a second home has\ngreat capital appreciation value that can be leveraged in the future for\nreinvesting in an even better property. <\/strong><\/p>\n\n\n\n Additional Read – <\/strong>Important Things to Consider Before Buying Second Home<\/a><\/p>\n\n\n\n Call it what you\nmay \u2013 a rental home, retirement abode, holiday home, etc. \u2013 purchasing a second\nhome comes with a host of benefits. They are-<\/p>\n\n\n\n You can use the rental income coming in from the second house to pay off your home loan EMI<\/a> or any other debt. Alternatively, this additional income can also help you finance newer investments. Remember that over the years, the rent received from your second property will increase as real estate prices rise, and this hike will offer even higher ROIs.<\/p>\n\n\n\n If you purchase a\nsecond home at a vacation spot with picturesque views and a desirable climate,\nit can double up as a holiday home for your family. So that when you\u2019re short\non travel funds, this holiday home can become your getaway resort. <\/strong><\/p>\n\n\n\n Additional Reads – <\/strong>Top Things to Consider Before Buying a Farmhouse<\/a><\/p>\n\n\n\n If your financial\nhealth allows it, you can also invest in a second home for retirement and in\nthe meantime, rent out the property to earn some extra cash. <\/p>\n\n\n\n Property investments\ntend to generate higher ROIs than other assets, especially if the property in\nquestion has a great location. Since the appreciation of property value negates\nthe rise in inflation, investing in a second home is a safer option. Moreover,\nin the future, if there\u2019s a financial emergency, you can sell the second\nproperty to meet the necessary monetary obligations.<\/p>\n\n\n\n Additional Reads – <\/strong>Want to Own a Home? Find Out How<\/a><\/p>\n\n\n\n There are guaranteed tax benefits on availing of a home loan in India to buy a second home. You get tax savings on the principal amount under Section 80C and tax deductions on the home loan interest rates<\/a> paid to service the loan under Section 24B. Furthermore, borrowers can claim a tax deduction of Rs. 1.5 lakhs on the principal repayments of the home loan<\/a> under Section 80C and a deduction of Rs. 2 lakhs under Section 24B of the ITA.<\/p>\n\n\n\n So, investing money\nin a second home is a profitable option as can be inferred from the benefits\nmentioned above.<\/p>\n\n\n\n Do you want to apply for a home loan to invest in a bigger and better property? If yes, then reach out to Tata Capital to secure the desired loan amount at competitive ROIs. We also recommend that you check your home loan eligibility<\/a> criteria before applying by logging on to our website today!<\/p>\n\n\n\nAdvantages of a Second Home<\/strong><\/h2>\n\n\n\n
Rental income<\/strong><\/h3>\n\n\n\n
Holiday home<\/strong><\/h3>\n\n\n\n
Retirement abode<\/strong><\/h3>\n\n\n\n
Safe investment<\/strong><\/h3>\n\n\n\n
Tax benefit<\/strong><\/h3>\n\n\n\n
The Bottom Line<\/strong><\/h2>\n\n\n\n