Lot
of people purchase plots for the investment purpose or to construction the house. But, banks will
not give loans to purchase of plots. But, banks will sanction loans to
construction agreement in time bound period. Generally, banks will give loans
to under construction flats or houses and ready to occupy position flats or
houses.
Banks
will give loans 85% of total amount for flats or houses and 70% loans for open
plots with conditions.
Tax
exemption will applied on the purchase of flat or house even after bank loan.
But, tax exemption is valid for open plot purchase. However, it is valid after
construction of house.
Lot
of banks is not giving loans to NRIs to purchase open plots. Some banks
providing loans with lot of formalities and high rate of interest.
Banks
will provide housing loans up to 30 years loan repayment duration. If banks
give loans on open plots, with short period loans only. Some private housing
finance companies like deewan housing finance is providing open plot loans on 20
years period.
All
banks have ceiling for open plot loans. Indian Bank providing loans up to Rs. 1cr. Punjab
National bank is providing Rs. 50.00 lakhs only.
"Own a Property… Get Power. It means…. No Property …. No Power”