Tax Benefit on Home Loan

Although the year 2020 has given us a tough time, it may be the best time to invest on the property you wished for since long. Easy home loan facilities gets a cherry on the top of the cake with the tax benefit increased up to Rs 3.5 Lakhs in July 2019 budget. Additional benefit for first time home buyers have also been given as per the policy. This scheme, the deadline to avail which was March 31, 2020, has now been extended to March 31, 2021, by Finance Minister, Nirmala Sitharaman in her Budget 2020 speech.

The total interest amount payable on a housing loan, can be claimed as a deduction from one?s total Gross Income as per the income tax laws. One can claim a maximum of Rs 3.5 Lakhs as deduction amount allowed FY 2019-20 onward for those purchasing residential property under the affordable housing scheme. As a part of the ?Housing for All by 2022? policy of the Government, this deduction under Section 80EEA has been extended to the next financial year.

Features of Section 80EEA

Who can avail this deduction?

Only individuals and not any other taxpayer can avail this deduction. For example, Partnership firm, a HUF, AOP, a company, or any other kind of taxpayer, are not entitled to any benefits under section 80EEA.

How much deduction can I avail through home loan?

A deduction up to Rs 1,50,000 is available under Section 80EEA for interest payments which is over and above the deduction of Rs 2 Lakhs for interest payments available under Section 24 of the Income Tax Act. Hence, an individual taxpayer is privileged to a total deduction of Rs 3.5 Lakhs for interest on home loan. However, these are further subject to conditions applicable under this section.

Is this similar to section 80EE?

First time home buyers are meant to be highly benefited from this policy if one avails a home loan valued up to Rs 45 Lakhs and is sanctioned before March 31, 2021. The middle-class strata of the society will mainly profit from this and affordable housing shall be an integral part of the Government?s Housing for All by 2022 policy.

Conditions Applied on Tax Benefits on Home Loan under Section 80EEA?

A financial institution or housing finance company must be lending the loan to the individual to buy property for residential purpose only.

The stamp duty value of the house property should not exceed Rs 45 lakhs.

The individual availing the scheme shall not be qualified to claim deduction under the existing Section 80EE.

The taxpayer must be purchasing a residential property for the first-time and cannot own any residential house property as on the date of sanction of the loan.

The carpet area of the property shall be not more than 645 sq ft in metropolitan cities and 968 sq ft in any other cities or towns.*

The property for which the individual wants to avail this scheme must be approved on or after September 1, 2019.*

Inorder to avail tax deduction, one first needs to ensure that the property is individually or jointly owned by the taxpayer and the loan is sanctioned against the individual or jointly with another co-borrower. The home loan certificate must be submitted to the employer for adjustment of TDS whereas, in case of self employed individuals, one must use it while filing tax deduction for self.

*These conditions have been specified in the memorandum to the finance bill, but not mentioned in section 80EEA.

5 Easy Kids’ Room Decor Ideas

The growing years of a child are the most challenging ones. To give them their own space during their learning phase gives the little adventurous minds more room to spread it’s wings. Parents planning their kid’s room decor should make it an enjoyable place for their creative years. Designing a gorgeous and useful room for them is a challenge worth taking as they will cherish it later. Although giving a separate room to a child at an early age is not customary in India, but new age parents understand the need for it. A separate room for kids helps them build a sense of ownership and care for larger and more important things they achieve later in life.

If you are a new home buyer and are planning a separate room for your child, your choices should reflect practicality and must be affordable too as a child’s need changes very quickly with time until they reach a certain age. You will want to keep making small changes to the d?cor as they grow up to fit their needs. Here we have 5 kids’ room decor Ideas that will help you decorate or redecorate it.

Simplicity is the key

Always remember, less is more. More open space, less cluttered rooms creates more play area for your child. Use of simple and basic furnishings to provide a neutral canvas which can be restructured with no trouble is recommended. This is practical as in future as your kid grows up, the decor can be easily updated. A low and neatly tucked bed, proper storage for play items, a small but shelved cupboard and a cosy corner is all you need to make your kid’s room well organised but beautiful at the same time.

Double your storage space

As soon as your kid starts schooling, their need for space increases. Search options for furniture with built-in storage like, beds with storage crates under them, cupboards with adjustable shelves, extra hooks behind the door for hanging daily uniforms and similar needs that can be catered easily from a single furniture in an organized manner.

Brighten up the walls

Use bright colours for the walls of your kid’s room. This can be very tricky as you want to keep it bright but classy at the same time. If you have bright coloured furniture, it is advisable to paint the walls white or any other light hue. This also makes the room look larger and makes it well lit. Another way to create a playful room is to use a fun wallpaper which can be easily changed to their choice when they wish to. You can also use rainbow colours that goes with them for quite a long period.

Create a go-to place for little tired minds

When planning your kid’s room decor, try to keep in mind their leisure time too. A comfortable corner with a canopy is a great option that works best for not only kids but for teenagers as well. Tuck in some cushions and soft toys to make a cozy reading space for them. However, not all apartments are spacious enough for it. The most trending ideas for small apartments are to make a chalkboard wall. This where they can be creative and pour their heart out to be themselves again. This is affordable and here to stay.

Frame the growing years

A separate blank wall to display memorable growing years of your kid is a good way to cherish past years’ memories. You can also use them to display your kid’s masterpieces and use customized frames for it. The wall can be conveniently updated according to your child’s changing taste.

Recent home buyers are looking for 2.5 and 3.5 BHK apartments in Kolkata. The 0.5 can be utilised as play room or study for your kid. This will allow the kid’s room to be solely for play and sleep while the separate study also serves purpose of work station when you are working from home.

Image source: Google

How COVID-19 has transformed home buyers’ choices in real estate?

A microscopic organism has taken over the world while we are advised to stay home for our own safety and to help stop the spread. This pandemic has changed our daily lives in many ways. Man, who was a social animal has now become dependent on social media for socialisation. Stepping outside of the safety of our home is now as risky as it is frightening. For those who have recently bought a new home are also facing trouble being locked in for several weeks and now wish they had looked up some more options instead of rushing and settling for what they have now. Our work lives have also seen a drastic change and we have now realised that there are many jobs that can be done from the convenience of our home. Probably, this shall become the new normal post the pandemic. Talking about the new normal, let’s have a look at what home buyers are looking for before investing on a property in the present situation.

The need to live healthier and better.

Housing complexes with more open area and greens are now the primary interest of a new home buyer. With rising demands for greenery and natural light, developers are now investing on making lush green gardens, open spaces, pools and play areas while building high rise housing complexes. Apart from the 16 sq ft balconies, apartments in Kolkata have now more to offer with high rise projects. With increased family time due to work from home, people are now able to go for a walk in the evenings or a jog at daybreak and all this without exposing themselves to killer virus. More people are rediscovering their old hobbies and sports, staying fit and breathing fresh air as a result of these amenities. Residents also seek an easy access to a health centre near their apartment to reduce the commute time during any kind of health emergencies.

Space utilisation and amenities.

With one of the rooms turned into office spaces during the work from home period, home buyers are now realising the need for small but separate spaces to cater to such needs. The need for a small space that can be used as working space or study has become the new need for those looking for new 2/3 BHK apartments in Kolkata. Hence, 2.5 BHK apartments are trending among home buyers. The lock-down has been a driving force in helping families spend their time together for the longest duration. This has however led them to feel shortage of space. Housing complexes are coming up with latest amenities like play areas, gym, library and club houses where residents can enjoy them and keep themselves safe at the same time. Although common amenities can be unsafe if proper sanitization and safety are not maintained. This questions the high maintenance costs that one has to pay even if they are not using these facilities out of their choice during such critical times.

Importance of doorstep facilities.

The lock down period has led to increased demand for doorstep services. Home deliveries help save the trouble of shopping groceries and other essentials from stores on one’s own. The local or neighbourhood grocery store has been undisputed as the greatest help by offering doorstep delivery. Home buyers who are especially senior citizens now prefer housing complexes with grocery and pharmacies nearby. Many housing societies provide grocery outlets and pharmacy within the complex to help the residents with a better living experience.

Need for well managed society.

The lock-down has triggered the need for communal harmony and mutual understanding among neighbours. Perhaps, crucial times show us unprecedented ways that we resort to in order to stay safe and healthy. People have realised the importance of lending a helping hand and how that can keep them at lower risk of getting into trouble and higher probabilities of making situations easier to face. Senior citizens and single parents are known to have received help from strangers who have turned into friends during difficult times. Both physical and mental health can be well maintained if one lives in a well-managed society.

Realtech Nirman have always stressed on the well being of the residents and felt the need for consumption of natural resources at the same time. Rain water harvesting and planting trees at the projects have been done keeping in mind the residents’ need for healthy living. Latest amenities and facilities have been an imminent a part of all housing projects by the developer.

For an enriching home buying experience, call us on +91 8100 111 777

The Need for Affordable Housing in India and the Housing Loan Market

Countries like India, China, Macau, Singapore, and Hong Kong face severe housing shortage in both urban and semi urban areas as the population density is quite high.

The Affordable Housing program is to provide housing units to that segment of our society whose income is below the average household income. It covers the economically weaker sections of the society along with the middle-class section.

Current Scenario of Housing in Rural and Urban India

While looking at the housing sector in India, we often forget that nearly 60% of the population of India resides in villages. Although there is not much shortage of land in the rural areas, the efficient usage of such lands is the real problem. Apart from that rural India also lacks infrastructure development, trusted real estate companies, uninterrupted electricity supply and efficient connectivity. More people are migrating to big cities for better and healthy living. While the space is limited and the population of our country is growing at a significant pace, affordable housing projects appear to be the only sustainable solution to the problem.

Need for the Boost of Affordable Housing in India

As per the estimations by Urban Housing Shortage, there is a wide gap between demand and supply of housing units in India. Continuous efforts have been made over the years to provide low cost homes, Yojanas like JNNURM (1994), Rajiv Awas Yojna(2013), & the Pradhan Mantri Awas Yojana (2015) have shown significant impact with an aim of ?Housing For All? by 2022.

The Central government has decided to provide 100 per cent exemption on income from interest, dividends and capital gains on investments made by sovereign wealth funds in infrastructure in India. It also includes investment in affordable housing projects. The deadline of 31 March 2024 has been set for availing this benefit with a minimum lock-in period of three years. This measure is expected to boost the real estate sector of major cities like Kolkata, Mumbai, and Gurugram, thereby creating jobs, which will result in a greater pool of homebuyers in the affordable housing scheme.

Growth in Housing Loan

Over the next five years, Indian home loan market is expected to see a major hike. There are two major reasons for such growth. Firstly, the home loan interest rate is relatively cheaper in comparison with other developed and developing economies. Secondly, the acute shortage of supply of housing units is a reason.

Home loan market in India has been categorized upon type, source, interest rate, tenure, area of property and region. In terms of source, the market can be segmented into bank and housing finance companies. Bank is the dominating segment in the market. HDFC, ICICI and SBI are the leading players in India home loan market. This is due to lower interest rates and various home loan schemes catering to customers.

5 Best Modular Kitchen Designs and Kitchen Trends 2020

It’s 2020, an era of global market and lifestyle, here modular kitchen is not considered as a luxury but a neccessity for the masses. Almost all the ongoing residential projects in Kolkata are being built under expedient layout. The modular kitchens are not just functional and space efficient but also elegant and tech savy.?

?Some Hand-Picked Modular Kitchen Types?

Modular kitchen is now an important part of the living concept in both luxurious and budget apartments. It is not just confined to a place where food is prepared but also a pantry area, utility storage, crockery display unit, and a bar. The consumer is spoilt for choice regarding kitchen type selection, some of which are mentioned below.

Straight – A simple straight line layout, mostly applied in kitchens with small spaces. Here, the sink, hob, and fridge are placed in a straight line.

Parallel – Also known as gallery kitchen, a passageway between two walls packed with base and wall cabinets. There is just one flaw that it can not offer corner cabinets.

L-Shaped – It brings a chance to display your creativity as a lot can be done with the available space. Open kitchens are a good option with L- shaped modular kitchens.

U-Shaped – Offers coveted layout units like sink, hob, and fridge around the one who is preparing the food. The curved sides if used properly can exhibit classic cabinetry.

Island – Here, hob remains static in the middle creating ample of space for friends and family to work around easing the burden of one person.

Kitchen Trends 2020 for 2 & 3 BHK flats

White Kitchen cabinets and appliances – White is not just soothing, it’s clean, uncluttered and un-fussy. It seems to be the ideal colour against the general trend of bright redentions.

Warm Metal Kitchen Fixtures and Accents – Adding metal to your modular kitchen provides an inviting glow along with warmth to the ambience.

Compact Kitchen Furniture – Ideal for small spaces, smaller fixtures and compact cabinetry makes the kitchen even more fashionable.

Open Kitchens – It is catching up globally as it brings a high level of socialising perspective to your home decor ideas.?

Technology – Kitchens are not just for faucets and refrigerators but also smartphones/tablet holders and brackets for laptops.

India is a country of extreme diversity, the food habits majorly depends upon the local weather and its respective culture. Dry areas have high oil usage in their food whereas people of moist areas prefer steamed food. The materials used in kitchen designs and trends must fulfill the need.

Understanding of Atmanirbhar Stimulus and Govt Stand on Pvt Role

AtmaNirbhar Bharat, two words which are on the lips of almost every Indian. It is an initiative launched by our honorable Prime Minister through the Ministry of Finance to address the issues raised during the global pandemic. The major focus is on instilling liquidity in the economy. Here, we will discuss the key points that all Indians must know irrespective of their profession or livelihood.

The MSME sector has to be the foremost thing of discussion as there is so much fuss going around it. MSME stands for micro, small and medium enterprises which constitutes 95% of the total industries in india. I believe they are the real performers who are carrying India?s 5 trillion dollar economy goal on their shoulders. As per the revised data, an enterprise with investment less than Rs.1 crore and turnover less than Rs.5 crores is said to be a micro enterprise. And in case of small and medium enterprises, investments should be less than Rs.10 crores and Rs.20 crores respectively whereas, turnover should be less than Rs.50 crores and Rs.100 crores. The objective of the move was to include the big enterprises, as big fishes are packed with previous loans. The government wants them to avail loan benefits and do good business in the near future.

The Abhiyan Offers

Collateral Free Emergency Credit Line to MSME enterprises for the tenure of 4 years along with two conditions. One, the turnover of the business should be more than 100 crores and the outstanding loan amount should be more than 25 crores. It is offered till 31st October 2020. Further, out of the 4 years, 1st year would be a moratorium period where the borrower need not to pay the principal amount. And the credit amount would not be more than 20% of the loan outstanding on 29th February 2020. The Government of India has allocated Rs.300 crores for the collateral free loans.
All the registered residential and commercial projects under RERA (Real Estate Regulation & Development Act) have received extension of 6 months as the construction work came to an absolute halt due to the lockdown. This has brought no relief to the real estate developers as issues of labourers migrating to their hometown is being continued.
The relief package for the stressed MSMEs is amounting to Rs.20,000 crores, under which subordinate loans would be provided. The purpose here is to provide liquidation to huge debts and benefit equity and preferential shareholders. The viable businesses of the Indian Economy have also been taken care of as the government is ready for equity infusion of Rs. 50,000 crores.
The Make in India programme has been extended with a slogan of Vocal to Local (priority to indeginous products) by disallowing global tenders worth less than Rs. 20,00 crores.
The Atmanirbhar Abhiyan empowers the salaried class with Rs.25,000 crores, an extension of 3 months grant of? 24% via Employee Provident Fund. It is only for the business which has less than 100 employees of which 90%? must earn less than or equal to Rs.15,000 rupees a month. TDS rate reduction is done by 25%.
Previous schemes like Garib Kalyan Yojna and Jandhan accounts have witnessed a small help from the government directly into their bank accounts irrespective of financial status of the account holder.
The initiative of reducing the cash reserve ratio by the RBI has given wings to the scheduled commercial banks and NBFCs as they can lend more and pour more liquidity in the market.

Giving more space for private participation

The Government of India opened doors for private roles in defence, power, and space sectors. They are offering 500 commercial mining blocks through an open auction process and no eligibility conditions. Foreign Direct Investment limit in Defence sector hiked to 74% from 49%. Also focus will be upon indigenisation of imported spares, thus banning huge imports. In the aviation sector, investment of Rs.13,000 crores is expected via PPP model for building airports in different phases. The Government has also allowed usage of airspace for civil flying because it has the potential to generate 100 crores per year. Though privatisation of the power sector is not a new thing to hear about, the government has assured stricter norms in addition.

These major openings for private participation may reward the nation in the long run but it has no clear impact on the liquidity crisis that India is facing because of this lockdown.

Work from Home and its Repercussions in Cyber Security

The work from home (WFH) model is rapidly transforming the dynamics of India?s IT and ITES sectors. Everything is undergoing radical restructuring, from commercial real estate expenses to hiring of top talents, from communicating abilities to decision making capabilities.

At present, around 90% of the employees from all sects of businesses like IT, E-commerce, BPO, and small and medium enterprises are working from home. And some of them are likely to remain in the same work environment even after the lockdown is lifted. The COVID-19 pandemic will persist longer than what was assumed, with fear and anxiety in the communities worldwide leaving social distancing the only option.

Hr experts believe that WFH is a success as it enhances productivity and reduces variable costs for both employers and employees. It has also opened many new doors for cyber criminals. Video conferencing platform Zoom whose daily users, before the pandemic was 10 million, has now jumped to 200 million. The culprits were quick to spot it’s easy trade-offs and broke into the meetings leaving it distorted. Since then, the Zoom has introduced virtual waiting rooms and enabled passwords to join the meetings. Major cyber security firms and tech giants like Google and Microsoft have raised alarm over cyber attacks over the last month. A US-based cyber-security firm says that companies are struggling with their existing end-point security solutions because they are trying to update it through their Virtual Private Networks (VPN), even that is not safe as the criminals are blowing up the VPNs along with the traffic. They also mark anti-virus software and firewall solutions as traditional and outdated. And for better protection, they recommend cloud-based and artificial intelligence solutions.

Email phishing is trending amongst cyber criminals, its worst hit is the health sector followed by the banking & finance and education sector. They are creating malicious links with a false assurance of deliveries of PPE and Sanitizers, the victims easily fell in their trap as there is an actual shortage of medical equipment in many developing countries. They are also claiming to be government agencies and asking for bank details to put money sanctioned by the respective governments. Even students are not spared as they are stuck at home and learning online.

RBI’s 3 Months loan EMI Moratorium scheme and its immediate effect

The Reserve Bank of India announced a three months moratorium on EMIs of all term loans, due from 1st March to 31st May. In this global crisis where there is disruption of cash-flows, by January end- Rs.13 lakh crore of housing loan and Rs. 2 lakh crore of auto loan are outstanding including credit card dues.

The moratorium of loan instalments has been availed for those who are facing some serious cash crunch in their respective businesses. It can be considered as the deferment of loan EMIs for three months where interest is being continuously accrued on the outstanding portion of the loan. There has been a confusion with loan waiver, when a loan is waived off you do not have to pay either of the loan amount or the interest. RBI has not waived any loan and announced moratorium of loan as a relief package for all term loans including educational, agricultural, retail, and crop loans under pool purchases. But, it hardly shows any signs of relief to the borrower because they have to pay the interest for these 90 days.

All lending institutes especially scheduled commercial banks have drafted different measures on the procedure of loan EMI moratorium. Some banking and non banking financial institutes have requested their customers to submit an application to avail loan moratorium. Whereas, some banks have kept moratorium as a default option and have asked customers who do not wish to avail the benefit to write an application.

After the RBI’s move, a large number of issuers had approached the Securities and Exchange Board of India (SEBI) seeking approval for extending the maturity of the commercial paper worth INR 77,798 crore and corporate bonds worth INR 91,902 crore. But SEBI is reluctant to approve this as the payment of bonds is owed to customers and not SEBI itself.

Recently, a plea has also been filed in the apex court stating the moratorium availability as “eyewash” and it makes no sense because the interest is being continuously accrued on the principal amount making the loan costlier.

Rustic Eclectic Home Decor Ideas

Rustic interior evokes warmth from the pages of history. Its rough-hewn charm appeals to us even in this era of technology where everything is operating in an impressively smooth and efficient way. The materials mostly used in rustic decor are leather, suede (rubbed leather), pewter (a grey alloy of tin and copper), patina (oxidized metal), woods (logs or twigs), wrought iron, natural fabrics like cotton, hemp, linen, wool, or animal hides and rock stones. Below are some easy and cheap rustic home decor ideas which are worth trying.

Ceiling Decor

A polished ceiling is always an ideal place to display your rustic home decor skills. When a rough wooden log is tied up with a not so long nautical rope attaching the bulbs to the roof, it gives a pleasing effect to the ambience underneath.

Living Room Decor

An elegant rustic decor living room is a place where you can rejuvenate yourself from the negative energies and emotions by drowning in the beauty of classic interiors. Rustic look is evergreen because it’s simple and classy.

Indoor Fabric Decor

Rustic fabric is all the rage this year as it creates a mountainous aura indoors. The contrasting shades exhibit more of a chalet touch to the overall interiors of the room and keeps the rustic look alive.

Corner-piece Decor

Home should tell the story of who you are and be a collection of what you love, rustic flower vase in a corner is one such memorabilia element which keeps the memories alive. Generally wooden pieces go well with the sunflowers as it sets the contrast really well but, there is a room for your creativity here.

Wooden Wall Sconce

Stares are offensive as nobody likes to be judged but when someone eyes longer on the light emitting from your rustic wooden wall hanging and compliments afterwards, you are surely not feeling bad or negative. So, never hesitate to display your collection, the appreciations form the decor lovers is worth enjoying.

Rustic home decor is yet to enter deeper in residential projects in Kolkata, but sooner or later it will surely find its way. Top real estate builders in Kolkata who majorly deals in residential projects and mall-cum-apartments are in chats with the real home makers to explore more on rustic decors.?

Bedroom decor tips

The room that is most aware of your deepest desires, worries, and happiness is your bedroom. The only space in your home where you can open up your emotions without any restraints is your bedroom. We tend to care little about embellishing this space that is so intimate to us in our daily lives. Very less often we realize that beautification can come at low costs and therefore, focus only in the living room which is more accessible to our visitors. Here?s how we can give a fresh a new look to our bedrooms with minimum expenditure.

Integration is the key

The d?cor of the room largely influences the level of comfort. Changing the linens of the bedroom can alter the texture of the space. Use of handmade mats or carpets, embroidered draperies, polished wood furniture, furry carpets and comforters or cotton bedsheets can bring in freshness and variety.

Your world is your canvas

Say goodbye to neutral colours and welcome the colourful palette that life has to offer. There is no harm is painting the walls with the bright shade of your choice. The era of neutral colours will never go away, but displaying your bright side is trendsetting. Keep a check on the colour of your furniture to keep it neutral if the wall colours are too bright and the vice versa.

When the headboard speaks for itself

Your bed is the centre of attention in the bedroom. A good comfortable headboard can make a difference in changing the look of the bed. Some go for carved traditional headboards whereas, modern headboards are trending too. A cozy retreat with fresh fabric covers can help enhance the appearance of the bedroom.

Snuggle into softness

Accentuate your bedroom?s d?cor with cozy cushions and pillows. Use cushions with geometric patterns, intricate embroidery, big checkers, or the ones with quotes printed on it according to your taste. These can instantly alter the look of the room and add a completely different personality to the space.

Don?t let the windows go unnoticed

Choose from a variety of draperies, curtains and shades to decorate the windows according to your mood and preferences for a romantic or bright bedroom. Some prefer to decorate the windows with curtains that suit the season. For example, light cottony curtains for summers to let the breeze in and heavy dark curtains for winters to keep the heat inside the room intact. A range of colors, prints and patterns are available nowadays.

Making minor changes occasionally can bring a fresh look now and then in your bedroom. Simple alterations and decorative changes that is not heavy on your pocket is advisable to make. When looking for 2 or 3 BHK flats in Kolkata, plan your interiors along with your search for a new home.