Home Loans PKT- July 2015-pre

The correct answer is Loan Against Property. This term refers to a type of loan where an individual can borrow money from a financial institution by keeping their property as collateral. The borrower can use the property as security to obtain a loan for various purposes such as business expansion, education, or medical expenses. This loan is considered less risky for the lender as they have the property as a backup in case the borrower defaults on the loan.

Co-applicant loans typically require a strong financial relationship between the individuals involved. In the case of a father and unmarried daughter, they may have a close bond and a shared financial responsibility, making them suitable candidates for a co-applicant loan. However, if the daughter is married, her financial obligations may be primarily tied to her spouse, making it less likely for her to be considered as a co-applicant with her father.

This statement is true because the base rate is indeed the minimum rate below which banks are not allowed to lend, with a few exceptions. The base rate serves as a benchmark for interest rates charged by banks, ensuring that they do not lend below a certain threshold. This helps maintain a level playing field and prevents predatory lending practices.

In a co-applicant loan scenario, both borrowers are eligible for tax benefits. This is because both borrowers are jointly responsible for repaying the loan, and therefore, both can claim deductions on the interest paid on the loan. The tax benefits can help reduce the overall tax liability for both borrowers, making it a favorable option for individuals seeking financial assistance.

The down payment is the amount of money a buyer pays upfront towards the purchase of a property. It is the difference between the cost of the property and the loan amount approved by the lender. This payment reduces the loan amount and demonstrates the buyer's commitment to the purchase. A higher down payment can result in a lower loan amount, lower monthly mortgage payments, and potentially better loan terms.

Section 24 of the Income Tax Act allows individuals to claim tax benefits on the interest paid on home loans. This section allows for deductions on the interest paid on loans taken for the purpose of acquiring, constructing, repairing, or renovating a house property. Therefore, the correct answer is 24.

Stamp duty and registration charges are funded by various sources such as Housing Finance Companies (HFCs), Basic Prime Lending Rate (BPLR), Fixed Obligation to Income Ratio (FOIR), and Credit Unions. These entities provide financial support to individuals or organizations for the payment of stamp duty and registration charges.

The given answer is "False". This implies that the statement mentioned at the end of the call is not a recording.

For self-employed customers, two years of balance sheet is required for home loans. This means that individuals who work for themselves and do not have a fixed income from an employer need to provide their balance sheet for the past two years as part of the documentation required for obtaining a home loan. This helps the lender assess the financial stability and creditworthiness of the self-employed individual before approving the loan.

The loan-to-value (LTV) ratio is calculated by dividing the loan amount by the property value and multiplying by 100. In this case, the loan amount is 36,00000 and the property value is 40,00000. Dividing 36,00000 by 40,00000 and multiplying by 100 gives us 90%. Therefore, the correct answer is 90%.