If I want to take a loan of Rs 15 lakh for construction of my house, should I be the only owner or is it okay, if the house is in the name of 4 people, one of them being me?
Ans: In order for the property to be mortgaged, the sale deed for the same has to be submitted to the lender as collateral. This implies that all co-owners are involved in the loan by default. So, it is necessary that all co-owners are also co-applicants to the loan.
If the co-applicants are earning members, it helps you since consideration of multiple incomes through co-applicants improves your eligibility and helps you get favourable terms on your home loan.