If you have the first house and you are thinking to buy a home loan for your second house you must know the advantages & disadvantages to buy a second home.

Check benefits to buy a second house-

The second house use to get rental income- the Second house can become a rental income for you if your spouse is not financially strong. It will also help you to secure your family’s financial future. So by the second house make your second income.


 
Potential for Capital Appreciation- As we know real estate prices always go up so it is a good investment for financial security. So if you are investing in the second house you can earn a very good return. If you have taken a loan so it is also a leveraged investment.
 
Tax Benefits - If you buy a second property you must know the tax benefits from it. If one of your properties claimed as a “self-occupied” and other is “let-out property” so the second house rental income will add in your income and your tax slab will change.
 
Before buying a second house we should know the disadvantages of a second home-

In India, residential property is not more than 2-3% of the market value without any taxes and maintenance cost. Fixed deposit can give you a better return.

Selling your property is not easy many people and investors live with too optimistic a view of the market value of their properties. You have to sell a complete house if you need money you cannot sell only one house.

Before taking a loan for the home you must know how much amount you will have to pay on a monthly basis. Calculate EMI by using online EMI calculator for a home loan and check interest rate for the loan.