I am planning to apply for a loan for an apartment under construction which will be ready in next 30 months. I have following questions:
1. I need only 60% of property value as a loan. As the payment to builder has to be made as per construction progress; should I use funds with me (40%) first than to go for loan disbursement? (This is my 2nd home; there is no loan on first home) hence thinking from income tax benefit perspective.
2. Can I winthdraw all of Provident Fund for Home Purchase? (My curent PF account is 4.5 years old; how ever I have transfered my earlier PF account in this which was 4 years old)
3. Can I get approval of loan now and start disbursementan year later?
4. Is there any penatly in case I pre pay the home loan?
Thanks,
Nitin