Home Loan

Pros and Cons of Getting a Home Loan for Married Couples


Borrowers can take out individual or joint loans to buy their dream home when they need a housing loan. In the case of a single application, the borrower must submit the documents on their own, but in the case of a joint application, you must submit the documents of both applicants. Borrowers can split the home loan amount and make payments with a shared loan. When a property is owned separately, it is only registered in the name of one person, and that person is responsible for all the payments on the property. The joint assets become the joint loan for those who want to borrow money.

In this case, if the borrower doesn’t pay back the loans, the owner and co-owner, whose names are on the title, could be added to the list of debtors. If both people in a married couple have always worked and brought money into the home, it’s often a good idea to get a loan in both of their names. This way, if one person in the couple can’t qualify for the loan, the other person could take on more responsibility for paying back the home loan. This is good for both the borrower and the lender.

What is a Joint Home Loan?

Home loans differ from other loans because you can apply for them together. By saying “joint mode,” you mean that more than one person could apply for a loan at the same time. There can be no more than six co-applicants on a home loan. But they must all own the property in question together. On the other hand, a married couple can apply for a mortgage even if they are not co-owners. Most mortgages allow siblings, parents, or spouses to be co-applicants. Co-applicants who are not married and female family members, friends, or business partners unrelated to the applicant are not allowed.

The Pros of Getting a Home Loan 

Reduces the burden of liability

When two or more people own a property together, they are responsible for paying the installment. When married couples have children, it’s often best to own the property together. The couple can benefit from the property and own it as if they were one person. The couple is free to choose the house, the budget that fits the house, and the interior design. Also, if one of the couples loses their job, the other co-owner can keep making payments to keep full ownership of the land and keep the lenders from fining them.

Increases the number of women ownership to own property

India is a male-dominated country, so all decisions are made by men. Unlike women, men usually get a larger share of the property than women do. Also, there are many more men in the working class than women. Because of this, there is a big difference in wealth between men and women. The number of candidates who buy homes in their names is going up at the same rate as the number of women working. India and the state government’s efforts to give women more ownership rights have led to good results, like women taking part in daily tasks and buying their dream homes independently.

Helps in the mutual benefit of taxes

The property that is jointly owned and has one female co-owner is eligible for registration benefits and will have lower returns applied to it. PMAY [Pradhan Mantri Awas Yojana] borrowers are eligible for higher subsidy advantages for purchasing a property, including one female co-owner. The Indian government encourages women to get loans in their own names and buy real estate on their own or with other people.

The Cons of Taking a Joint Home Loan

Both applicants would lose ownership in the event of a dispute

No matter how much money they put into the apartment, if the joint owners stop talking to each other and stop paying the mortgage, the borrowers risk losing their home, and it becoming a secured asset of the bank, which would mean they both lose their homes.

Conflicts with the property

If a couple breaks up or gets divorced, they might not agree on what to do with their property, which could cause problems with ownership and getting back on their feet. Let’s say the payments haven’t been sent to the bank yet. In that case, both partners may refuse to do so in the event of a divorce, leading to default and arguments over who owns the property. You could also include the co-owners in the default case.

It may impact both applicants’ CIBIL scores

If both the borrower and the candidate default, the applicant’s CIBIL score could be hurt. This could mean that people won’t be able to get any more loans in the future. In the event of a loan default, both couples may have to pay large fines, making both couples responsible.


At last, you might tell the borrower that she should buy the house with her wife as a co-owner to lessen her financial responsibility, take advantage of programs that help women, and save money. For the joint property to work, there needs to be a good, long-term relationship based on trust so that the right can be used, and the default isn’t always an issue. You can visit Piramal Finance for more blogs related to home loans. Look at the products and services they offer as well.