Is SBI max gain beneficial for persons buying 2nd home

[samkapoor77]

After reading so many queries related to SBI max gain, a query has generated in my mind. With SBI max gain, it is possible to reduce the interest outgo on loan. Is it recommendable for persons who are 2nd home buyers and they have purchased the house only as an investment and want to claim tax benefit on loan interest? What is your say on this? Actually, I am intending to purchase 2nd house.

[samkapoor77]

Yes, definitely it will be beneficial. But if you plan to rent out the 2nd house, then taxation on rental income also need to be considered.

[Krish]

Hi, I am also in same boat… buying 2nd home for investment and to use the maximum “interest” portion of loan in tax deduction. Now, in SBI Maxgain, if I put surplus amount in the OD account (assuming it is pre-payment and not parking), the interest outgo is minimum and goes against my wish of getting maximum tax deduction for “interest”.

In these cases where I want to pre-pay instead of parking the amount, does a normal home loan account work better than Max gain account?

Thanks,
Krish

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