Stamp duty is a charge that every borrower must pay when purchasing a property, and it is payable to the state government. Paying the charge validates your purchase, serves as proof of ownership, and is a legal document that can be used in court. It is critical that you pay this fee as soon as possible because you will not be able to obtain full ownership of your property.

Are stamp duty charges inclusive in the home loan?

When applying for a home loan, you must consider additional costs such as stamp duty, processing fees, registration fees, and so on, as these can increase the overall financial burden of your loan, and these costs are not included in the home loan sanction amount. Stamp duty charges must be paid immediately during property registration in India, and the stamp duty charge ranges from 4% to 9% of the property’s market value. 

An online stamp duty calculator is a free tool that can assist you in calculating your stamp duty charges prior to purchasing your property. This is an important tool because it can help you calculate the total cost of your home loan. This is also simple to use and designed in such a way that it requires few details and is easy to understand. Here’s how to use an online stamp duty calculator:

Step 1: Navigate to your preferred online stamp duty calculator.

Step 2: Fill out the following information:

• Select your state of residence.
• Select your city of residence. 
• Select your type of property (Residential, Commercial, or Land)
• Select your gender
• Select your ownership type (Joint home loan or individual)
• Enter your property value

Step 3: Click Calculate to view your Stamp Duty Charges and the Stamp Duty Percentage you are being charged.

A home loan is simple to obtain in India, and there are numerous lenders available who offer home loans with competitive interest rates, long term tenors, and substantial sanctions. When applying for a home loan, you should consider the additional charges that may apply, such as prepayment penalties and home loan foreclosure charges, because most lenders will either not charge additional penalties or will charge a lower penalty for borrowers who choose a floating interest rate.