Clubbing my spouse’s income


I am seeking a home loan from a public sector bank. In order to increase the loan amount availability, I have clubbed my income with my spouse while the property remains in my name. Does my wife as loan co-applicant need to be a property owner as well?


It is a good idea to club the income of your spouse to be eligible for a greater home loan amount. Apart from clubbing your income with your spouse, joint home loan is also available for father and son, father and unmarried daughter, mother and unmarried daughter and brothers. Remember while joint home loans increase the home loan amount eligibility substantially, the onus of repayment of the home loan lies with both the co-borrowers equally.

The property in question can remain in the name of one co-borrower and there is no obligation to make the co-applicant of the loan a property owner. Remember the golden rule for joint home loan is that all co-owners of the property must necessarily be co-applicants while all co-applicants of the loan are not liable to be co-owners. The owner of the property becomes the main applicant while the person with no ownership (your wife in this case) becomes a co-applicant.




Hi Nisha,

The terms co-owner and co-borrower are often heard in the context of Home Loan. The two words are interrelated, but people tend to interchange the use of one with the other. That’s wrong.

A co-owner is someone who has legal rights to the property along with you (the other owner). A co-borrower is someone who applies for a Home Loan with you. The difference lies in the fact that a co-owner of the property must also be the co-borrower of the Home Loan with you. However, it’s not necessary for a co-borrower to be the co-owner of the property. So, your wife can be a co-borrower without being a co-owner of the property. However, note that a co-borrower must also be a co-owner to get Home Loan tax benefits.

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BB Expert