Questions surrounding house purchase
I am purchasing a property in Delhi in my mother's name. But since she is a housewife with no source of income, I will be her co-borrower in the home loan that we will be borrowing from a bank.
1) Now, given that I will be a home loan co-borrower for that flat that will solely be in my mother's name, will I be able to claim HRA exemption by signing a Rent Agreement with my mother for the same flat if I don't claim tax exemption on the interest payment of its EMIs? Also, as a sidenote, please also clarify if I will be able to claim HRA exemption as well as exemption on interest payment for the same flat that is solely in my mother's name.
2) Also, because the home loan EMIs will be deducted from only my bank account and not my mother's, will she still be able to claim income tax benefit for the Rs.2,00,000/- annual interest payment since the flat will be in her name? Or will she have to contribute, in part or in full, to the EMIs from her bank account to be able to claim this tax benefit on interest payment?