Old Regime vs New Regime: What It Means For Your Home Loan Deductions .

Home Loan Tax: Which Regime Wins?

Your tax regime choice directly affects how much you save on home loan repayments.

New Regime Is Now Default

For FY 2025-26, the new tax regime applies automatically unless you opt out officially.

Section 24 Of The Income Tax Act, 1961 And Your Regime

The old regime allows up to ₹2 lakh deduction on home loan interest for self-occupied property.

New Regime Skips This Benefit

Home loan interest deduction on self-occupied property is not available under the new regime.

Rented Property Works Differently

Interest deduction on let-out property remains available under both old and new tax regimes.

New Regime Offers More Here

The new regime provides ₹75,000 standard deduction versus ₹50,000 available under the old regime.

High Deductions Favour Old Regime

Borrowers claiming home loan interest plus 80C deductions may save more under the old regime.

When Does The Old Regime Win?

The old regime becomes beneficial only when total deductions exceed the breakeven threshold for your income.

Calculate Before You Choose

Compare your actual deductions against both regimes before finalizing your tax regime for FY26.