What is the maximum tax benefit on a second home loan?
The maximum interest deduction for a self-occupied second home is ₹2 lakh per annum. There is no upper limit on interest deduction for let-out properties, but any net loss you claim from renting out the property can't exceed ₹2 lakh per year. Additionally, you can deduct up to ₹1.5 lakh per year for the principal loan repayment under Section 80C.