Yes. Any payment towards the cost of purchase/ construction of a new residential property is eligible for deduction under section 80C. This includes repayment of the principal amount of loan. Interest payment on such loan taken on house purpose is not eligible for deduction under this section.
Deduction under section 80C: repayment of principal on housing loan qualifies, interest payments do not.
Payments toward the cost of purchase or construction of a new residential property qualify for deduction under the provision and expressly include repayment of the principal amount of a housing loan; interest paid on such a housing loan is not eligible for deduction under the same provision.
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