land in wife's name and Loan in my name

u cannot claim the deduction.......its ur wife who will be eligible as sec 80C does not require that payment must be made by beneficiary himself.......deduction allowed=principal component of loan repaid to the extent of rs 100000 along with other deductions specified u/s 80C..also u shd keep in mind that deduction will be allowed only if loan is borrowed from specified authorities.......what is possible is ur wife can transfer this property to u as a gift......sec 56 exempts gift received from relatives.....also u can take the benefit of sec 64 (as ur wife is house wife,total tax liability can be reduced by utilising ur wifes basic exemption limit)which says that income from asset transferred to spouse without adequate consideration will be clubbed in hands of transferor..this benefit will be possible if u r planning to give the property(after construction) on rent......however ,at the time of transfer of property by ur wife as a gift to u,stamp duty still needs to be paid on stamp value fixed by local authorities...............................

conclusion:do cost benefit analysis by consulting ur CA