Tax benefits on home loan interest of 3rd home

Yes. There is no restriction to claim the deduction as for number of properties. But As per the act a person can have maximum of two self-owned houses as self-occupied. In case the tax payer has more than two self-owned houses as self-occupied, he has to select any two of the house as self-occupied and treat the third house as deemed to have been let out.

Secondly, he is allowed to claim interest for money borrowed for such house properties only upto Rs. 2 lakhs against any other income in a year. Any excess amount is carried forward.