Purchasing a house requires a lot of decision-making and a lot of funds arrangement planning to buy the owned house. An individual needs to pay at least 20% of the property value as a down payment while buying a property, while the rest can be lent from the bank. The house purchase either requires an agent or the property can be searched from the property portals as a search option before purchasing. The bank provides easy EMI options to the borrowers for the purchase of the house, which enables the buyer to buy property at an early stage. The ideal age for purchasing the property is between 25-45 years, wherein the individual gets sufficient time to repay the loans. Availing loans after 50 years of age becomes too late, and thus the borrower may have to pay higher EMI for the loans. Thus availing of loans at an early age is better so that there isn’t much of the burden on the borrower while repaying the loans. The homes can be purchased with a higher down-payment as well. It is not necessary to avail the maximum amount of the loans at a time. Taking a lower amount of the loans reduces the liability of the borrower.
Also, the pre-approved loans for a particular property are an advantage as the loans can be obtained with minimal documentation. The approval of the loans is a necessary factor while choosing the property. Home loans are rejected for properties that are un-clear titles and also for a property that is dilapidated property. Buying a resale property is also a good option as the property can be purchased at a negotiated rate from the buyer. The property buyer who purchases the resale property also saves on the water connection and electricity connection charges and avails property at lower rates than the new construction in the same locality. Also, home loans are approved at affordable interest rates to the borrower. The current lowest interest rates are available at 6.50% per annum. Also, basic facilities like electric supply and water supply are essential in the flat where the buyer intends to buy the property. Better road connectivity and availability of efficient public transport are essential ones which should be looked for while buying the property. Having proper parking space is also necessary while buying the property.
Useful tips while house hunting
- Negotiate well with the seller:
The buyer should negotiate properly with the seller before purchasing the property. In the case of the new construction property, slight negotiation is possible as in the resale property. Getting a better deal is always beneficial while purchasing the property, and thus better negotiation is a better option while purchasing the property.
- Avail loans during the discounted season:
The loans can be availed at discounted rates, especially during the festive season, wherein banks offer loans at lower interest rates and lower processing fees. Thus the property buyer should take advantage of the festive season offers on home loans.
- Book property during the festive season:
The Real estate developers may offer better deals during the festive season of Diwali & Dasshera; thus, during this period, if the property is booked, then, in that case, the builders provide higher discounts on the loans. This can be beneficial for the buyers while purchasing a property. Even there could be offers during Christmas & New year as well.
- Look for the trusted real estate developer:
The background of the real estate developer should be verified before booking the flat. There are various mal-practices being carried out by the real estate developers due to which problems may occur to the flat buyers. The history of the real estate developers can be checked on the RERA portal, which enables the buyers to get protected from fraud.
- Ask for extra furnishing after negotiation of the rate:
Before getting the flat booked, the real estate developer should ask for extra furnishing while booking new construction projects like kitchen trolleys, wardrobes, solar water heaters, false ceilings. Etc. This can help the buyer save money in the renovation post the purchasing the flat. In many cases, the property buyer can certainly get extra furnishing done as a part of the negotiation while purchasing the flat.
Getting a better deal while purchasing the flat depends upon the negotiation skills of the property buyer. The better the negotiation skills of the property buyer better is the deal which the buyer can get. Availing discounted home loans interest rates is also a better option as the borrower can save money for the repayment of the interest on the installments.