Having your own comfortable home is dream for all of us and many of us, struggles to find a perfect home in budget. I remember, when we were looking for our dream home, it was a long and tiresome process. As we were house hunting on our own and have no clarification on, how to proceed.
After, not being able to find our dream home, on first attempt, we sit together, and noted down few things that we should consider for the house hunt process. And these points made our house hunt easy and now we are living in our dream house.
So, here I am, sharing pointers you as a buyer should consider before purchasing the house.
Step by step guide for buying new house:
Budget: Decide on the budget that you need to stay in and stick to it. You need to make a proper budget and plan your expenses, saving and amount towards house installments, in a way that there are no clashes. You should make sure that the property you are buying will fullfil your present requirements and be within your budget. As a property buyer, understanding your family’s present major needs will help you make the right decision.
Location: It is the most important thing to choose. Examine the location and the locality thoroughly. It is always good to stick place close to the prime location of your city, that assures you can get a better home in your bugdet. Location is major point in deciding your house resale value. You house is your major investment, choose wisely.
Rental rates in the area: Rental rates in area, gives you a fair idea about cost of property in the area. If you are buying the house, just for investment purposes, buying one in a high rental area is a better choice.
Good Resale Value: Resale value is one of the most important thing to consider while buying propert. And it should be considered with top priority. Resale value depends on location and many other factors. So, you need to make sure that if you ever need to sell the property, you get a better resale value.
Loan eligibility: Home loan eligibility depends on your income, existing loans or debts and age of the loan applicant and repaying capacity. There are many loan or mortage calculators available, that can give you a fair idea about your loan requirement and estimate your loan. While calculating my payments, I used many online portals and I found Mortgage Calculator UK most accurate, it is originally catered to the UK market, but the monthly payments math works the same just about everywhere other than the currency units and prices. The site also have features that help you estimate affordability and many other factors.
Stamp Duty & Registration Fee: This is also an expense to be considered. While planning your budget for property buying and deciding to buy a property, you need to know the rate and charges applicable in your city. If you want to know the market value of your property and the stamp duty amount on it, you need to locate your valuation zone and sub-zone.
Additional Costs: When you are buying a house having additional help is really helpful and you need to pay for that too, like real estate agents, mortgage brokers etc. You also need to pay for interiors and parking slot. Keep this in budget too
Property insurance: Property insurance is least considered but is a must. Its a safety guard for your financial future, if in any scenario, certain damages occur to your property. The cost is not too high and gives a wide coverage in case of problems with the property title, certain damages or any legal issue. There are lots of home insurance policies available to choose from, with varying levels of protection.
Buying a house, is not a tough process, if you keep above points in mind. Plan properly and stick to it, be it the bugdet, locality or any other amenities you want. Never compromise on any pointer, as we making your dream house, is a big financial decision and in all ways you should always love it.