Deciding factors while buying a home
Having your own home not only serves as a guard, it also stands as an asset. Having your own home saves you from the liability of paying heavy rents; moreover, a home can be easily utilized to generate income. The bliss of residing in your own property suffices the burden of looking for one in the market which is subjected to inflation and uncertain hikes. Those who are in search of a home of their own, are often worried about finding their perfect dream house along with the lump sum they need to invest in it. And if you are a first-time buyer, things can get pretty tough out there. Do not worry; we are here to make the daunting task of finding a new home easier for you.
Before you can unlock the door to your dream house, there comes the most important task of buying one. It is necessary to choose carefully as a house is not merely a place you would stay it but would also have multitudinous utilities in the long run along with assuring absolute comfort-.
- One of the first challenges is getting the right location for your house. It is necessary to choose the right real estate agent. A real estate agent helps you choose your desired dream home after analyzing all that you list out for him.
- After choosing a real estate agent who understands your demand, comes the task of hunting down the right home that “fits your budget”.
- After choosing the location, you need to be approved for your mortgage.
Common mistakes by first time buyers- Must avoid
- Denial of professional help
Venturing into the process of house hunting alone is a bad idea. Professional help allows you choose wisely and save up on your budget. House hunting alone for a first-time buyer is tough as they do not know what they are dealing with and might lead them to be cheated.
- Loan first, home later
Unless you are on hand with a lump sum amount of cash, your journey of house hunting should begin with mortgage pre-qualification. Once you are satisfied that your loan shall be approved whenever you find your dream house, a huge burden is lifted off your shoulder.
- Ready for mortgage payments?
Deciding on the fact whether you are ready to apply for a loan is really important. Mortgage payments need to be planed according to your earnings. Judicious expenditure is the key to the success in mortgage management.
Subsidy on home loan interest
An interest rate subsidy scheme on home loans gives a big uplift to the realty sector. Under this scheme, the interest subsidy of up to 4% is allowed for loans up to 1million and up to 3% for loans up to 1.5million. This is a boon for the first time buyers. For those buyers who have a combined household income of up to 3lakh per year, this scheme is but a blessing. A substantial amount of money can be saved by this scheme which can be put to further use in other necessities like children’s education or healthcare facilities. This subsidy benefit is available only for the first-time house purchasers. Any person who does not own a home or property anywhere else can apply for this subsidy. Previously, the loan of 6lakhs available has been increased from 1million to up to 1.5million.