Home Buying Tips: Buying a home is the biggest decision of life. It should be taken very carefully. It is very important to consider some important points before buying a home. The decision to buy property should not be taken in haste at all. Keeping in mind all the things like your need, financial condition, future plans, etc., take the decision of buying a house. Today we are going to tell you about some important things that you should consider before taking home.
How many years do you have to live in the house?
While buying a house, the question you must ask yourself is how long you can live in it. Suppose you buy a house at the beginning of your career and after some time you have to work in another place. Therefore, buy a house only when you decide that you will stay at this place for 10-15 years.
Own house or rented house?
You should think about whether a rental house will be right for you or your own house. You should analyze which of these options would be better for you. Property in cities is very expensive, living here on rent is a better option.
The EMI should not exceed 40 per cent of the household income. Along with this, you should not have any other loan on you. If the EMI is more than 50 per cent of the total income, then other targets will have to be compromised.
There are many such expenses associated with the house, which you do not already realize. The price shown in the ad is only the base price. Builders can charge you for such facilities which you consider to be free. There are also fees related to legal writing. Stamp duty and registration charges are other expenses.
Make the decision to buy a house only when you make arrangements that you are not going to need money in the near future. For this you should make an emergency fund.
What if the income stops?
Things don’t always stay the same. So buy insurance equal to all outstanding loans apart from covering future expenses and family needs.
What if there is a delay in getting possession of the house?
If the builder delays in giving possession of the house, the buyer gets a double whammy. They also have to pay EMI along with the rent. If you don’t get possession on time, you can also forfeit the tax benefits on the home loan.
Will the property value increase more than the loan interest?
If you are buying a property as an investment with a loan, review whether the property value will increase faster than the loan interest.