Important things to keep in mind before buying a house

Buying a home is as difficult as it is exciting no matter if you are a newbie or have been a house buyer before. Loans, home insurance, house size, documents, legal formalities, possession time and a bunch of things jump into your tasks to-do. While this all seems exciting at the first, you may find yourself cluttered with multiple things.

The best way to sort all the chaos is to create a checklist and for that, you need to know the essential things to consider when investing in a house. Here is a list that can ensure you don’t leave the important things behind. Read and note them down!

  1. Budget and Finances

The first and foremost factor that ought to affect your house choice is your budget. The higher the budget, the better properties you can think of purchasing. So, begin with a detailed list of your expenses and how much your income is. You should also check your credit score, savings, and other monthly expenses to check whether you can truly afford a home or not.

If you are opting for help from banks, you can use a home loan calculator and see how much the EMIs would cost you. In short, make sure you make up your mind on how much you are ready to spend on your new house and will that affect your financial stability.

  1. Extra Costs – Home Insurance, Maintenance and Renovation

Now, when thinking about the budget, do not just stop at the property price. Most people make the mistake of just calculating the property price while making their budget. It is crucial that you should also consider the extra costs such as GST, stamp duty, lawyers’ fee, agent’s commission, renovation of the house, home insurance, maintenance and general upkeep of the property.

All these can have a huge impact on your final budget; thus, take your time and also suggestions from an expert to do the right calculation.

Also Read - SBI home loans to get cheaper: Reduces interest rates

  1. Location

Done with the budget and costs? It is time to move forward to the house. You must delve carefully when it comes to the location of the house. Here are some things that should be in your mind when you visit the property:

● Security

● Accessibility to public transport

● Distance from the hospitals, markets, malls, schools and your office

● Amenities such as gyms, sports clubs, and parks

All these factors will define the quality of life, your social interactions, school quality, the commute time and the peaceful time you spend at home.

  1. Size of the House

Along with the location, the size of the house also matters a lot. As we do not buy house every other year, you need to keep a long-term vision for selecting the size. You may be living alone right now but you must take into account the requirements of a family in the future. Even if that is not the case, having an extra room is also best in case you have to host a guest at home. Think all this through and decide the perfect size to avoid any space issues later.

  1. Other Perks And Benefits

Who doesn’t like the extra perks that comes with a purchase? In case of a house, such benefits can vary from free parking and clubhouses to swimming pool and parks. You can also get special deals and festive discounts on house price that are often proposed by realtors and develops during special occasions. Keep looking for such sales and offers and you could get a great deal at the same budget.

  1. Legal Check

The next most important thing you just cannot ignore is whether the property is legally authorized. The sellers must have all the approvals and NOCs from the area development authorities, and municipal corporation. In case you are taking a home loan, the concerned bank will also help and validate the property before sanctioning the amount.

In addition to the legal check of the property and its documents, also do a thorough research about the seller or the developer you. This can avert future complications and any other fraud situations.

  1. Time to Possession

Usually when you buy a house from builders or real estate agents, there are chances that you will have to wait before you get the possession of the house. In such case, do keep the waiting period in mind. If you are going for houses that are ready to move in, there are chances its prices would be higher than the one which is still in the construction phase. The latter also comes with other perks such as a spread out payment schedule. Choose what suits your needs and get the better deal.

If you are buying a house for an investment viewpoint, we suggest you can opt for the house in its construction phase, as you will benefit with significant price appreciation by the time you will get its possession. But do make sure you check that the builder has all the legal documents and approvals in place to avoid any hassle.

Also read - Lost your Original Property Papers? Here’s what to do

The Takeaway

A house is more than just a place where you live; it is your abode of dreams where you spend the most memorable times of your life. This is why, when you go out to buy it, make sure the decision is taken with a lot of consideration and patience. Keep these important things in your mind and we are sure the process of house-buying will get easier. All the best!

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