Useful Tips for First Time Home Buyer
The real estate market in India has seen a growth in recent years, easy availability of finance for home buying also encourage young buyers. Buying a home for first time is not like buying a FMCG product for first time, A buyer need to know certain things for the same. The challenge of buying a home for the first time can seem so daunting that it's tempting to either just go with the first house that falls in your price range or continue to rent. To help you understand the buying process and make your life easy while purchasing a new house. Following are some handy tips for our side for first time home buyers.
A. Deciding About Your Budget:
When you decided to buy a home or want to shift from your renting house to your own house, decide about the price range you want to purchase a house, it is important that you are clear In your mind about the price you want to purchase, every individual knows how strong economically he or she is. Depending on that decide your budget.
B. Start Saving Some Amount From Income:
When you have savings from your income, you can easily apply for lover amount of loan and it will help you. The rule of thumb is that you should be able to afford a mortgage three times your income. C. Finding Appropriate Location: Like the famous quote goes the three most important factors in buying a home are location, location, location, choosing the right location is the important step for the first time home buyers.
D. Inspection Of House:
When you are looking at a house, you have to have a wish list, but you have to understand that no house is going to be perfect. Inspection of house should be done properly but you have overlooked minor thing in it. Don't judge a book by its cover. Same goes for a house. Go inside and look around before making a decision.
The problem with new buyers is that they first they look for the property, and after that they running here and three for finance. Don’t make such a mistake, have some information regarding from where you can get your finance ready when it is requires. It's great to have your financing in place before you look because houses are bought and sold overnight. You could lose your dream property waiting to secure the financing. Don't forget to set aside money for closing costs when budgeting out what you can afford. It's typically 1-1/2 to 2 percent of the purchase price. That goes toward the land transfer tax and pays a lawyer.
F. Making an Offer:
One thing as a new buyer you need to understand that, do not offer a price that below the market price that can cost you to lose your dream property. Find out what other homes in the area have sold for, how long ago the sale was and what amenities they have. Try not to fixate on the list price of the house, but rather than fair market value.
G. Go for purchase Or Move On:
If you're able to work out a deal with the seller, or better yet, if the inspection didn't reveal any significant problems, you should be ready to close the deal. Closing basically involves signing a ton of paperwork in a very short time period, while praying that nothing falls through at the last minute. And if you find numbers of problem in an inspection you should give a thought to it and move on from the house, as because you have to spend more money on renovation of the house.
H. Final Documentation:
As a first buyer you will face problem in gathering all legal and other documentation as you are not aware about the how it all work. Take help from your agent or contact best consulting firm around you, they will surely make life easy for you.