Buying a home, whether as a primary residence or as an investment, is one of the most important decisions we make. It the one purchase on which people are really prepared to splurge, maybe even more than what they can afford. There are two aspects of choosing the best purchase when buying a house the first is to understand what the market and your shortlisted builders have to offer; the second is to understand your own needs and abilities.
Check the builder track record:
The first step when deciding on a house purchase plan is to inspect the progress level at the building site, and check the builder track record how many housing projects does the builder have at the moment, and how many of those housing projects are nearing completion Do visit the other sites where the same builders projects are going on, and see the construction quality, activity level etc. A few months delay in getting property possession has now become standard, but if you find that a builder has stretched themselves too thin several projects going on at the same time then there a high risk that delivery will be delayed far beyond your estimate. Builders usually sell flats under construction, and then invest that money into other projects. In a dull property market, builders who e started too many housing projects often can finish any of them.
Assess the risks related to possible delays:
Builders now offer construction-linked plans, subvention plans, and possession-linked plans. Which one you need depends on how long you can afford to wait for possession, and how much money you can pay before getting possession.
Figure out the property best for you:
You may think you can afford a five-bedroom villa, but do you really need one A very common advice given by property experts is that buyers should estimate how much they can pay for a property and then choose something that costs about one-fifth or one-fourth less. In other words, don max out your spending ability, because a larger property may also mean a less flexible purchase plan and a bigger loan burden in case the developer causes trouble.
Buyers rarely think of their down demise when taking a home loan. Which is surprising because the same buyer would e bought several life insurance policies for their family. Unfortunately, if the buyer dies at any point of the house purchase the house doesn entirely belong to him even after getting possession; the buyer becomes the real owner only after the home loan is entirely paid off. If the buyer dies meanwhile, and the bereaved family defaults on EMIs, the property may be reclaimed by the bank. Home loan protection can prevent this. It comes in many forms the bank giving the loan will ask you to insure the loan with an extra topping on the premium; certain life insurance providers offer both protection upon death and protection upon critical illness or disability that prevents the buyer from paying EMIs; or you can self-insure yourself by identifying any existing property/plot that your family can sell to pay off the home loan, if they have to, in your absence. That secures the new home for them. Make a balance sheet of the pros and cons of each home loan protection option before picking the right one.
Also, you must know 6 important things while choosing your home for making a wise decision.
Disclaimer: The information contained in this post is for general information purposes only. IIFL Home Finance Limited (including its associates and affiliates) ("the Company") assumes no liability or responsibility for any errors or omissions in the contents of this post and under no circumstances shall the Company be liable for any damage, loss, injury or disappointment, etc. suffered by any reader. All information in this post is provided "as is", with no guarantee of completeness, accuracy, timeliness, or of the results, etc. obtained from the use of this information, and without warranty of any kind, express or implied, including, but not limited to warranties of performance, merchantability, and fitness for a particular purpose. Given the changing nature of laws, rules, and regulations, there may be delays, omissions, or inaccuracies in the information contained in this post. The information on this post is provided with the understanding that the Company is not herein engaged in rendering legal, accounting, tax, or other professional advice and services. As such, it should not be used as a substitute for consultation with professional accounting, tax, legal or other competent advisers. This post may contain views and opinions which are those of the authors and do not necessarily reflect the official policy or position of any other agency or organization. This post may also contain links to external websites that are not provided or maintained by or in any way affiliated with the Company and the Company does not guarantee the accuracy, relevance, timeliness, or completeness of any information on these external websites. Any/ all (Home/ Loan Against Property/ Secured Business Loan/ Balance Transfer/ Home Improvement Loan/ NRI Home Loan/ Home Loan for Uniformed Services) loan product specifications and information that may be stated in this post are subject to change from time to time, readers are advised to reach out to the Company for current specifications of the said (Home/ Loan Against Property/ Secured Business Loan/ Balance Transfer/ Home Improvement Loan/ NRI Home Loan/ Home Loan for Uniformed Services) loan.