Avoid Last-Minute Rush – Get these things in place before you buy a home
Purchase of a new home obviously involves a huge investment and because of this, individuals should know everything in advance before buying their dream home and thereby, avoid last-minute rush that can possibly delay things and cause unnecessary hassle.
- Awareness of the procedures involved
Whether you look for a 2 BHK flat in Pune or luxury villas in Lonavala, you need to be sure that you are fully prepared to purchase a new home. First thing then should be to collect every possible detail about the project and procedures. In this case, you should give your valuable time to know about the basic steps involved in the entire home buying procedure.
- Accumulate details on your to-be home
Whenever you search for a new home, you should put your efforts to collect all the details about it before you pay any amount. You should ask the agent about the time since when the property has remained unsold in the market. If there have been no offers made to the property, it may be because of a slowdown in the market or the project may not have necessary clearances, approval from the authorities. In addition, you should make ensure fair pricing of the home based on P/R ratio.
Other than this, you should ask for copies of tax bills, insurance and utility bills to understand the overall cost involved in making a purchase of the respective home in detail. Along with this, it is essential for you to check the sales history associated with a new home, so that you exactly know the time when it was bought previously and the time for which a previous owner or owners stayed in the property.
- Focus on Either of Selling or Buying First
Selling your previous home and buying a home simultaneously is obviously a big task. Hence, you should first focus on any one between the two. If you are a self-employed individual, it may be relatively difficult for you to qualify for getting bank loan as compared to a salaried professional. You should arrange appropriate paperwork in time.
- Start with saving for Down Payment and other necessary finances
You may opt to buy your home without any down payment. However, it is good to buy a property by paying at least 20 percent of the down payment In addition, you will get an improved rate, small equated monthly installments. Hence, you should start with saving money for the down payment once you think to buy a new home. Along with your savings for the down payment, you should take the necessary steps to make your financial position stronger enough to qualify for a mortgage and that too at a low rate of interest. In this case, you only have to follow the basics, which include regular payment of your rent and other bills. Keep checking your credit score well in advance and see on which fronts you can improve to get a good bargain on the loan.