Financial tips to consider before buying a house

| September 30, 2014 | 0 Comments

p_boscastle-house_1599306c

People in Hyderabad can now breathe a sigh of relief as the political dispute has somewhat been resolved in the state and their daily life is not going to be disrupted anymore. As the city gears up to focus on development and progress again, there are many people who will resume their search for flats for sale in Hyderabad. It is a search that has been popular as it is the dream of many to own a home in the city.

While there is never going to be a shortage of flats for sale in Hyderabad, you need to make sure that you are financially prepared to buy a home in the first place. Here are a few things that you need to check off your list to know that you are not going to face financial trouble in the future:

  • What is your budget?

You need to define to yourself the amount of money you are going to spend on the house. When you do this, you have to make sure that you keep into account all the other costs as well: registration fee, furniture and fittings, etc.

After writing down the approximate cost for all these expenditures, take a look at the figure that you have remaining and then decide your budget.

  • Know how much you can borrow before borrowing:

If you are going to use the banking facilities for a loan, then make sure that you check your eligibility thoroughly. With the advancement of the facilities, it has become all the more simple to know it over the phone in a few clicks. Make sure that you know how much your bank is willing to give you and keep a note of it.

When you borrow funds from personal resources like friends and relatives, you are sure to be in a misconception about how much money they will be willing to lend to you. Sometimes they might pleasantly surprise you with a figure that you did not expect, but many a times they lend you only half of what you are expecting. This can mislead you to a wrong budget estimation. Make sure you are clear with them about the money they are willing to lend you

  • Borrow lesser than you get:

This again holds good for both the kinds of resources. When you look at the flats for sale in Hyderabad do not borrow all the money that you can. You might not even need it in the first place. When you borrow lesser from banks it shows well on your credit records and also makes you better eligible for other loans in the future.

When you borrow from your family and friends, you better take lesser money because you can always go back to them for more. This will keep you from blowing up money and will also persuade you to spend wisely.

  • Have a personal repayment plan:

This is very important when you loan funds from resources. You need to know how you are going to pay it all back. Make sure you have a safe plan and also you are able to pay it before time. Very often people are seen taking loans from friends and family to pay up the banks and then they struggle to pay that up too.

This is not the best way to go about it. You need to make sure that you have it worked out in your mind.

  • Keep savings for emergencies:

Buying a house definitely means that you are going to be drilling a huge hole in your pocket, but make sure that it is not so huge that you will not have any fund for medical emergencies and others of the same niche.

Keep some funds aside for them as you are going to need them at any given point.

If you keep all the above points in mind, it is most likely that you will not regret buying the house in the future.

Category: Home Loan

Leave a Reply

?