A new home is the dream of many. Unlike the old days, people no longer wait to get married or have a family to settle down. The new attitude is that the earlier the better. The young homebuyer in new generation is educated and ambitious and always working to have a better, happier and more comfortable life.
If you are a young homebuyer, here are some things that you should do to prepare yourself before you take the leap:
This pretty much goes without saying. It is extremely important that you know your money, where it comes from and where it goes.
The benefits of owning a property at an early stage are worth the struggle. You can expect returns from it as an asset and also as an additional income if you decide to rent it out. It is not as easy as can be said for youngsters, because you need to have quite the amount in hand.
Invest. Saving will not give you any form of return.
Having a clear idea of what you want and whether it is within your current financial capacity is important. In-depth research should also be done on the current market scenario, property rates, appreciation value, etc.
The following are the basic considerations
It is best to consult experts in the field for professional and well-sort information.
Most average people just don’t get to make a single payment, move in and get on with their lives. Hence it is important to know all the extra costs that would come along with the price of the property so that you can channel and organise your money accordingly.
As you can see, there are many additional expenses to be dealt with. So, do not just consider the down payment or EMI when you make decisions.
The loan eligibility of a person depends on their income, credit score, age and the price of the property. The eligibility criteria for a loan are rough and it depends on other factors as well.
Numerous third-party websites provide information on various home loans. Compare their processing fees, pre-closure charges, late payment fees etc.
Research on what help you can avail from the government. For example, the Pradhan Mantri Awas Yojana gives you an interest subsidy of 3%-6.5% for people with an annual income within 18 Lakh INR, to buy their first residential property.
Read up on more information regarding the Tax Benefits on Multiple Property Home Loans
Committing to such a huge purchase as a young homebuyer might be scary, but the end results are completely worth it. The moment the keys to your home are handed over to you, you would be stepping into adulthood as a homeowner. That is more than what most people a few years ago achieved at your age.
This confidence and pride would only make you move forward and achieve greater things in life. Just start by being aware of your finances.