10 Tips For First-Time Home Buyers in India

Easy availability of cash money, economic growth coupled with healthy disposable income makes the young Indians to consider real estate investment. P Chidambaram, at the budget of 2013, raised tax deductions up to 1 lakh for the new buyers. This has greatly promoted the housing sector.

As per the recent survey conducted by the real estate industry, the average age of first time home buyers in India has reduced from 39 to 30. So, if you are a first time home buyer, you need to consider important tips. While the socioeconomic status, the age and profile of the home buyers is changing, what is not changing is the trepidation and hesitation that comes with taking such a huge investment decision.

Home Buyers in India

However, it is great to know that a buyer is free to file a Complaint about Builder in India, if the project is not completed timely. Check out the home buying tips below.

Financial planning is the foremost

Before you make any investment decision, you need to plan out your finances. Try to review the current financial obligation like life insurance, student loan and any other commitment in order to get the true picture of monthly income. The budget for purchasing a property is based on the money which you may afford for home loan EMI. Apart from money reserved for EMI, you also need to have a saving account to cater necessary expenses. There must be money for parking charges, medical expenses and sundry expenses.

Assessing the Future needs and Objectives

When you plan to invest in a home, you need to assess present needs along with the future needs. Some individuals just want to buy a property for the family members while others wish for capital appreciation of the long term investment. So, when you make an investment, try to assess your objectives.

Know about the Interest Rates

If you are a first time buyer, you will be confused between floating interest rate and a fixed interest rate. Those who want a complete peace of mind, they can choose a fixed interest rate since the rate of interest remains constant and same throughout the tenure. But then, if you are interested in floating interest rate, evaluate the market along with the current economic situation. Get in touch with your financial adviser to know the kind of interest to choose. In fact, you can also choose the mixture of fixed and floating interest rate.

Improve your credit score

If you want to avail loan at lower interest rate, you need to improve your CIBIL score. CIBIL score plays a very crucial role in the application process. The moment you fill up the forms, the lender checks your credit report and the credit score. Your loan will be improved if credit score is good.

Shop around for Loan

To get a loan suitable for your situation, you need to shop for the loans by checking various lenders and compare the rate of interest. Compare loans and negotiate with the banks.

Getting a Pre-loan

Pre-approved home loan refers that the bank has carried out its due-diligence check on the credit report and has confirmed virtually to the loan. The purchaser gets the idea about his budget and thus he can proceed confidently towards the purchases.

Get to know about the Locations

Before making an investment, know about the locations that are experiencing growth. It must have a good connectivity and must be in close proximity to shopping malls, airport, railway stations, etc.

Evaluate the Credibility of the Builder

Check out the past projects of the developer and judge the credibility. The quality of construction and the value of his rate of appreciation need to be found. Get in touch with the past clients and avail Feedbacks about builders prior to choosing any. To save yourself from posting Complaint about Builder in India, this is a necessary step.

Payment Option

Before signing the dotted lines, inquire about the payment options. Check out whether the builder offers construction liked payment, time linked payment or cash and cheque payment.

Verifying all the Documents

Go through all the legal documents involved with the property sale and purchase. It is always better to get in touch with a real estate agent to make sure everything is smooth.

As the first time buyer, you will benefit a lot from the above tips. For the home buyers, it is necessary to read the Feedback’s about Builders and then make a choice.

5 Key Property Investment Do’s and Don’ts in India

The Indian housing market seems to be tan all time low and so there cannot be a better time for the buyer to make a purchase. The reducing price rate of commercial and residential properties in India makes the home buyers consider purchasing rather than renting a property. Those who want to amass more property and add to their portfolio, they are getting more attracted towards real estate investments.

Seasoned investors are very well aware that investing on a property will bring forth maximum returns. If you are a new investor, you need to consider various key points and adhere to the investment tips. In case, the world of investment seems complicated, consider the do’s and don’t tips stated below.

Some Do’s That Investors Must Consider

• Get all your personal finances in order prior to getting in touch with the builder. Analyse your finances to find if you can afford the cost of property or not. Do not exceed your budget since that will give you financially tough times.
• Get approved for the loan virtually. Pre-approved or pre-qualified loan will help you determine your budget. So, accordingly you can make property searches.
• Check out the current market trends and make researches on the area where you wish to buy a property. Peruse through the recent sales along with the rates to find comparatively similar homes.
• Do make sure you get in touch with a legal counsel or a competent agent to assist you with the paperwork. The terms and conditions must be favorable to you.
  Make sure you choose the property which seems sound as per your financial status. But then, also be prepared for the risks.

Inspect the property minutely to ensure that no repair is needed.Get in touch with a reliable and reputed builder to make sure that you do not need to file a Complaint Against Builder in India. If the builder is good, there will be no cheating case and timely delivery of the project.

Some Don’ts That Investors Must Consider

Before making an investment, do not forget to write your investment goals. Calculate the budget you can afford and evaluate your risks.

• Do not commit the mistake of rushing for a deal that sounds too good to be true. If the investment opportunity seems too attractive, take a deep breath and find out what you are not seeing. Treat your deal as a business transaction.
• Do not shop for the home under an emotional state. Getting invested emotionally is a strict ‘no’. You can walk away from the deal if you sense something fishy.
• Do not just lay your confidence on the documentations presented by a seller. There must be some independent consultant to verify the title clearance, home inspection and the valuation.
• Do not forget to hire a real estate agent to verify all the details. A builder can be a cheat also. Only a real estate agent who can help you to file a Cheating Case Against Builder in case he cheats you.

Do not rush to make purchases. If you are in a hurry, you make a poor buying decision. Take your time and then enter into a deal. Do not buy a property without visiting it several times. Before laying your confidence on any property, visit the neighborhood and carry out researches on demographics.

After being cautious and following all the Do’s and Don’ts, still if the builder cheats, you can lodge a Complaint Against Builder in India. The builder is supposed to use quality construction materials and complete the project on time. If he fails to do so, you are free to file a Cheating Case Against Builder.