Essential Tips for First Time Home Buyers

In today’s times, owning a home of their own is the goal of many young and established individuals in society. Buying your own home is considered to be a landmark in one’s life journey.

The latest trends in the Indian Real Estate sector suggest that very few out of a lot of youth take the leap of faith and buy a home in their early ages. The process that goes behind buying a home is a difficult one with quite complex situations to take care of. Even though it seems challenging, smart management of this process has its own benefits.

When compared to other things in life, a house or home is one of the most expensive investments in a person’s life. The ability to buy a home in the starting years of one’s career brings joy to the individuals. Hence, there is a need to invest in appreciating assets that set the financial goals of an individual accurately enough. It's said that Earlier the investment, the higher the opportunity to reinvest and multiply the returns. Well, first-time homebuyers and investors must keep this in mind before making new investments.

Worried about buying a home? Here, let us help you out by offering some of the valuable tips for first-time homebuyers.

Why Invest in Real Estate?

Ideally for millennials, buying a home is an investment towards financial wellbeing and security for the future. Buying a home in the ’20s of one’s life has its own advantages. They are:

1. Long-Term Investment:

Youngsters get the opportunity to invest now for the future because of it being a long-term capital asset that they can sell when the right time comes. It’s an investment that pays off in the future and more importantly it is reliable in times of need.

Take a look at the Best Affordable Housing Projects in Bangalore 2020

2. Financial Responsibility:

Buying and owning a home brings a certain financial responsibility in one’s personality helping them realize the importance and value of wealth making. Investing right and building wealth gives a person the freedom to explore their options and spend their hard-earned wealth on something they desire. It has been seen that young individuals who buy their own homes become clear and effective in managing their finances.

3. Tax Exemption:

The tax benefits that governments of countries offer to investors and buyers act as a positive motivation to invest in Real Estate. Bringing down the tax liability in a person’s financial portfolio is a top priority for most of the people. suggest that this situation shall only improve. With the Government slashing down the tax on some avenues in the Real estate sectors, the prospects of availing more and better tax benefits are only higher.

Importance of Financial Planning in Property Budgeting:

The financial planning for the budget of the property is even more important than analyzing the maximum loan eligibility. Experts in the Indian Real Estate sector advise first-time homebuyers especially, to firstly decide an affordable budget corresponding to your career growth prospects and pay scale. Then ensuring an abundance of savings which is roughly around the 20-25 % of the value of the property, even before the purchase of the property. The remaining cost of the property can be raised with a home loan. Apart from this, having sufficient savings for emergencies, other expenses, and investments.

While it is common that the banks finance only 85% of the value of the property, it is important for the first-time homebuyer is familiar with all the specifics of the home loan, especially the EMI.

Tips for first-time homebuyers:

1. Home loan:

A complete and clear understanding of the nuances of the home loan process is important. Consulting with more than three reputed financial institutions right from documentation to repayment terms to EMI’s is a must.

2. Location:

In the earlier stages of one’s career the need to commute workplaces at earlier and for longer hours make transport an important factor in deciding the location of your future home.

3. Social Developments:

Being accessible to schools, colleges, hospitals, retail stores, shopping malls, entertainment, and restaurants is crucial to the daily lifestyle of the owner. In the case of youngsters, recreation centres are important as they tend to spend more time on it.

4. Clear titles and documentation:

A young homebuyer might require additional guidance pertaining to the legal aspects of the property. There are many legalities to be considered, from RERA compliance to clear title deeds to statutory approvals and clear finances. These will help an expert understand and analyze the overall feasibility of a construction project.

Homes247.in Experts View

We at Homes247.in encourage young first-time homebuyers in their efforts to make a healthy investment which can be a risky decision.

Having immense Financial responsibility, maximising savings and Building Capital Wealth is some of the key aspects that an excellent real estate owner possesses.

A homeowner who has the above-mentioned qualities can definitely make successful strides in real estate investments and ensure their knowledge keeps them safe from the risks of investments.

As per the latest news in the Indian Real Estate sector, the rewards for young and first-time homebuyers are going to get better.

Also, with ample time on their hands, youngsters have the time to set their financials right. What’s even better for youngsters is the eligibility for longer loan tenures, tax saving sops and a higher risk appetite which means better rewards.

Therefore, we persuade first-time homebuyers and reluctant investors to go through our homebuyers, get in touch with our experts to invest in Indian Real estate and make your next best investment.

There you go, folks. These are all some of the valuable tips for first-time homebuyers. If you are seeking a property, check out Homes247.in!