The conventional way to make a house yours has been through the way of a single purchase that is made once. But that isn’t the only way. Home loans are a popular second option to go about making a house yours.
Buying a home, especially for the first time, can be intimidating on its own. Loans allow us the opportunity to buy our homes without having to pay the entire amount for it in one go. Taking a home loan in order to do so makes the whole ordeal all the more daunting. But, it doesn’t have to be. The following are a few things to keep in mind if you are taking a home loan for the first time.
A penny saved is a penny earned
Although home loans do not require a sum of money as large as the single-time payment, it is crucial to save up enough money. Your salary and savings should be more than enough to accommodate the home loan you are about to take for your house.
Leave no stone unturned
No two home loans look the same. Each has differences when it comes to interest rates, along with premiums/ margins/ spreads charged by banks. Hence, it is best to research thoroughly to look at multiple home loan options to find the most suitable one for you.
Explore every avenue
Home loans can be taken from different sources, most prominently from banks or from housing finance companies. Each offers loans at differing rates with different prerequisite conditions. Study each source in detail so that you can find the best one for you and your home.
Batten down the hatches
Filing for a home loan requires many documents ranging from personal to financial. Take your time to keep all the required documents ready to facilitate the whole process quickly and smoothly. Simultaneously, make sure to carefully read and review all the documents in the loan agreement before agreeing to the terms and conditions while signing them.
Don’t bite off more than you can chew
It goes without saying that you shouldn’t take a loan that you’ll never be able to repay. This mistake is made often given the attractive interest rates with long years of repayment time. It is better to make prepayments in shorter time installments (every quarter, or every 6 months).
Reach out for a helping hand
For big procedures like taking a home loan, it is a good practice to ask for help and advice from someone who has done it before. This will give you much more clarity on the entire process, while also guiding you to avoid making mistakes in the approach.
Now that you have a good understanding over the fundamentals of taking your first loan, it’s time to look for your first home. No matter what your preference, compact or large, your search will lead you to Valmark. Every property of ours lays down the carpet for you to a fresh start in home living. Make your first home living experience the best that you can possibly imagine by booking a home in any of our 4 properties: Orchard Square, Orchards(plots), CityVille, or Apas. Visit www.valmark.in for more information.
