Are you a millennial looking to buy a home?
Well, then you are at the right place! There are a lot of blogs out there catering to first time homebuyers , but nothing specific to millennials.
Google defines a millennial as : “a person reaching young adulthood in the early 21st century.”
So, for all you 21st century young adults, here are a 9 tips that you must keep in mind while deciding on buying a new home.
Guide #1: Builder Reputation
Builder reputation is one of the most important factors that you should be looking out for.
What are their previous projects? What is the quality of construction? Does he deliver as promised? Are there any issues with the quality of material used?
A detailed background check on the builder is necessary before finalizing on a particular project.
Choosing the wrong builder can result in rejection of bank loan, below par amenities, delayed construction and what not!
So, choose your builder wisely.
Guide #2: Approval & License Check
Once you have decided on your builder, the next step is to make sure that all approvals are in place with respect to the property.
You must check for the following :
- Building Plan
- Layout Approval
- Proof of Entitlement
- Completion Certificate
- No-Objection Certificate
- Occupancy Certificate
Now, with RERA in place, these checks are already done, but it is always wise to check from your end as well.
Guide #3: Location
The first rule of real estate is “LOCATION! LOCATION! LOCATION!”
Be wise in choosing the location for your dream home! Choosing a locality with potential growth and improving infrastructure will enhance your property’s resale value.
Look for a property that is closer to schools, offices, tech parks or transport hubs. When you are trying to re-sale this property, the person looking to buy your property will look out for these factors. This will boost the value of your property.
Guide #4: Finances
A home loan will cover only 80% of the cost, the rest 20% has to be self-financed.
Make sure that you have saved up sufficiently to cover 20% of your property cost. Getting a home loan now-a-days is easy. So, make sure that you have done sufficient research on which bank/agency is offering you the best interest rates.
One point to factor-in before starting off your EMI is that the EMI should not exceed 30% of your income. This may cause issues with your day to day finances. Remember to consider maintenance cost, monthly expenditure etc, before finalizing.
Guide #5: Know the total cost of the property
Usually, while discussing the cost of the property, we factor in only the cost per sq.feet. We miss out on the “hidden costs” which include the amenities, parking costs , etc.
Make sure that you have factored in all the costs before deciding to go with the property.You should be vigilant and ask for a complete list of costs before making the purchase.
A real estate agent will help you by providing you with all such details.
Guide #6: Payment Plan
Builders’ these days are coming up with very interactive schemes to attract buyers. You should have a look at what they have to offer before deciding on the best option for you.
Few of the schemes that they offer are :
- Down-payment plan
- Flexi-payment plan
- Construction linked plan
- Possession linked plan
Guide #7: Insurance
You should look to safeguard your home with property insurance. This will help you tackle any unforeseen situation such as damages, legal issues , etc.
The insurance policies come at low cost and provide coverage for a wide range of damages.
Guide #8: Commitment
Buying your dream home is no joke! Are you looking to stay committed to your home?
You should be in a position to know as to how long will you be staying there. Consider your lifestyle, finances, shifting and other factors before making a commitment. If you are not sure on how long you are going to stay at a particular location or you have a job that requires frequent re-location , then it is better to rent a home than buy one.
Guide #9: Use the services of a Real Estate Agent
Lot of people out there are not aware of the role of a real estate agent.
Let me tell you that a realtor plays a major role in the process of home buying.
A real estate agent or consultant is someone who is licensed to help sellers sell and buyers buy properties.They will negotiate with the builder on your behalf and offer the best price on the property you are looking for, which you may/may not get if you directly approach the builder.
You can read more on the role of a real estate consultant here.
A common mis-conception that people have is that the real estate consultant offers services at a price.
Let me tell you that the service offered to you, our customers, is absolutely “FREE”of cost.There are no brokerage, commissions or any hidden costs.
So, why not utilize the services of an expert who will give you the right guidance?
If you have an enquiry to make or are interested in purchasing a property, you can get in touch with the best real estate consultants here .